KPIT Technologies Limited (KPITTECH) AI Stock Analysis

• Market Cap: ₹339.16B
• Dividend Yield: 0.7%
• Average Volume (3M): 64.43K
• Price to Earnings (P/E): 43.5
• Beta (1Y): 1.63
• Revenue Growth: 13.34%
• EPS Growth: 5.98%
• Country: IN
• Employees: 8,782
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 6.20
• Shares Outstanding: 274,143,800
• 10 Day Avg. Volume: 52,519
• 30 Day Avg. Volume: 64,430
• PEG Ratio: 1.01
• Price to Book (P/B): 11.93
• Price to Sales (P/S): 5.95
• P/FCF Ratio: 27.58
• 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: ₹1,326.25
• Price Target Upside: 9.80% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ₹1,283.00 ▲(6.22% Upside)

KPIT Technologies' overall stock score is driven primarily by its strong financial performance, which is a significant strength. However, the technical analysis presents mixed signals, and the high P/E ratio suggests potential overvaluation, which tempers the overall score.

Positive Factors

Revenue Growth

KPIT Technologies' strong revenue and EPS growth indicate robust demand for its services, enhancing its market position and long-term profitability.

Balance Sheet Health

A strong balance sheet with low leverage provides financial stability and flexibility, allowing KPIT Technologies to invest in growth opportunities.

Cash Flow Generation

Efficient cash conversion and strong free cash flow enable KPIT Technologies to fund operations and strategic initiatives, supporting sustainable growth.

Negative Factors

Technical Analysis

While technical indicators suggest bearish momentum, this may not impact long-term fundamentals but could affect short-term investor sentiment.

Valuation Concerns

A high P/E ratio may indicate overvaluation, potentially limiting upside and making the stock less attractive for value-focused investors.

Market Sentiment

The recent decline in stock price since the last earnings release may reflect negative market sentiment, impacting investor confidence in the near term.

KPIT Technologies Limited Business Overview & Revenue Model

Company Description

KPIT Technologies Limited (KPITTECH) is a global technology company specializing in providing IT consulting and solutions primarily for the automotive and transportation, manufacturing, and energy sectors. The company focuses on digital transformation, engineering services, and product development, offering a range of services that include software development, enterprise integration, and system engineering. KPIT is known for its expertise in areas such as autonomous driving, connected vehicles, and electric mobility, positioning itself as a key player in the evolving landscape of mobility solutions.

How the Company Makes Money

KPIT Technologies generates revenue through a combination of project-based services, long-term contracts, and recurring revenue streams from software licenses and support services. The company primarily earns money by engaging in consulting and engineering services for clients in the automotive sector, where it assists in developing advanced technologies like autonomous systems and electric mobility solutions. Key revenue streams include consulting fees for digital transformation projects, software development contracts, and maintenance and support services. Additionally, KPIT often forms strategic partnerships with major automotive manufacturers and technology companies, leveraging these collaborations to expand its service offerings and enhance its market reach, thereby contributing to its overall earnings.

KPIT Technologies Limited Financial Statement Overview

Summary

KPIT Technologies demonstrates strong financial performance with impressive revenue growth, robust profitability margins, a solid balance sheet with low leverage, and strong cash flow generation. These factors indicate effective cost management, operational efficiency, and financial stability.

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 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	60.16B	58.42B	48.72B	33.65B	24.32B	20.36B
Gross Profit	20.81B	20.21B	16.46B	11.44B	7.90B	6.61B
EBITDA	11.36B	10.82B	8.68B	5.40B	3.69B	2.12B
Net Income	8.07B	8.40B	5.95B	3.81B	2.74B	1.46B
Balance Sheet
Total Assets	53.24B	50.33B	41.68B	23.36B	23.36B	19.68B
Cash, Cash Equivalents and Short-Term Investments	16.23B	15.66B	8.56B	10.00B	10.00B	8.27B
Total Debt	3.88B	3.45B	3.29B	2.87B	2.27B	2.30B
Total Liabilities	21.48B	21.21B	20.05B	10.11B	10.11B	7.58B
Stockholders Equity	29.12B	29.12B	21.46B	13.10B	13.10B	12.07B
Cash Flow
Free Cash Flow	0.00	12.60B	8.46B	3.33B	5.68B	5.68B
Operating Cash Flow	0.00	13.90B	10.02B	4.62B	6.28B	6.28B
Investing Cash Flow	0.00	-6.30B	-5.64B	-2.23B	-3.02B	-5.01B
Financing Cash Flow	0.00	-3.42B	-2.40B	-1.23B	-1.15B	-1.15B

KPIT Technologies Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1207.85
• 50DMA: Positive
• 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:KPITTECH, the sentiment is Negative. The current price of 1207.85 is below the 20-day moving average (MA) of 1218.67, above the 50-day MA of 1192.83, and below the 200-day MA of 1241.59, indicating a neutral trend. The MACD of 7.49 indicates Positive momentum. The RSI at 48.19 is Neutral, neither overbought nor oversold. The STOCH value of 36.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KPITTECH.

KPIT Technologies Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COFORGE	73 Outperform	₹619.67B	52.91	―	0.83%	41.97%	38.73%
CYIENT	73 Outperform	₹129.69B	22.40	―	2.59%	1.68%	-12.95%
MPHASIS	73 Outperform	₹555.00B	31.00	―	1.97%	8.73%	11.33%
KPITTECH	69 Neutral	₹339.16B	43.52	―	0.70%	13.34%	5.98%
TATAELXSI	68 Neutral	₹313.32B	46.72	―	1.49%	-1.19%	-17.92%
LTTS	62 Neutral	₹495.82B	38.77	―	1.21%	14.88%	-2.60%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

KPIT Technologies Limited Corporate Events

KPIT Technologies Updates on Caresoft Acquisition

KPIT Technologies Limited has announced an update on its acquisition of Caresoft, with the total consideration amount renegotiated to up to $157 million, including a variable pay component. The company has made significant financial commitments, including a $40 million payment towards the First Deferred Consideration, to complete the acquisition, which strengthens its market position and expands its global footprint.

KPIT Technologies Releases Q2 FY’26 Earnings Call Transcript

KPIT Technologies Limited has released the transcript of its Post Earnings Conference Call for the quarter ending September 30, 2025. The conference call, held on November 10, 2025, provided insights into the company’s financial performance and strategic direction. This release is part of the company’s compliance with SEBI regulations and aims to keep stakeholders informed about its operational and financial status.

KPIT Technologies Expands Stake in N-Dream AG to 90%

KPIT Technologies Limited has increased its stake in N-Dream AG, a Swiss cloud-based game aggregation platform, to 90% through strategic investments. This acquisition aligns with KPIT’s strategy to enhance automotive experiences by offering complementary services and collaborating on value-added data products for Automotive OEMs, thereby creating additional monetizable features.

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 November 10, 2025. This announcement is part of the company’s commitment to transparency and compliance with SEBI regulations, allowing stakeholders to access detailed financial discussions and insights through their website.

KPIT Technologies Expands Stake in N-Dream AG to Enhance Automotive Solutions

KPIT Technologies Limited has significantly increased its stake in N-Dream AG, a Swiss-based cloud game aggregation platform, to 88.9% through its subsidiary, KPIT Technologies (UK) Limited, for EUR 16.35 million. This strategic move aligns with KPIT’s goal to enhance automotive OEMs’ offerings by integrating N-Dream’s platform with KPIT’s software services, aiming to create new monetizable experiences for automotive clients.