Motilal Oswal Recommends 'Buy' on Cyient DLM with INR 510 Target
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Moneycontrol•28-01-2026, 13:17
Motilal Oswal Recommends 'Buy' on Cyient DLM with INR 510 Target
- •Cyient DLM's 3QFY26 consolidated revenue and EBITDA declined by 32% and 19% year-on-year respectively, reaching INR 3 billion and INR 291 million.
- •The decline was primarily due to a high base from BEL orders and a 39% year-on-year drop in the Med Tech segment.
- •Despite revenue decline, EBITDA margins expanded by 210 basis points year-on-year, driven by a better business mix, particularly a higher Aerospace segment contribution (37%).
- •The order book grew 10% year-on-year and 3% quarter-on-quarter to INR 23.5 billion, supported by INR 3.9 billion in new orders.
- •Motilal Oswal projects a CAGR of 13% for revenue, 23% for EBITDA, and 32% for adjusted PAT for Cyient DLM over FY25-28, reiterating a 'BUY' rating with a target price of INR 510.
Why It Matters: Motilal Oswal recommends buying Cyient DLM, forecasting strong future growth despite recent revenue dips.
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