ICICI Direct recommended hold rating on Cyient with a target price of Rs 300 in its research report dated July 17, 2020.
Motilal Oswal recommended Neutral rating on Cyient with a target price of Rs 320 in its research report dated July 17, 2020.
Bodanapu added that the company saw some significant wins in both new business and existing clients in June 2020 quarter that will help strengthen Cyient's revenue outlook in the coming quarters.
Net Sales are expected to decrease by 10.3 percent Q-o-Q (down 11.6 percent Y-o-Y) to Rs. 962.6 crore, according to Motilal Oswal.
ICICI Direct recommended hold rating on Cyient with a target price of Rs 225 in its research report dated May 08, 2020.
Cyient's revenue stood at $149.2 million, down 3.9/9.7 percent QoQ/YoY against HDFC Securities' estimates of $153 million, while constant currency revenue degrowth was 3.7 percent QoQ.
Aggarwal added that the company continues to tap opportunities for automation, pyramid rationalisation, subcontracting cost optimisation and other cost levers.
The agreement will help to accelerate the evolution of its signaling technology and expand and enhance its project execution capacity.
The company is producing assemblies that are used in X-ray generators from GE Healthcare and diagnosis units from Molbio Diagnostics to enable rapid disease testing in India
Q4FY20 will see marginal growth from the cost optimization program.
Its revenue, however, decreased 6.9 per cent to Rs 1,106 crore for the period under review as against Rs 1,187.6 crore in the third quarter (Q3) of 2018-19.
Company has initiated a cost optimisation program to achieve sustainable margins for the services business.
Net Sales are expected to decrease by 5.1 percent Q-o-Q (down 7.4 percent Y-o-Y) to Rs. 1,099.7 crore, according to Motilal Oswal.
In dollar terms, the net profit declined 22.8 per cent to $13.8 million, while revenue was lower by 2.8 per cent at $164.2 million in the said quarter year-on-year.
Net Sales are expected to increase by 4.7 percent Q-o-Q (down 4 percent Y-o-Y) to Rs. 1,140 crore, according to Prabhudas Lilladher.
Net Sales are expected to decrease by 5.4 percent Q-o-Q (up 3.1 percent Y-o-Y) to Rs. 1,122.6 crore, according to Motilal Oswal.
The stock witnessed spurt in volumes by more than 1.40 times. It was trading with volumes of 4,220 shares, compared to its five day average of 2,855 shares, an increase of 47.81 percent.