Dixon Tech Share Price: Brokerage firm Morgan Stanley has maintained an ‘underweight’ rating on electronics manufacturing services company Dixon Technologies stock amid reports that the government is likely to clear the long-pending joint venture between the company and Chinese smartphone maker Vivo this month.
At 9:20 AM today, shares of Dixon were trading at Rs 1,2480.20, down 1.46 per cent from the previous close.
Created with AI. Errors are possibleMorgan Stanley has maintained underweight rating on Dixon Technologies with a target price of Rs 8,157.
– Production-linked incentive 1.0 programme expired end of Q4FY26; benefits from mobile component PLI expected to show up only in second half of FY27
– PLI 2.0 on mobile still pending conditions precedent on export quantum and local value addition along with effective date
– Tight global memory chip availability and pricing affecting handset and IT hardware brands, impacting Dixon given mobiles at 78% of FY26 revenue
– Vivo joint venture approval still awaited; consolidation expected around two months after approval, already built into consensus
– Morgan Stanley questions whether revenue growth above 20-25% is sustainable beyond FY28 given current business mix
Dixon Q4 Results
Dixon Technologies reported a 36.03 per cent year-on-year (YoY) decline in its consolidated net profit to Rs 256.41 crore in the fourth quarter of the 2025-26 financial year (Q4 FY26).
In the corresponding period of the previous fiscal year, it logged a net profit of Rs 400.82 crore, according to the company’s regulatory filing.
During the quarter under review, its revenue from operations jumped 2.12 per cent YoY to Rs 10,510.51 crore, compared to Rs 10,292.54 crore in the March quarter of the 2024-25 fiscal year (Q4 FY25).
The company’s revenue from its mobile and other electronics manufacturing services (EMS) business increased 4 per cent YoY to Rs 9,485 crore during the quarter, in comparison to Rs 9,102 crore in the same period last year.
It recorded a revenue of Rs 697 crore from the consumer electronics and appliances (LED TV and refrigerator) in the latest March quarter, up marginally YoY from Rs 689 crore in Q4 FY25.
Its revenue from the home appliances division, which contributes 3 per cent to the firm’s overall revenue, grew 9 per cent YoY to Rs 329 crore in the quarter ending March 31, 2026, from Rs 302 crore.
However, the company’s total expenses also shot up to Rs 10,230.77 crore, from Rs 9,981.92 crore a year ago.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
