Small-cap IT stock: Blue Cloud Softech share price extended its winning streak to the third consecutive day on Thursday, December 11. The small-cap IT stock rose as much as 2.39% to ₹25.64 apiece during the intraday session.
The small-cap stock has been witnessing a strong rally over the past five sessions, having surged nearly 22% during this period. However, the share price trend in the near term has remained negative as the stock has declined 11.50% in a month and 56.27% in the last year.
Meanwhile, the small-cap stock has proven to be a wealth-creating machine for its long-term investors by giving multibagger returns of whopping 350% in the last five years.
What's behind the rally?
Blue Cloud Softech Solutions' strong three-day surge is being fueled by its fundraising plans and AI-focused growth strategy.
In an exchange filing, the company revealed that it has secured in-principle approval from BSE to issue 31,68,00,000 equity shares at ₹23.06 each via preferential allotment. The proceeds will support the acquisition of M/s AIS Anywhere, with 14,10,75,000 shares designated for Mrs Janaki Yarlagadda and 17,57,25,000 shares for M/s Siraj Holdings LLC. Following the issuance, the firm must file a listing application within 20 days, as required by regulations.
Blue Cloud has further accelerated its growth by announcing a major global expansion strategy aimed at the $957.30-billion addressable market across 56 Commonwealth countries. The plan focuses on scaling its AI-driven healthcare platforms — BluBio (biobanking and diagnostics), BluHealth (digital health), and Bioster (environmental safety). With support from the Commonwealth Medical Association and the Indian Medical Association, representing more than 1.5 million healthcare professionals, the company is positioned for faster adoption through unified regulatory and digital frameworks.
Strengthening its order book, Blue Cloud also secured a sizeable ₹110.8-crore contract for Data Annotation and AI Training Services from US-based Stratos Forge Inc earlier this month. The firm noted that data annotation has progressed from simple manual labelling to sophisticated, automation-powered processes capable of handling advanced formats such as 3D LiDAR, semantic text datasets, and high-resolution imaging — areas where Blue Cloud continues to expand its expertise.
For the September quarter, the company reported a net profit of ₹15 crore, an increase from ₹11 crore in Q2FY25. Its operating revenue grew to ₹253 crore from ₹235 crore in the same quarter last year, reflecting a 7.6% annual rise.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.
