Hold Kaynes Technology India; target of Rs 6367: Prabhudas Lilladher

Prabhudas Lilladher recommended hold rating on Kaynes Technology India with a target price of Rs 6367 in its research report dated August 05, 2025.

Broker Research

August 06, 2025 / 13:50 IST

hold

26 Aug, 2025 12:21

Volume

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Prabhudas Lilladher's research report on Kaynes Technology India

We interacted with KAYNES’ management to understand its business outlook, order book break up, segment growth, and capex plans. The company maintained its Rs45bn FY26 revenue guidance and raised margin guidance to ~16%, driven by higher contributions from high-margin segments and operating leverage. KAYNES is also pursuing inorganic opportunities for geographical expansion, IP enhancement, and backward integration, while segments like Aerospace, Railways, OSAT and PCBs are expected to fuel margin expansion.

Outlook

We are maintaining our ‘HOLD rating’ due to the significant uptick in the stock price. We are maintaining our TP of Rs 6,367, implying PE of 60x FY27E earnings. We estimate FY25-27E revenue/EBITDA/PAT CAGR of 52.2%/56.7%/54.9%, with EBITDA margin expansion of ~90bps. KAYNES is currently trading at 93x/60x of FY26/FY27E earnings. Maintain ‘HOLD’.

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