Shares of MTAR Technologies Ltd. fell 8% in intraday trade on Thursday, hitting a low of Rs. 6,470 before recovering marginally to Rs. 6,538, against a previous close of Rs. 7,106.50. The stock has shed significant ground from its 52-week high of Rs. 8,449.50.
The decline comes even as analysts see a compelling structural case for the precision engineering company over a multi-year horizon.
Harshal Dasani, Business Head at INVAsset PMS, said MTAR sits at a niche intersection that very few Indian mid-cap manufacturers can access, with its franchise spanning nuclear, space, defence, clean energy and aerospace — each riding structural tailwinds from defence indigenisation, India's space ecosystem build-out and the global small modular reactor revival.
On the stock's persistent overhang, Dasani pointed squarely at customer concentration, primarily its dependence on a single clean-energy client, as the dominant concern through this cycle.
"Visible progress on order book diversification, with newer defence platform wins and a deeper nuclear and space pipeline, is what should drive the re-rating if it sustains," he said
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