Sterlite Technologies sees 57% target hike to ₹440 after Q4 earnings beat
Revenue rises 37%, margins expand; record deal wins boost future growth visibility
Strong stock rally continues with multibagger returns driven by improving business momentum
Shares of Sterlite Technologies remained in focus after the company reported better-than-expected March quarter (Q4 FY26) results, prompting brokerage Nuvama Institutional Equities to raise its target price by 57% to ₹440 from ₹280 earlier.
The earnings update comes amid heightened investor attention following the Vedanta demerger developments, with Sterlite Technologies emerging as a key beneficiary of improved business momentum.
1 April 2026
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The company reported revenue of ₹1,441 crore for Q4 FY26, up 37% year-on-year and 14.6% sequentially, exceeding Nuvama's estimate of ₹1,350 crore. Net profit rose sharply to ₹59 crore from ₹5 crore a year ago, supported partly by a one-off gain of ₹31 crore.
Operating performance also improved, with EBITDA increasing 56% to ₹195 crore, while margins expanded to 13.5% from 11.8% in the corresponding quarter last year.
Strong Order Wins Drive Growth Visibility
Sterlite Technologies reported its highest-ever deal wins during the quarter, with order inflows rising 1.4x quarter-on-quarter and 4.8x year-on-year. The strong order pipeline is expected to provide better revenue visibility in the coming quarters.
The company's management indicated that the contribution from enterprise and data centre segments could rise to around 30% by FY27, highlighting a shift towards higher-value segments.
Nuvama said it has increased its FY27 and FY28 earnings estimates by around 23% and 25%, respectively, factoring in stronger growth prospects and margin improvement. The brokerage has valued the company at 15x March 2028 estimated EBITDA.
Stock Performance Remains Strong
Despite a minor decline of nearly 3% in the previous session to ₹295.30, the stock has delivered strong returns over multiple time frames.
Shares of Sterlite Technologies have surged 177% in the last three months and are up 188% so far in 2026. Over the past year, the stock has delivered multibagger returns of 376%, while gaining 146% over a three-year period.
The stock is currently trading close to its 52-week high of ₹299.15 touched on April 29.
