KPIT Technologies Share Price Surges After Mixed Q3 Earnings Report
Despite the slight drop in net profit, KPIT’s performance in terms of revenue and operational efficiency appears to have brought positive momentum in the stock.
Shares of KPIT Technologies surged more than 6% on Wednesday, following the release of its third-quarter earnings, which showed mixed results.
While the company's net profit saw a slight decline, its revenue and operational performance were relatively stable, providing investors with cautious optimism.
KPIT Technologies reported a net profit of Rs 187 crore, reflecting an 8.2% decline compared to the previous quarter’s Rs 204 crore.
Meanwhile, revenue for the quarter rose marginally by 0.4%, reaching Rs 1,478 crore compared to Rs 1,471 crore in the previous quarter.
The company posted a 3.3% increase in Ebit, amounting to Rs 254 crore, up from Rs 246 crore in the previous quarter and the Ebit margin expanded to 17.2%, an improvement from the previous quarter’s 16.7%.
Despite the slight drop in net profit, KPIT’s performance in terms of revenue and operational efficiency appears to have brought positive momentum in the stock.
KPIT Technologies share price rose as much as 6.50% to Rs 1,341 apiece. The stock pared gains to trade 5.01% higher at Rs 1,322.15 apiece, as of 12:50 p.m. This compares to a 0.72% advance in the NSE Nifty 50 index.
It has fallen 6.04% in the last 12 months. Total traded volume so far in the day stood at 2.59 times its 30-day average. The relative strength index was at 45.
Out of 17 analysts tracking the company, 11 maintain a 'buy' rating, three recommend a 'hold,' and three suggest 'sell,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 33.1%
