Cyient Ltd. share price target

Cyient reported strong revenue growth of 4.7% QoQ led by strong growth in DLM business (+24.8% QoQ). With strong large deal wins of potential size of $106 Mn, Cyient is on path to deliver consistent growth in coming quarters back by strong deal wins. 3Q deal TCV is $106 mn and pipeline remains healthy across all segments except commercial aerospace. Cyient is seeing strong traction in areas such as digital engineering, embedded electronics, remote telemetry, IoT, power electronics, medical devices, EV triggered by the pandemic. Under leadership of new CEO, sales rigor, revenue...

We recommend BUY and assign 14x P/E multiple to its FY23E earnings of Rs. 44.5 per share which gives a TP of Rs. 623 per share, an upside of 23%.

Strong recovery across verticals, healthy deal pipeline and better execution by Cyient helped us gain the confidence about the growth prospect of the company. Hence, We are assigning 12x PE multiple to its FY23 EPS of Rs. 40.6 to revise our target upwards to Rs 480/-

While CYL's Q2FY21 consolidated revenue growth of 3.4% QoQ in US$ was in-line with our forecast, EBIT margin improvement of a whopping 590bps QoQ to 11% was a big beat to our forecast of 9.2%. EPS of Rs7.6, +3%/-14.8% QoQ/YoY was also a beat. CYL expects growth to improve in H2FY21 and expects low-teens YoY decline in revenue for FY21. It expects DLM to grow faster than the services segment. Also, CYL is confident of Q4FY21 EBIT margin being similar to that in Q2FY21. We factor EBIT margin beat in Q2FY21 and increase our FY21/22 EBIT margin by 80bps/125bps to 9.2%/11.4% and also increase EPS by ~8% for both the years. We...

Cyient reported Strong broad based growth in Q2 FY21, revenue stood at Rs. 1,003 crs up 0.1% YoY and 3.1% QoQ. Operating profit margins showed a strong growth of 52.5% YoY at 11%, Services operating margin grew by 170 bps at 12.2% than previous quarter

Cyient Ltd, formerly known as InfoTech Enterprises is one amongst the leading players in the IT enabled services space providing services to the Engineering Research and Development segment. In Q1FY21, consolidated revenue reported a de-growth of 8.9%...

Weak quarter , valuation at comfortable levels. Cyient Ltd, formerly known as InfoTech Enterprises is one amongst the leading players in the IT enabled services space providing services to the Engineering Research and Development segment. We expect growth in FY22E due to communication and transportation vertical and value Cyient at 10x FY22E EPS (Close to 30% discount to last 5 year average P/E) with revised down target price of Rs.360 and change rating from Buy to Accumulate....

Cyient reported better than expected results in Q1 FY21. Revenue declined by 12.5%QoQ in cc terms and stood at $130.6mn. Its services revenue stood at $112.2 mn declined 14.3% in CC terms.DLM business showed a strong growth of 8.5%QoQ and stood at $18.4mn.