KPIT Technologies Limited (KPITTECH) AI Stock Analysis

• Market Cap: ₹345.83B
• Dividend Yield: 0.67%
• Average Volume (3M): 39.33K
• Price to Earnings (P/E): 43.4
• Beta (1Y): 1.67
• Revenue Growth: 17.09%
• EPS Growth: 21.20%
• Country: IN
• Employees: 8,782
• Sector: Technology
• Sector Strength: 86
• Industry: Information Technology Services
• EPS (TTM): 6.30
• Shares Outstanding: 274,143,800
• 10 Day Avg. Volume: 37,616
• 30 Day Avg. Volume: 39,325
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹1,380.75
• Price Target Upside: 9.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 71 Outperform
• Price Target: ₹1,361.00 ▲(7.89% Upside)

KPIT Technologies' strong financial performance is the most significant factor, showcasing robust growth and profitability. However, the technical analysis indicates mixed signals with potential resistance levels, and the high P/E ratio suggests overvaluation, which impacts the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates expanding market presence and strong demand for KPIT's automotive technology solutions, supporting long-term business sustainability.

Profitability Margins

Improving profitability margins reflect effective cost management and operational efficiency, enhancing the company's ability to reinvest in growth and innovation.

Cash Flow Generation

Robust cash flow generation ensures financial flexibility, enabling KPIT to fund strategic initiatives and withstand economic fluctuations, securing long-term growth.

Negative Factors

High Valuation Concerns

A high valuation may limit future stock price appreciation and attract scrutiny, potentially impacting investor sentiment and long-term capital raising capabilities.

Technical Resistance

Technical resistance levels could hinder stock performance, affecting market perception and potentially leading to reduced investor confidence over time.

Dividend Yield

A low dividend yield might not attract income-focused investors, potentially limiting the company's appeal to a broader investor base and affecting long-term stock demand.

KPIT Technologies Limited Business Overview & Revenue Model

Company Description

KPIT Technologies Limited (KPITTECH) is a global technology company specializing in IT consulting and product engineering solutions with a specific focus on the automotive industry. The company offers a range of services including software development, embedded systems, and digital transformation solutions, aiming to drive innovation and efficiency in the automotive sector. KPIT Technologies partners with original equipment manufacturers (OEMs) and Tier 1 suppliers to deliver cutting-edge technologies that support the development of autonomous, connected, and electric vehicles.

How the Company Makes Money

KPIT Technologies makes money primarily through its IT consulting and product engineering services targeted at the automotive industry. The company's revenue model is centered around providing technology solutions such as embedded software, vehicle diagnostics, and digital transformation services to automotive OEMs and Tier 1 suppliers. KPITTECH generates income through project-based contracts, long-term partnerships, and recurring service agreements. Key revenue streams include software development for autonomous driving, electric vehicle solutions, and connectivity systems. Significant partnerships with leading automotive companies and continuous innovation in automotive technologies play a crucial role in driving the company's earnings.

KPIT Technologies Limited Financial Statement Overview

Summary

KPIT Technologies demonstrates excellent financial performance with strong revenue growth, robust profitability margins, a solid balance sheet with low leverage, and impressive cash flow generation. This positions the company well within the industry and shows its capacity to sustain growth.

Income Statement

KPIT Technologies has demonstrated strong financial performance in recent years, evidenced by impressive revenue growth and robust profitability margins. The company's Gross Profit Margin and Net Profit Margin have consistently improved, indicating effective cost management and value creation. The significant increase in Total Revenue from 2024 to 2025 highlights a substantial growth trajectory. Additionally, both EBIT and EBITDA margins have shown positive trends, reinforcing the company's operational efficiency and profitability.

Balance Sheet

The balance sheet of KPIT Technologies reflects a solid financial position, characterized by a low Debt-to-Equity Ratio and healthy Return on Equity. The company's equity ratio is strong, indicating a stable capital structure with a significant portion of assets financed by shareholder equity rather than debt. The consistent increase in stockholders' equity over the years further underscores financial stability and the ability to reinvest profits into growth opportunities.

