Dixon Technologies Drops 10% Despite Healthy Q3 Numbers
Despite reporting stellar Q3 numbers, shares of Dixon Technologies (India) hit a 10% lower circuit at ₹15,804.
Dixon Technologies Drops 10% Despite Healthy Q3 Numbers
Despite reporting stellar Q3 numbers, shares of Dixon Technologies (India) hit a 10% lower circuit at ₹15,804. Dixon Technologies reported a net profit of ₹217 crore up 124%, compared to ₹97 crore in the corresponding quarter a year ago.
On a year-to-date basis, the stock declined by 12%, thereby underperforming the Nifty 50 index, which slipped 1.5 percent during the same period.
While Jefferies maintained an 'Underperform' rating on the stock, setting a target price of ₹12,600, Motilal Oswal highlighted potential risks lamenting slower-than-expected market growth, increased competition among many.
Nuvama Institutional Equities maintained a 'Hold' rating on the stock, based on its fair valuation. It said, “While we admire Dixon's exceptional execution and future prospects, we maintain 'Hold' and await better price point for entry.” The brokerage raised its target price to ₹18,790 from ₹16,400.
As of 11:00 am, shares of Dixon Technologies (India) Ltd are trading at ₹15,341.05 apiece, down 12.63%.
