Upgrades

Kaynes Technologies (KAYNES) continued its strong operating performance in 2QFY26, with revenue growth of 58% YoY, while EBITDA grew at a much faster pace of 80% YoY.

Kaynes Technologies (KAYNES) reported a robust 1QFY26 operating performance, with revenue growth of 34% YoY, while EBITDA grew at a much faster pace of 69% YoY.

uptick in the stock price. Our revised DCF-based TP is Rs 6,367 (up from Rs 6,068), implying PE of 60x FY27E earnings. KAYNES has maintained its guidance to reach Rs 45bn, however revised its margin guidance from 15.6% to ~17% by FY26. In Q1FY26 company is having an order book of Rs 74bn mainly driven from aerospace, industrial and automotive. The OSAT facility development is on track, with estimated revenue starting in Q4FY26, while PCB manufacturing is expected to begin as planned, contributing to revenue from FY27 onwards. Company acquired August Electronics to strengthen its North...

Domestic/export revenue mix stood at 68%/32% (vs 63%/37% in Q1FY25). We revise our FY26/27E EPS estimates by +11.0%/+2.7%, factoring in strong domestic macro tailwinds and further recovery in the demand from the USA and downgrade our rating from Accumulate' to Hold' due to sharp run up in the stock price. Apar Industries (APR) reported 27.3% YoY revenue growth while EBITDA margin declined 53bps YoY to 8.9%. The strong topline...

efficiency. SYRMA's Q1FY26 revenue decline by 18.6% YoY, due to major decline in consumer/IT & Railway segment ~48%/39% YoY. The company plans to focus more on high margin products aiming to reduce the consumer segment's contribution to 30% in FY26. Company order book stood at Rs 5455bn in Q1FY26, majorly driven from industrial and auto segment. SYRMA has guided revenue growth of 30% with EBITDA margin of 8.5-9.0% for FY26, revenue will be mainly driven by auto/industrial segment. Syrma SGS has formed a JV with Shinhyup Electronics Co. Ltd. to set up a multi/double-layer...

Syrma SGS Technology (SYRMA) reported a strong operating performance, with EBITDA up ~94% YoY in 1QFY26. EBITDA margins expanded 530bp YoY due to a favorable business mix (lower share of low-margin consumer business at 34% in 1QFY26 vs. 53% in 1QFY25).

We maintain our BUY recommendation on the stock.

Syrma’s Q4FY25 print was strong with EBITDA margin reaching to highest level (12.4%) in past 15 quarters. While there is reduction in revenues, we note there is reduction in low-margin business of consumer segment.

Going ahead, demand from the real estate and construction sectors will drive volumes of cables & wires. Further, The recent changes in income tax slab rates are anticipated to boost discretionary spending. While restocking and seasonal factors will drive overall growth going ahead....

Syrma SGS Technology (SYRMA) reported a strong operating performance in 4QFY25, with EBITDA rising ~46% YoY and margins expanding 510bp YoY, fueled by a favorable business mix (share of low-margin consumer business at 21% in 4QFY25 vs. 46% in 4QFY24).

We maintain our BUY recommendation on the stock.

Havells reported stronger-than-expected Q4FY25, partially led by higher trade inventory up-stocking in air conditioners. There is strong revenue growth of 39% in Lloyd. While there is healthy growth in primary sales, the company believes there is a possibility for slowdown in secondary sales in Q1FY26.

Havells India (HAVL)’s 4QFY25 revenue grew 20% YoY to INR65.4b (5% beat), led by better-than-expected growth in the Lloyd/C&W segments. Higher margins in the Lloyd and ECD segments have resulted in ~19% YoY EBITDA growth to INR7.6b (+17% vs. our est.).

Highly innovative electronics player poised to accelerate

Kaynes Technologies (KAYNES) reported a strong 3Q performance, with revenue rising 30% YoY, led by strong traction in the Industrials vertical (up 38% YoY, including EV) and automotive (up 28% YoY).

We maintain our BUY recommendation on the stock

Honeywell’s Q2FY2025 numbers saw a miss on estimates on all fronts, impacted by
weak execution, softer demand, and accounting treatment change.