Cash Flow

KPIT Technologies exhibits strong cash flow generation, with a noteworthy increase in Free Cash Flow, driven by substantial growth in Operating Cash Flow. The Free Cash Flow to Net Income Ratio is solid, indicating efficient conversion of profits into cash. The company has effectively managed capital expenditures, maintaining a healthy Free Cash Flow despite investments in growth initiatives. The Operating Cash Flow to Net Income Ratio further emphasizes the company's ability to generate cash from its core operations.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	17.96B	58.42B	33.65B	24.32B	20.36B	20.36B
Gross Profit	16.48B	20.87B	7.64B	11.69B	3.53B	20.36B
EBITDA	10.52B	13.97B	6.75B	4.84B	4.83B	3.28B
Net Income	5.95B	8.40B	3.81B	3.81B	2.74B	1.46B
Balance Sheet
Total Assets	44.10B	50.33B	34.01B	23.36B	23.36B	19.68B
Cash, Cash Equivalents and Short-Term Investments	8.57B	16.24B	5.86B	10.00B	8.27B	8.27B
Total Debt	3.44B	3.45B	2.87B	2.27B	2.27B	2.30B
Total Liabilities	-21.63B	21.21B	17.37B	10.11B	10.11B	7.58B
Stockholders Equity	21.63B	29.12B	16.52B	13.10B	13.10B	12.07B
Cash Flow
Free Cash Flow	1.96B	12.60B	3.33B	3.33B	5.68B	5.68B
Operating Cash Flow	1.96B	13.90B	4.62B	4.62B	6.28B	6.28B
Investing Cash Flow	0.00	-6.30B	-2.02B	-3.02B	-5.01B	-5.01B
Financing Cash Flow	0.00	-3.42B	-1.83B	-1.23B	-1.15B	-1.15B

KPIT Technologies Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1261.50
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KPITTECH, the sentiment is Positive. The current price of 1261.5 is above the 20-day moving average (MA) of 1218.13, above the 50-day MA of 1231.66, and below the 200-day MA of 1305.36, indicating a neutral trend. The MACD of 6.90 indicates Negative momentum. The RSI at 58.34 is Neutral, neither overbought nor oversold. The STOCH value of 83.68 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:KPITTECH.

KPIT Technologies Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CYIENT	74 Outperform	₹136.91B	21.62		2.12%	3.64%	-4.78%
MPHASIS	73 Outperform	₹556.76B	32.35		1.92%	8.11%	10.73%
COFORGE	72 Outperform	₹592.45B	59.40		0.87%	44.02%	18.92%
KPITTECH	71 Outperform	₹345.83B	43.36		0.67%	17.09%	21.20%
TATAELXSI	65 Neutral	₹358.29B	48.84		1.30%	1.83%	-5.37%
Sector *	61 Neutral	$36.70B	12.21	-10.39%	1.84%	8.50%	-7.32%
LTTS	61 Neutral	₹445.85B	35.10		1.31%	12.91%	-2.97%

KPIT Technologies Limited Corporate Events

KPIT Technologies Releases Post Earnings Call Recording

KPIT Technologies Limited announced the availability of the audio recording of its Post Earnings Conference Call held on July 30, 2025, on its website. This move reflects the company’s commitment to transparency and provides stakeholders with insights into its financial performance and strategic direction.

KPIT Technologies Announces Virtual AGM and Dividend Proposal

KPIT Technologies Limited has announced that its 8th Annual General Meeting (AGM) will be held on August 12, 2025, through video conferencing and other audio-visual means. The company has also recommended a final dividend of Rs. 6.00 per equity share for the financial year ending March 31, 2025, subject to approval at the AGM. The announcement highlights the company’s commitment to environmental protection by encouraging shareholders to register their email addresses for electronic communication. Additionally, the company has outlined the tax implications on dividend income and the necessary documentation required for tax deduction at source.