Kaynes Technology India Ltd. (KAYNES) AI Stock Analysis

• Market Cap: ₹250.32B
• Dividend Yield: N/A
• Average Volume (3M): 28.25K
• Price to Earnings (P/E): 87.7
• Beta (1Y): 1.52
• Revenue Growth: 45.11%
• EPS Growth: 54.19%
• Country: IN
• Employees: 1,567
• Sector: Technology
• Sector Strength: 88
• Industry: Industrial - Machinery
• EPS (TTM): 11.80
• Shares Outstanding: 67,034,650
• 10 Day Avg. Volume: 31,169
• 30 Day Avg. Volume: 28,251
• PEG Ratio: 2.13
• Price to Book (P/B): 10.91
• Price to Sales (P/S): 11.39
• P/FCF Ratio: -30.06
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹4,900.00
• Price Target Upside: 23.14% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 67.92
• Revenue Forecast (FY): ₹39.14B

• Rating: 57 Neutral
• Price Target: ₹3,741.00 ▼(-5.98% Downside)
• Action: Reiterated Date: 12/11/25
• Date: Action: Reiterated 12/11/25

Kaynes Technology India Ltd. has a strong financial performance with robust revenue growth and profitability, but faces challenges in cash flow management. The technical analysis indicates bearish momentum, and the high P/E ratio suggests overvaluation. These factors combined result in a moderate overall stock score.

Positive Factors

Diversified end-markets

Multi-sector EMS exposure reduces revenue cyclicality and concentrates growth opportunities across secular end-markets. Serving industrial, automotive, aerospace/defense, railways, medical and IoT spreads program risk, supports smoother capacity utilization and long-term contract visibility.

Strong revenue and profit growth

Sustained high top-line and EPS growth with improving gross and net margins indicates expanding customer wins, scale benefits and disciplined cost management. This trend supports durable earnings power and reinvestment potential over a 2–6 month horizon and beyond.

Solid balance sheet / manageable leverage

A strong capital structure and manageable leverage provide financial flexibility to fund working capital and capex for program ramp-ups. This resilience supports supplier credit, contract fulfillment and lowers refinancing risk during industry cycles.

Negative Factors

Negative free cash flow from capex

Persistent negative free cash flow driven by high capital spending constrains internal funding and can force external financing or defer returns. If capex remains elevated, it may pressure liquidity and limit flexibility to pursue new programs or return capital to shareholders.

Weak cash conversion

Low operating-cash-to-income conversion implies reported profits don't fully translate into cash, raising working capital needs and making earnings less reliable. Over months this elevates funding risk for growth and can tighten margins if financing costs rise.

ROE improvement needed

A suboptimal ROE suggests the business could improve asset efficiency, pricing or capital allocation. Without higher returns on equity, shareholder value creation may lag peers despite revenue growth, risking longer-term underperformance if not addressed.

Kaynes Technology India Ltd. Business Overview & Revenue Model

Company Description

Kaynes Technology India Limited operates as an end-to-end and Internet of Things solutions (IoT) enabled integrated electronics manufacturing company that provides electronics system design and manufacturing services in India, North America, Europe, Southeast Asia, and internationally. The company offers box build, printed circuit board assembly, product engineering, and IoT solutions, as well as original design manufacturing services. It serves automotive, industrial, aerospace, defense, outer-space, nuclear, medical, railways, IoT/information technology, and other industries. The company was founded in 1988 and is based in Mysore, India.

How the Company Makes Money

Kaynes Technology generates revenue primarily through its electronic manufacturing services, which include the production of PCBA, system assembly, and related engineering services. The company's revenue model is centered around contract manufacturing, where it partners with clients in various industries to provide customized electronic solutions. Key revenue streams include long-term contracts with major players in the automotive and aerospace sectors, which often involve high-volume production runs. Additionally, KAYNES benefits from strategic partnerships with technology firms and component suppliers, allowing it to leverage economies of scale and enhance its service offerings. The company also invests in research and development to innovate its product lines and maintain competitiveness, which further contributes to its earnings.

Kaynes Technology India Ltd. Financial Statement Overview

Summary

Kaynes Technology India Ltd. shows strong revenue growth and profitability margins, indicating effective management and market position. The balance sheet is solid with manageable leverage, though cash flow management needs attention due to negative free cash flow.

Income Statement

Kaynes Technology India Ltd. has demonstrated impressive growth in its revenue over the years, especially with a substantial increase from the prior period. The gross profit margin and net profit margin have improved, reflecting efficient cost management and profitability. EBITDA and EBIT margins are strong, indicating robust operational efficiency.

Balance Sheet

The company's balance sheet is solid with a healthy equity ratio suggesting a strong capital structure. The debt-to-equity ratio is reasonable, indicating manageable leverage. However, the return on equity, while positive, indicates room for improvement in generating returns on shareholders' equity.

