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Dixon Tech Shares Drop 2% as Nuvama Cuts FY27 EPS by 7% on JV Delay, Weak Smartphone Market
M
Moneycontrol•22-09-2026, 13:41
Dixon Tech Shares Drop 2% as Nuvama Cuts FY27 EPS by 7% on JV Delay, Weak Smartphone Market
- •Dixon Technologies (India) shares fell over 2% on September 22 after Nuvama slashed its FY27 EPS by 7%.
- •The cut is attributed to a likely delay in the Dixon-Vivo joint venture operationalization to Q3FY27 and a weak domestic smartphone market.
- •Nuvama maintains a 'HOLD' rating with a Sep-27E target price of Rs 14,800, raising FY28E EPS by 9% due to faster scale-up in components.
- •The domestic smartphone market is projected to see a 15-20% YoY decrease in Q2FY27, impacting demand in mid to low-end segments.
- •Dixon's Q2FY27 smartphone volumes are projected at 9.4-9.5 million units, indicating a 10-12% fall YoY, but implying market share gain.
Key Questions Answered
Dixon Technologies shares fell over 2% after Nuvama slashed the company's FY27 EPS by 7% due to a likely delay in the Vivo joint venture and a weak smartphone market.
The Dixon-Vivo joint venture is now anticipated to become operational in Q3FY27, compared to October 26 previously.
Nuvama maintained a 'HOLD' rating on Dixon Tech and raised its target price to Rs 14,800 from Rs 13,700, based on 50x Sep-28E EPS.
