KPIT Tech falls 4% to over 2-yr low; analyst suggests 'sell on rise'

KPIT Technologies shares today fell for the fifth straight session. An analyst has said that KPIT remains a 'sell on rise' candidate

KPIT Technologies share price today

KPIT Technologies shares extended their losing streak to the fifth straight session today and also hit a two-year low in intraday trade. The counter declined 4.1 per cent to make an intraday low of ₹801.40 per share, the lowest level since April 11, 2023 on the National Stock Exchange (NSE). 

 

KPTI Technologies share price settled 2.92 per cent lower at ₹811 even as the frontline Nifty 50 gained over half a per cent. More than 2 million equities of the IT company changed hands. 

 

The counter has underperformed that markets as it has dropped 9 per cent in the five sessions versus a gain of nearly 0.45 per cent in Nifty index. In the last 12 months, KPIT Technologies shares have corrected 38 per cent versus nearly 13 per cent return generated by the Nifty 50 index.

 

Q3 results

 

KPIT Technologies' net profit in the third quarter (Q3FY26) declined by 28.8 per cent Y-o-Y to ₹133.4 crore from ₹187 crore in the same period a year ago. 

 

The revenue grew 9.1 per cent Y-o-Y to ₹1,617.4 crore in the quarter, compared to ₹1,477.9 crore.  

 

Brokerage view

 

KPIT Technologies missed Axis Securities’ revenue, profit, and Ebitda estimates for the third quarter (Q3FY26). Following this, the brokerage lowered the revenue estimates by 0.1 per cent and 1.5 per cent, respectively, for the financial years 2026 and 2027. 

 

Axis Securities also cut the earnings before interest and taxes (Ebit) forecast by 0.8 per cent 3 per cent and profit after tax (PAT) estimates by 0.2 per cent and 5.9 per cent for the financial years 2026 and 2027, respectively.  The brokerage has assigned ‘Hold’ rating on the stock, and reduced the target price to ₹1,130 per share from ₹1,350. 

  

Technical view: Sell on rise

 

Vipin Kumar, assistant vice president, technical and derivatives research, Globe Capital, said that the Indian IT sector has been facing significant headwinds, including fears of AI disruption, H1B visa concerns, and a dearth of large deal wins. KPIT Technologies is mirroring this sectoral weakness.

 

"The stock confirmed a breakdown from a Symmetrical Triangle formation on January 21, 2026. Going forward, we expect KPIT Technologies to remain in a negative bias," the analyst said, adding that will remain a 'sell on rise' candidate as long as it trades below the ₹900 mark on a closing basis, with a projected near-term target of ₹750.

 

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