Cyient Share Price Target 2026: Brokerage firm Emkay has retained a Reduce rating on mid-tier engineering services provider Cyient’s stock, citing that corrective actions underpin hopes of growth rebound.
At 9:30 AM today, shares of Cyient were trading at Rs 893.45, up 1.74 per cent from the previous close.
The company posted a 67.7 per cent year-on-year (YoY) decrease in net profit to Rs 54.8 crore for Q4, as compared to Rs 170.4 crore a year ago. Sequentially, the profit dipped 40 per cent from Rs 91.8 crore.
Emkay has retained its Reduce rating on the stock, but raised its target price to Rs 900 from Rs 850.
“Cyient expects global ER&D spending to grow at a mid-to-high single-digit rate, driven by AI, cloud, software-defined products, and digital twins. The industry is evolving from point engineering engagements to lifecycle engineering, with FY27 growth expected to be supported by i) AI industrialisation across engineering workflows; ii) increasing adoption of software-defined products across mobility, medical devices, industrial, and aerospace sectors; iii) rising demand for sustainability and decarbonization engineering,” the note added.
The company’s revenue from operations stood at Rs 1,926.9 crore, as compared to Rs 1,909.2 crore year-on-year (YoY), up 0.92 per cent. On a quarter-on-quarter (QoQ) basis, the revenue rose 4.2 per cent from Rs 1,848.5 crore.
The board also approved buyback of equity shares worth Rs 720,00,00,000 at a price of Rs 1,125 per equity share, payable in cash, comprising a purchase of 64,00,000 shares, fully paid-up equity shares of the company of face value of Rs 5 each, representing up to 5.76 per cent of the total number of existing total paid-up share capital of the company.
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On a consolidated basis, revenue rose 3.8 per cent quarter-on-quarter (QoQ) to Rs 1,849 crore from Rs 1,781 crore in the previous quarter. Net profit, however, fell 28 per cent QoQ to Rs 91.8 crore compared with Rs 128 crore.
Earnings before interest and tax increased 14 per cent to Rs 167 crore from Rs 147 crore, with the EBIT margin improving to 9 per cent from 8.2 per cent.
(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.)
