From Livestock and Weather Monitoring to Smart Meters: A Multi-Sector Investment Play
An IoT Innovator becoming a relevant player in Smart Energy, Healthcare, and Financial Tech
The new year barely started, and we’re already on a streak! Inspired by the energy of fresh beginnings, we’re thrilled to be writing about another high potential stock idea.
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In an increasingly interconnected world, companies at the forefront of IoT innovation are poised to reap exponential rewards. Today’s featured company exemplifies such a growth story. With high optionality in its products, strong industry tailwinds, and strategic alignment with national priorities, it represents a compelling investment thesis for growth-oriented investors.
This publicly listed IoT design house specializes in designing, developing, and manufacturing IoT products in-house. Integrating AI/ML capabilities into advanced communication technologies—such as Bluetooth Low Energy, NB-IoT, and LoRa—the company delivers tailored solutions across diverse industries.
With manufacturing facilities in Mysore and offices spanning Mumbai to Hong Kong, its partnerships with industry leaders validate its technological prowess and market credibility. For instance, in April 2024, it secured a payment order exceeding ₹9 crore for supplying sound boxes to a leading fintech service company, with the potential to grow 3–5 fold over the next two years. This followed a ₹23 crore order for design, development, and manufacturing services for the same product line.
Additionally, its alignment with national priorities around “Make in India” and data security creates a solid foundation for long-term growth. Beyond animal health and energy, the company’s product portfolio spans multiple industries, showcasing its ability to pivot and innovate:
Healthcare: Solutions like GT Mini, which monitor vaccine storage conditions, have gained traction with global organizations such as UNICEF and the Nigerian Ministry of Health.
Consumer Products: Collaborations with brands like Godrej and Philips Signify demonstrate innovation in smart air fresheners and solar lighting systems.
Fintech: The rise of UPI payments in India positions its sound box technology to capitalize on the booming digital payments market.
Below we discuss some key optionality areas that could provide significant upside potential if multiple product lines scale successfully.
1. Livestock Health Monitoring: A Billion-Dollar Opportunity
India, with over 250 million cattle, represents one of the world’s largest livestock markets. Yet, the sector faces challenges like high healthcare costs, disease outbreaks, and inefficient monitoring systems.
The company’s collaboration with a leading platform to develop IoT-enabled cattle health trackers could revolutionize livestock management. These trackers, priced around ₹1,000–1,500 per device, provide real-time health data, calving alerts, and abnormal behavior notifications. This empowers farmers with actionable insights, reducing costs and improving productivity.
Market Potential:
If just 10% of India’s cattle population (~25 million animals) adopts the technology, the addressable market would be ₹2,000–₹4,000 crore. With the support of an expansive network and robust data infrastructure, scaling this solution is a realistic prospect.
2. Weather Monitoring
The Company has developed a range of smart irrigation systems that optimize water usage based on real-time soil moisture data and weather forecasts. The company's IoT-enabled devices allow for remote monitoring and control of irrigation systems. The company is working with a leading telecom company on a pilot project and in future can scale up significantly if government support also comes in. As water scarcity becomes an increasingly critical issue in agriculture, the Company is well-positioned to play a significant role in promoting sustainable water management practices.
3. Smart Meter Upgrades: Riding the Wave of Energy Efficiency
India is undergoing a transformative upgrade of its power infrastructure, with smart meters at the forefront. These enable real-time monitoring of electricity usage, remote billing, and reduced transmission losses—essential for the country’s energy goals.
India’s National Smart Grid Mission aims to install over 250 million smart meters by 2025. This presents a multi-billion-dollar opportunity, particularly for companies specializing in IoT-enabled solutions. With expertise in Bluetooth Low Energy and NB-IoT modules, the company is well-positioned to tap into this market.
4. Focus on “Make in India” and Strategic Independence
As geopolitical tensions rise and cybersecurity concerns increase, India’s focus on reducing dependency on imports—especially in critical technology sectors—has intensified.
The company’s indigenized design, development, and manufacturing processes align seamlessly with the “Make in India” initiative. By offering secure and locally-produced IoT solutions, it stands to benefit from regulatory support and customer preference in healthcare, smart energy, and fintech sectors where data security is paramount.
Risks to Consider
While this opportunity presents exciting prospects, potential investors must remain cautious about execution risks, competition, and the company’s ability to scale profitably across multiple sectors.
Our detailed analysis, financial model, and growth thesis, is shared exclusively with our valued clients. If you are interested in accessing this research and joining a network of informed investors, please contact us at Gaurav.a@nineonecapital.in
Disclaimer: This post is for educational purposes only. We are currently studying this company and we personally have invested in it. Please conduct your own due diligence before making any investment decisions.