Aditya Infotech, the company behind India’s leading CP PLUS brand of CCTV and video surveillance products, has been tipped for growth by analysts at IIFL Research, who initiated coverage with a “Buy” recommendation. In a report dated 9 January 2026, the brokerage set a 12-month target price of Rs 1,751, implying a potential upside of around 28% from the stock’s closing price of Rs 1,367 on 8 January.
The company, which listed on Indian stock exchanges in 2025, has transformed from a mainly distribution-focused business into a vertically integrated manufacturer with its own research and development capabilities. It operates large-scale production facilities capable of 1.8 million units per month, with plans to expand to about 2.5 million by the first half of FY27.Aditya Infotech benefits from strong brand recognition, a vast distribution network covering more than 500 cities through over 1,000 distributors and 2,000 system integrators, and a broad product range that includes analogue, IP, and AI-enabled cameras.
A key driver for the company has been new government regulations. Since April 2025, India’s Ministry of Electronics and Information Technology has required STQC certification (Standardisation Testing and Quality Certification) for IP-based CCTV cameras sold in the country. This policy has restricted imports — particularly from Chinese manufacturers — accelerated market formalisation, and boosted demand for locally compliant products.
Analysts note that Aditya Infotech’s extensive portfolio of STQC-certified items has helped it gain market share rapidly. The company’s share in India’s video surveillance market reportedly rose from around 20% in FY25 to approximately 31% in the first quarter of FY26, with further consolidation seen in subsequent periods.
The Indian CCTV and surveillance sector is expanding quickly, fuelled by urbanisation, infrastructure projects under initiatives such as Smart Cities, and growing security needs. Recent industry estimates suggest the market could grow at a compound annual rate of 18-20% or more through the late 2020s and into the 2030s, reaching multi-billion dollar valuations.IIFL forecasts strong earnings momentum for Aditya Infotech, projecting revenue, EBITDA, and profit after tax to grow at compound annual rates of 24%, 39%, and 49% respectively between FY25 and FY28. This is expected to come from a shift towards higher-margin IP cameras, increased sales of own-brand products, and cost savings from greater localisation.
The brokerage anticipates earnings per share to rise at a 46% compound rate over the period, supported by controlled capital expenditure of Rs 2-3 billion in manufacturing and R&D, healthy free cash flow generation, and a return on capital employed around 32%.Despite recent volatility in the share price — which has fluctuated between a 52-week low of about Rs 1,015 and a high of Rs 1,745 — the stock trades at a premium valuation, with forward price-to-earnings multiples declining as growth materialises.Aditya Infotech’s promoters hold about 77% of the company, with minimal pledged shares, while foreign and domestic institutional investors own smaller stakes.
The report highlights the firm’s positioning as a potential leader in India’s push for domestic manufacturing in security technology, amid broader efforts to reduce reliance on imports and enhance data security standards.
