Kaynes Technology shares hit 52-week low after Q4 miss; is more downside ahead for investors?
Kaynes: The stock tumbled 4.69 per cent to hit a one-year low of Rs 3,182.55 during the session. It later recovered some losses and was last seen trading 1.47 per cent lower at Rs 3,290. Even at this level, the counter has plunged 47.30 per cent in the past six months.
- May 15, 2026,
- Updated May 15, 2026 1:30 PM IST
Shares of Kaynes Technology India Ltd extended their losing run for the second consecutive session on Friday, slipping to a fresh 52-week low following weak quarterly earnings.
The stock tumbled 4.69 per cent to hit a one-year low of Rs 3,182.55 during the session. It later recovered some losses and was last seen trading 1.47 per cent lower at Rs 3,290. Even at this level, the counter has plunged 47.30 per cent in the past six months.
Brokerages turned cautious on the EMS player after the company missed revenue guidance and flagged execution delays.
Equirus Securities noted, "Kaynes missed its earlier FY26 revenue guidance of Rs 4,100 crore due to execution delays in key government-linked projects and slowdown in a large EV client. FY26 revenue came in at Rs 3,600 crore (+33 per cent YoY), 14 per cent below EE."
"Management has materially lowered its industry growth estimates, guiding for ~30 per cent revenue growth in FY27. We remain sceptical of Kaynes achieving its stated $1 billion (~Rs 8,200 crore) revenue aspiration by FY28, as the OSAT and PCB businesses are yet to ramp up in line with the envisaged plan. We build in FY28 revenue of Rs 6,600 crore," it added.
The domestic brokerage downgraded the stock to 'Reduce' from 'Add' and sharply cut its target price.
"Both operating performance and balance-sheet stress continue to intensify, reflected in negative OCF, stretched working capital and rising leverage, while execution risks in new projects deepen. We slash FY27/FY28 EPS by 18 per cent/15 per cent and downgrade the stock to REDUCE (from ADD), with a Sep'27 SOTP-based (Exhibit 2) TP of Rs 3,100 (vs Mar'27 TP of Rs 4,120 earlier)," Equirus stated.
Nuvama Institutional Equities also flagged concerns over weaker-than-expected earnings and softer guidance.
"Kaynes posted a weaker-than-expected Q4 as it missed its guidance on revenue, OCF and working capital levels and attributed this to geopolitical disruptions affecting order flows, execution and supply. Considering the volatile market environment, Kaynes now guides for 2x industry growth (estimated to be 16–18 per cent for FY27) while refraining from any explicit absolute revenue/growth guidance," the brokerage said.
The brokerage retained its 'Hold' call but reduced its target price.
"We are cutting FY27E/28E/29E EPS by 1–9 per cent to factor in this guidance. We value Kaynes at 35x FY29E EPS with discount at 18 per cent, yielding a Mar-27E TP of Rs 3,150 (Rs 3,550 earlier); maintain 'HOLD'. At CMP, the stock trades at 57x/45x/32x FY27E/28E/29E EPS," it stated.
A market expert advised caution following the sharp correction in the stock. "The quarterly results were not up to expectations, due to which the stock has taken a hit. It is suitable for high-risk appetite investors. Those with a long-term view can continue to hold their positions," said Kranthi Bathini, Equity Strategist at WealthMills Securities.
Shares of Kaynes Technology India Ltd extended their losing run for the second consecutive session on Friday, slipping to a fresh 52-week low following weak quarterly earnings.
The stock tumbled 4.69 per cent to hit a one-year low of Rs 3,182.55 during the session. It later recovered some losses and was last seen trading 1.47 per cent lower at Rs 3,290. Even at this level, the counter has plunged 47.30 per cent in the past six months.
Brokerages turned cautious on the EMS player after the company missed revenue guidance and flagged execution delays.
Equirus Securities noted, "Kaynes missed its earlier FY26 revenue guidance of Rs 4,100 crore due to execution delays in key government-linked projects and slowdown in a large EV client. FY26 revenue came in at Rs 3,600 crore (+33 per cent YoY), 14 per cent below EE."
"Management has materially lowered its industry growth estimates, guiding for ~30 per cent revenue growth in FY27. We remain sceptical of Kaynes achieving its stated $1 billion (~Rs 8,200 crore) revenue aspiration by FY28, as the OSAT and PCB businesses are yet to ramp up in line with the envisaged plan. We build in FY28 revenue of Rs 6,600 crore," it added.
The domestic brokerage downgraded the stock to 'Reduce' from 'Add' and sharply cut its target price.
"Both operating performance and balance-sheet stress continue to intensify, reflected in negative OCF, stretched working capital and rising leverage, while execution risks in new projects deepen. We slash FY27/FY28 EPS by 18 per cent/15 per cent and downgrade the stock to REDUCE (from ADD), with a Sep'27 SOTP-based (Exhibit 2) TP of Rs 3,100 (vs Mar'27 TP of Rs 4,120 earlier)," Equirus stated.
Nuvama Institutional Equities also flagged concerns over weaker-than-expected earnings and softer guidance.
"Kaynes posted a weaker-than-expected Q4 as it missed its guidance on revenue, OCF and working capital levels and attributed this to geopolitical disruptions affecting order flows, execution and supply. Considering the volatile market environment, Kaynes now guides for 2x industry growth (estimated to be 16–18 per cent for FY27) while refraining from any explicit absolute revenue/growth guidance," the brokerage said.
The brokerage retained its 'Hold' call but reduced its target price.
"We are cutting FY27E/28E/29E EPS by 1–9 per cent to factor in this guidance. We value Kaynes at 35x FY29E EPS with discount at 18 per cent, yielding a Mar-27E TP of Rs 3,150 (Rs 3,550 earlier); maintain 'HOLD'. At CMP, the stock trades at 57x/45x/32x FY27E/28E/29E EPS," it stated.
A market expert advised caution following the sharp correction in the stock. "The quarterly results were not up to expectations, due to which the stock has taken a hit. It is suitable for high-risk appetite investors. Those with a long-term view can continue to hold their positions," said Kranthi Bathini, Equity Strategist at WealthMills Securities.