KPIT Technologies shares gained 3% in morning trade after Motilal Oswal Financial Services (MOSL) initiated coverage on the stock with a Buy rating and a target price of ₹1,600. As of 9:44 AM, the shares were trading 3.15% higher at Rs 1,234.30
In its report, MOSL highlighted KPIT Tech as a “software powerhouse” within the engineering and R&D services segment. The brokerage projects revenue to touch $1 billion by FY28, supported by a strong demand outlook and steady growth across verticals. This implies a revenue CAGR of about 15% between FY25 and FY28.
EBIT margins are also expected to expand from 17.1% in FY25 to 19% by FY28. MOSL noted that scale benefits, along with strategic acquisitions such as Caresoft, will play a key role in driving profitability.
The positive outlook and growth forecasts have boosted investor sentiment, keeping KPIT Technologies in focus on the back of upbeat sectoral demand.
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