Cash Flow

There is a concern with negative free cash flow, primarily due to significant capital expenditures. While the operating cash flow to net income ratio is concerning, indicating cash flow challenges, the company has been able to maintain investing and financing activities to support growth.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	28.91B	27.22B	18.05B	11.26B	7.06B	4.21B
Gross Profit	8.50B	8.22B	4.69B	3.46B	2.03B	1.25B
EBITDA	5.37B	4.11B	3.12B	1.81B	969.15M	461.12M
Net Income	3.17B	2.93B	1.83B	951.96M	414.48M	97.33M
Balance Sheet
Total Assets	0.00	46.41B	32.65B	14.19B	6.22B	4.19B
Cash, Cash Equivalents and Short-Term Investments	10.47B	10.47B	15.19B	4.82B	164.01M	118.31M
Total Debt	0.00	9.03B	3.23B	1.55B	1.89B	1.48B
Total Liabilities	-28.44B	17.97B	7.77B	4.58B	4.19B	2.80B
Stockholders Equity	28.44B	28.40B	24.87B	9.59B	2.03B	1.39B
Cash Flow
Free Cash Flow	0.00	-10.31B	-3.12B	-1.00B	-211.35M	27.35M
Operating Cash Flow	0.00	-823.16M	701.41M	-419.42M	211.09M	277.30M
Investing Cash Flow	0.00	-3.55B	-15.05B	-4.93B	-445.27M	-240.84M
Financing Cash Flow	0.00	4.65B	14.29B	5.54B	272.42M	-13.39M

Kaynes Technology India Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3979.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KAYNES, the sentiment is Negative. The current price of 3979.1 is above the 20-day moving average (MA) of 3882.37, above the 50-day MA of 3801.88, and below the 200-day MA of 5553.64, indicating a bearish trend. The MACD of -9.45 indicates Positive momentum. The RSI at 42.92 is Neutral, neither overbought nor oversold. The STOCH value of 26.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KAYNES.

Kaynes Technology India Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TATAELXSI	74 Outperform	₹277.28B	74.95	―	1.38%	-1.19%	-17.92%
TATATECH	70 Outperform	₹232.12B	982.29	―	1.26%	0.29%	7.17%
KPITTECH	66 Neutral	₹201.81B	59.84	―	0.69%	13.34%	5.98%
LTTS	62 Neutral	₹365.43B	39.06	―	1.19%	14.88%	-2.60%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
KAYNES	57 Neutral	₹250.32B	87.75	―	―	45.11%	54.19%
ITI	49 Neutral	₹243.44B	-294.01	―	―	30.27%	65.87%

Kaynes Technology India Ltd. Corporate Events

Kaynes Semicon Partners with AOI Electronics and Mitsui & Co. to Boost India’s Semiconductor Industry

Kaynes Semicon, a subsidiary of Kaynes Technology India Limited, has announced strategic partnerships with AOI Electronics and Mitsui & Co. to bolster India’s semiconductor ecosystem. The collaboration with AOI Electronics will enhance Kaynes Semicon’s advanced packaging capabilities, positioning it to provide comprehensive semiconductor solutions globally. Meanwhile, the alliance with Mitsui & Co. ensures a steady supply of critical raw materials, strengthening the supply chain and supporting India’s goal of becoming a self-reliant semiconductor hub.

Kaynes Technology Announces Key Leadership Appointments

Kaynes Technology India Limited has announced the results of a postal ballot, revealing the approval of two key resolutions. The company’s shareholders have passed resolutions for the appointment of Dr. Muthukumar Narayanaswamy as a Director and Managing Director, and the change in designation of Mr. Ramesh Kunhikannan to Executive Vice Chairman. These decisions, made through remote e-voting, are expected to strengthen the company’s leadership structure and potentially enhance its strategic direction.

Kaynes Technology Receives ‘CRISIL A/Watch Developing’ Credit Rating

Kaynes Technology India Limited has received a ‘CRISIL A/Watch developing’ credit rating from CRISIL Rating Limited for its long-term bank facilities. This rating indicates an adequate degree of safety regarding timely servicing of debt obligations, with low credit risk. The rating is placed on ‘Rating Watch with Developing Implications,’ suggesting an emerging situation that could impact the company’s credit profile. This development is crucial for stakeholders as it reflects the company’s current financial stability and potential future changes in its creditworthiness.

Kaynes Technology Refutes Auditor Change Rumors

Kaynes Technology India Ltd. has clarified recent media reports suggesting a change in its statutory auditors due to a reporting lapse. The company stated that these reports are based on a misinterpretation of general remarks made during a media interaction, and confirmed that no negotiations or decisions regarding auditor changes are currently underway. The company emphasized that there is no material impact on its operations or financial performance from these reports, and no regulatory or legal proceedings have been initiated.

Kaynes Technology Schedules Business Update Call for Investors

Kaynes Technology India Limited has announced a business update call scheduled for December 8, 2025, aimed at providing analysts and investors with insights into recent developments. The call will feature key management figures and include a Q&A session, highlighting the company’s commitment to transparency and stakeholder engagement.