Nuvama lifts Dixon target to ₹14,800 despite FY27 EPS cut on delayed Vivo JV
Nuvama raised Dixon Technologies’ target price from ₹13,700 to ₹14,800 after lifting FY28 EPS estimates 9% on component scaling, while cutting FY27 EPS 7% as Vivo JV consolidation is delayed. Dixon expects Q3FY27 commercialisation and is targeting higher smartphone, telecom, IT hardware and export volumes.
What happened
Dixon Technologies (India) Ltd · Nuvama raised Dixon’s target price after increasing FY28 EPS estimates on faster component scaling, while cutting FY27
Key facts
- FY28 EPS estimate raised 9%
- FY27 EPS estimate cut 7%
- Target price raised to Rs 14,800 from Rs 13,700
- September-quarter smartphone market down 15-20% YoY
- FY27 guidance: 3.3 crore units
Why this matters
The higher ₹14,800 target signals confidence that Dixon’s FY28 component, smartphone, telecom, IT hardware and export growth can outweigh the 7% FY27 EPS cut.
What to watch
- Confirmation of Vivo JV consolidation timing and first commercial shipments in Q3FY27.
- Smartphone order volumes, customer mix and utilisation rates after the JV ramp.
- Component-business revenue growth, localisation share and gross-margin progression.
- Telecom and IT-hardware contract wins, production starts and contribution to revenue mix.
- Export order announcements, overseas customer additions and shipment growth.