Cyient Ltd. share price target

We recommend a BUY on the stock and assign a 22x P/E multiple to the company's FY24E earnings of Rs 59.2/share. This gives a TP of Rs 1,300/share, implying an upside of 12% from CMP.

Cyient reported revenue growth of 4.6% QoQ USD (Ple: 5.2%, Cons: 4.8%). Revenue tad below estimates due to lower growth in Services (4.5% QoQ USD) caused by decline in Communication (-4.1% QoQ USD) and flattish QoQ growth in Rail transportation. Portfolio (11.7% QoQ USD) and Utilities (+27.4% QoQ USD) reported strong growth. DLM business reported growth of (+5.4% QoQ USD). Management is confident of growing double digit in FY22 in...

Consolidated revenue grew by 4.6%/11.2% QoQ/YoY in US$ and +5.6% in CC, was better than our forecast. EBIT margin of 14%, +90bps QoQ, primarily led by expansion in the IT services revenue. DLM business (16.6% of revenue) grew by 5.4%/22.3% QoQ/YoY to US$25.5mn, Services business also grew by 4.5% /9.2% QoQ/YoY in US$ and 5.5% QoQ in CC. Utilities vertical (9.9% of revenue) reported a healthy growth of +27.4%/47.4% QoQ/YoY, also Portfolio business (32.8% of revenue) grew by +11.7%/17.7% QoQ/YoY. For FY22, CYL reiterated its guidance for a double digit revenue growth in CC in services business, 20%+ growth for DLM and ~250bps YoY improvement in consolidated EBIT margin....

Cyient (CYL)'s 2QFY22 revenue grew 4.6% QoQ in USD terms (moderately higher than our estimate of 4% QoQ growth). This was led by broad-based growth in Services (+4.4%) and DLM (+5.4%). The recent acquisition of Workforce Delta contributed 0.7% to Services revenue in 2QFY22. The management retained its double-digit growth guidance in FY22 in the Services business, while DLM growth is expected to be 15 20% (v/s the 20% growth guidance earlier). Within the Services business, growth in Aerospace (4% QoQ) and...

Cyient (CYL)'s 2QFY22 revenue grew 4.6% QoQ in USD terms (moderately higher than our estimate of 4% QoQ growth). This was led by broad-based growth in Services (+4.4%) and DLM (+5.4%). The recent acquisition of Workforce Delta contributed 0.7% to Services revenue in 2QFY22. The management retained its double-digit growth guidance in FY22 in the Services business, while DLM growth is expected to be 15 20% (v/s the 20% growth guidance earlier). Within the Services business, growth in Aerospace (4% QoQ) and...

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 Q1FY22, consolidated US$ revenue reported a de-growth of 3.2% QoQ, and 6.7%YoY. Services revenue reported flat growth while...

Double-digit growth in Services to drive re-rating Valuations inexpensive; maintain Buy Motilal Oswal values your support in the Asiamoney Brokers Poll 2021 for India Research, Sales, Corporate Access and...

We recommend a HOLD and assign a 23x P/E multiple to its FY23E earnings of Rs 44.9 per share which gives a TP of Rs 1,030/share, an upside of 9% from CMP.

Cyient reported revenue of $143.5 Mn -4.3% QoQ USD (Ple: -5%, Cons: -5%), led by anticipated weakness in DLM (-20.1% QoQ USD) and flattish growth in Services (-0.3% QoQ USD). Revenue lost this quarter was around $3 Mn due to higher absenteeism due to severe second Covid wave in India and scarcity...