Vijay Kedia Exits Tata Stock After Multibagger Returns in 5 Years
On July 23, 2025, ace investor Vijay Kedia made headlines by exiting his stake in Tejas Networks Ltd., a Tata Group company, after a remarkable five-year journey that yielded multibagger returns. Known for his SMILE (Small in size, Medium in experience, Large in aspiration, Extra-large in market potential) investment philosophy, Kedia’s departure from Tejas Networks, as reported by LiveMint and CNBC TV18, has sparked widespread interest among investors. This blog explores the details of Kedia’s exit, the performance of Tejas Networks, and the broader implications for retail investors tracking his moves.
The Journey with Tejas Networks
Vijay Kedia, a Mumbai-based investor with a knack for spotting multibagger stocks, first entered Tejas Networks in June 2020, acquiring a 1.52% stake, which he later increased to 4.2% by September of that year. As of the March 2025 quarter, Kedia held 18 lakh shares, representing a 1.02% stake through his firm, Kedia Securities Pvt Ltd. Over the past five years, Tejas Networks delivered stellar returns of over 975%, transforming from a share price of Rs 133.30 in 2020 to a peak of Rs 1,500 in October 2024, according to Trade Brains and Economic Times. This performance turned the stock into a true multibagger, aligning with Kedia’s strategy of investing in high-growth, small-to-midcap companies.
Tejas Networks, a global R&D-driven telecom equipment company headquartered in Bengaluru, specializes in optical transmission products used in cellular backhaul, broadband, and defense communication networks. Its growth was fueled by India’s push for 5G infrastructure and government support for indigenous technology, positioning it as a key player in the telecom sector. However, recent financial challenges prompted Kedia’s exit, signaling a strategic shift.
Why Kedia Exited: A Calculated Move?
The latest shareholding data from the Bombay Stock Exchange (BSE) for the quarter ending June 2025 shows that Kedia’s name no longer appears among public shareholders holding over 1%, indicating either a complete exit or a reduction below the disclosure threshold. This move aligns with Tejas Networks’ weak Q1 FY26 performance, where the company reported a net loss of Rs 194 crore and a sharp revenue drop, as noted by Economic Times. The stock, trading at a 52-week low of Rs 557.80 on July 23, 2025, reflected a 11% decline over the past month, a stark contrast to its earlier highs.
Kedia’s decision to exit appears to be a calculated response to these financial headwinds. His investment philosophy emphasizes backing companies with strong management and long-term growth potential, but he is also known for trimming stakes when fundamentals weaken or market conditions shift. The company’s recent struggles, coupled with broader market dynamics, likely prompted Kedia to book profits after a 975% gain over five years. Posts on X, including one from @ETMarkets, echoed this sentiment, noting Kedia’s exit as a strategic profit-taking move after a multibagger run.
Tejas Networks’ Performance: A Mixed Bag
Tejas Networks’ journey over the past five years has been a rollercoaster. From a low of Rs 359.5 in March 2022, the stock soared to a 52-week high of Rs 1,500 in October 2024, driven by its role in India’s 5G rollout and contracts with major telecom providers. The company’s products, used by telecom giants and defense networks, benefited from government initiatives like the Atmanirbhar Bharat campaign, which prioritized homegrown technology.
However, Q1 FY26 results painted a grim picture. A significant revenue decline and a net loss of Rs 194 crore signaled operational challenges, potentially linked to global supply chain issues and intense competition in the telecom equipment sector. Despite its long-term potential, these short-term setbacks likely influenced Kedia’s decision to exit, as he has previously cited exiting stocks when management loses its “fire in the belly” or when growth prospects dim.
Kedia’s Portfolio: A Broader Perspective
Kedia’s portfolio, valued at over Rs 1,585.8 crore as of June 2024 per Trendlyne, remains a beacon for retail investors. His holdings span diverse sectors, including:
- Atul Auto (20.9% stake): A three-wheeler manufacturer with 110% returns in the last 12 months.
- Tac Infosec (14.6% stake): A cybersecurity SME delivering 195% returns in one year.
- Innovators Facade Systems (10.7% stake): A construction firm with strong growth in infrastructure.
- Global Vectra Helicorp (5.07% stake): A helicopter charter service with 368% returns over three years.
- Precision Camshafts (2.10% stake): An auto ancillary stock with 494% returns in five years.
Kedia’s recent moves include increasing stakes in Advait Energy Transitions (Rs 17.25 crore investment) and Greaves Cotton (Rs 25 crore for a 0.52% stake), reflecting his continued focus on emerging sectors like electric vehicles and renewable energy. His exit from Tejas Networks, however, underscores his disciplined approach to cutting losses or securing gains when fundamentals falter.
Implications for Retail Investors
Kedia’s exit from Tejas Networks has sparked debate among retail investors, with posts on X like @VinodBh87402638 warning that retail investors often get “stuck” when big players exit at all-time highs. His departure could signal caution for those holding Tejas Networks, especially given its recent financial struggles and a 52-week low. However, Kedia’s SMILE strategy suggests he may have redirected capital to other high-potential stocks, as seen in his recent investments in Greaves Cotton and Advait Energy.
For investors tracking Kedia’s moves, his exit highlights the importance of aligning investments with personal financial goals rather than blindly following star investors. As Economic Times notes, while Kedia’s portfolio offers valuable insights, replicating his conviction and risk appetite is challenging. Investors should monitor Tejas Networks’ upcoming quarters for signs of recovery, particularly in its 5G and defense contracts, while exploring other Kedia-backed stocks for potential opportunities.
The Bigger Picture
Vijay Kedia’s exit from Tejas Networks after a 975% return over five years is a testament to his market acumen and disciplined investment approach. While Tejas Networks’ recent performance has been lackluster, its long-term potential in India’s telecom ecosystem remains intact. For Kedia, this move aligns with his philosophy of capitalizing on multibagger gains while staying agile in response to changing market dynamics.
As India’s stock market braces for a blockbuster second half of 2025, with IPOs worth Rs 2.58 lakh crore in the pipeline (Economic Times), investors must remain vigilant. Kedia’s journey—from picking ACC at Rs 300 in 1992 to exiting Tejas Networks in 2025—underscores the value of patience, research, and strategic timing. For more details, refer to LiveMint, Economic Times, and CNBC TV18.
