Kaynes Tech Share Price: Today, there was such a storm of selling in the shares of integrated electronics manufacturing company Keynes Technology that it fell by more than 7%. The shares crashed when the company cut its revenue estimates for the entire financial year 2026. When it was reduced from ₹4400 crore to ₹4100 crore, there was a race among investors to sell its shares. The selling pressure was so intense that even after buying at lower levels, the shares could not recover much. Currently on BSE it is at ₹3518.10 with a decline of 2.66%. In intra-day it fell by 7.59% to ₹3340.00.
Why was Kaynes Technology’s revenue guidance cut?
Speaking with CNBC-TV18, Keynes Technology CFO Jairam Sampath said that the revenue estimate for the full fiscal year 2026 has been reduced from ₹4400 crore to ₹4100 crore. However, the operating margin guidance has been maintained at 16%. The company’s guidance cut comes after weaker than expected performance on all fronts in the December 2025 quarter. However, the company has maintained the sales target of $100 crore in fiscal year 2028. He further said that the company is on the verge of becoming operating cash flow positive on standalone basis and will turn cash flow positive on consolidated basis by the end of the financial year.
The company achieved revenue of ₹804 crore in the December 2025 quarter, which was much lower than the management’s estimate of ₹1300 crore, but the margin has increased on an annual basis. Now the company is estimated to have a revenue of ₹ 1700 crore in the March 2026 quarter. At the same time, in the first nine months of the financial year 2026, it could achieve only 54% of its revenue i.e. ₹ 2384 crore as against the estimate of ₹ 4400 crore. However, on a quarterly basis the company’s order book increased by 12% to ₹9,072 crore. In the December quarter, there was growth in the company’s automotive business which increased by 44% while the industrial business slipped by 4% and the railway business slipped by 18%.
What does the brokerage firm say?
Global brokerage firm JPMorgan has maintained Overweight rating on Keynes Tech and fixed the target price at ₹6100. The brokerage firm says two important things to watch out for in the earnings call are a possible cut in revenue guidance and an update on the process of discounting receivables to reduce net working capital days. The company’s net working capital debt increased to 139 days in the December quarter from 116 days in the first half of FY26.
Another brokerage firm Jefferies has maintained its buy rating and fixed the target price at ₹5940. However, the company has cited weaker-than-expected results on all fronts as well as a surge in net working capital and net debt. Overall, out of 26 analysts covering it, 18 have given buy rating, 8 have given hold and four have given sell rating.
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