Sterlite Tech shares hit 5% lower circuit limit for 2nd day; stock still up 474% in 2026

Sterlite Technologies Ltd, which is leveraging its vertical integration and purpose-built connectivity suite for AI datacentres, plunged 5 per cent in Monday's trade, adding to a 5 per cent decline on Friday after an 11-day rally. The stock fell as markets globally declined on a AI reversal trade. Despite this, Sterlite Technologies is up 56 per cent in the past one month, a massive 513.90 per cent in the past six months and 474 per cent overall in 2026 so far.

On Monday, the stock was locked at its 5 per cent lower circuit limit at Rs 588.30 on BSE. In a recent clarification to NSE and BSE, Sterlite Technologies said it was aware that as per Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, it is required to intimate to the exchanges all the events that have a bearing on its operations/performance which includes all price sensitive information.

"The company, from time to time, has made all necessary disclosures to the Stock Exchanges of such events, information etc. within stipulated timelines. The company also confirms that it is not aware of any unpublished price sensitive information, which in its opinion may have a bearing on the price/volume behaviour in the scrip, which is required to be intimated to the Stock Exchanges as per Regulation 30 and that has not been so intimated," Sterlite Technologies said on June 3. 

Foreign brokerage recently, on May 26, initiated coverage on the stock after a $1 billion order from a US hyperscaler, saying it was a win for Sterlite's AI DC optical products and that the company offers 49 per cent Ebitda growth. The multi-year order product award letter (PAL) was valued at $1.1 billion through a subsidiary. The PAL covers the supply of optical connectivity products over FY27-29 for building AI data centre infrastructure for a US hyperscaler. 

"STL’s order book in FY26 was already up 67 per cent to Rs 7,300 crore, which has been followed by this mega win. We build this US$1.1bn order into our estimates, resulting in forecast increases of 25-64 per cent over FY27-29CL. As a result, we lift our TP from Rs 405 to Rs 655. This win also strategically expands its presence in AI data centres, improving future growth visibility and even underscoring competitiveness in international markets. STL now offers a 49 per cent Ebitda Cagr over FY26-29CL. Maintain O-PF," CLSA said on May 26. 

CLSA said Sterlite Tech has been looking to scale contribution from the datacentre segment, which was at a 19 per cent share in FY26. The company had launched the Neuralis purpose-built connectivity suite for AI datacentres, enabling ultra-high-density cabling for GPU-intensive workloads. 

"Meanwhile, as per Mordor Intelligence, North America datacentre capacity is expected to expand from 60GW to 114GW by 2030. While India datacentres will grow 5 times to 8GW led by supportive government policy, power availability and tax holidays extending to 2047," CLSA said.