Shares of multibagger KPIT Technologies Ltd have zoomed nearly 123% from their 52-week low hit in the beginning of this year. The multibagger IT stock touched its yearly low of Rs 676.15 on January 4, 2023. KPIT Technologies stock has recovered 122.70% from its 52-week low till date. The stock closed 0.75% lower at Rs 1505.80 in the current session. Despite the stellar rally in 2023, the IT stock is still down 8.15% from its record high of Rs 1639.60 reached on November 20 this year.
KPIT Technologies shares have zoomed 116.18% this year and gained 115.14% in a year. The multibagger IT stock opened higher at Rs 1518.55 in the current session against the previous close of Rs 1517.15 on BSE. The KPIT Technologies stock is trading in neither in the overbought zone nor in the oversold zone. A total of 0.28 lakh shares of the firm changed hands amounting to a turnover of Rs 4.28 crore on BSE. Market cap of KPIT Technologies fell to Rs 41,283.32 crore on Thursday.
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International brokerage Goldman Sachs has raised its 12-month target price from Rs 1,500 per share to Rs 1,710 per piece.
The company's balance sheets are getting stronger, with analysts estimating an almost $420 billion in net cash balances during the calendar year 2023 (CY23) at the top 22 original equipment manufacturers (OEMs), compared to $379 billion at companies such as KPIT Technologies in the previous calendar year 2022 (CY22), the brokerage said.
Large automakers remain committed to electrification or autonomous vehicle efforts, and expect improved EV margin and lower losses from autonomous vehicles in 2024, said Goldman Sachs.
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Shiju Koothupalakkal - Technical Research Analyst, Prabhudas Lilladher said, "The stock has been moving sideways for quite some time resisting near the Rs 1555 zone and would need a decisive breach above to confirm a breakout with next initial target expected till Rs 1640-1660 levels. As of now, showing some sluggishness with near-term support maintained near Rs 1450 zone, the overall bias is maintained neutral. An indicator like RSI is currently well placed but would need a positive candle pattern to confirm the upward move."
Abhijeet from Tips2trades said, "KPIT Technologies is slightly bearish on the Daily charts with strong resistance at Rs 1624. A daily close below support of Rs 1426 could lead to a target of Rs 1204 in the near term."
The stock had a beta of 0.2 in the last one year, indicating very low volatility during the period. KPIT Technologies shares are trading higher than the 10 day, 20 day, 50 day, 100 day and 200 day moving averages.
The firm reported a 69.21 percent rise in net profit at Rs 141.40 crore for the second quarter.
On a sequential basis, net profit grew 5.18 percent over the last quarter. Consolidated revenue rose 60.23 percent over last year and by 8 percent over the last quarter to Rs 1,208.86 crore in the September quarter of FY24.
About KPIT Technologies
KPIT Technologies Limited is a technology company, which is focused on automobile engineering and mobility solutions. The company offers electronic and mechanical engineering solutions to its customers. It also analyses data for diagnostics, maintenance and tracking of assets and related connectivity solutions, including data and analytics beyond embedded or mechanical engineering and their connectivity and integration with back-end information technology (IT) systems and platforms for the automobile and mobility sector.