Shares of Kaynes Technology surged 6.35% in early trade on the NSE, hitting ₹4,957.55, reflecting strong investor sentiment following positive brokerage outlooks. The stock opened at ₹4,719.00, reaching an intraday high of ₹5,081.00, and a low of ₹4,591.05, significantly above its previous close of ₹4,661.35.
The rally in Kaynes Technology follows Jefferies’ recent upgrade to a ‘Buy’ rating while setting a revised target price of ₹5,400 from its earlier estimate of ₹6,950. The brokerage cited a 38% stock correction in the past month, making valuations attractive, and highlighted a strong Q3 order book up 60% YoY to ₹60 billion. Additionally, 9MFY25 sales and PAT growth stood at 49% and 74% YoY, respectively, supporting expectations of an FY25-27 EPS CAGR of 50%, driven by a robust order pipeline and expanding component ecosystem.
Meanwhile, Nomura has also maintained its Buy call on Kaynes, setting a higher target price of ₹6,146. The brokerage emphasized long-term catalysts in OSAT and PCB, which are expected to drive revenue growth, with the company targeting ₹28-29 billion in revenue while maintaining over 15% operating margins for FY25. Nomura also noted that Kaynes is currently trading at 36x its FY27 forward EPS, which still leaves room for upside.
The stock remains well above its lower circuit limit of ₹3,729.10 and has room to move towards its upper circuit of ₹5,593.60 in case of continued buying momentum. Over the past 52 weeks, the stock has fluctuated between a high of ₹7,822.00 and a low of ₹2,424.00, reflecting its volatile yet strong growth trajectory.
Analysts remain bullish on the company’s expansion into high-end electronic manufacturing, with the EMS demand tailwinds acting as a crucial growth factor. Market participants will closely watch Kaynes Technology’s performance in the coming sessions, particularly how it sustains this upward trend amid a broader market rally.
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