Codan Ltd (ASX: CDA) is a technology company involved in metal detection and communications. 

Its share price had a glorious 12 months, hitting a near all-time high on Monday. 

At the time of writing, shares are trading 58.55% higher than this time last year. 

That means $5,000 invested 12 months ago would be worth roughly $7,927 today. 

For context, the S&P/ASX 200 Index (ASX: XJO) is up just 7.35% over that same period. 

What's driven this growth?

Experts have pointed to the communications business as a key driver of the recent growth. 

Last month Macquarie listed the company as a top option in tech and telecommunications. 

According to the broker, Codan has consistently delivered strong growth in the communications business over the past three years.

This was most recently apparent in the company's reporting season results in February. 

It included a 21% year-on-year boost in earnings before interest and tax (EBIT) to $65.8 million. Net profit after tax (NPAT) of $46.1 million was also up 21% from H1 FY 2024.

Can the growth continue?

The company appears optimistic about near term growth in its communications department thanks to military spending. 

Codan designs and manufactures mission-critical communication solutions tailored for military applications. 

These include technology including secure high-frequency (HF) radios, tactical communication systems, body-worn network video transmitters, and soldier data-link devices used for real-time situational awareness and mission coordination.

According to Codan, they expect increased global military and defence spending from Australian, USA, Canada, New Zealand and the UK. 

Based on messaging from the company, communications overall revenue growth is expected to exceed 15% for the full year 25. 

What are brokers saying?

At the time of writing Codan shares are trading at $17.25 each. 

It seems brokers tend to align with the positive messaging out of the company, however it seems the ceiling could be in sight. 

Broker Bell Potter has a price target of $18.17 on Codan shares. Despite nearing an all-time high on Monday, this still indicates a 5.33% upside. 

Andrew Wielandt, DP Wealth Advisory (via the Bull) said earlier this month that the 12-month broker consensus target is $17.90. 

Trading View has a consensus 12 month price target of $17.93 on Codan shares.