Several brokerages, including JPMorgan and others, downgraded their ratings and slashed target prices for KPIT Technologies shares after the company issued a weaker-than-expected preliminary Q1 FY27 business update, which sparked a 17% crash in the stock price on Wednesday.The shares of the company plunged to a fresh 52-week low of Rs 559.2 apiece on Wednesday. The stock is on track to record the worst single-day drop since the COVID-19 crash in March 2020.
In an exchange filing released on Tuesday, KPIT Tech said that it expects the financial performance for the April-June quarter of the ongoing financial year 2027 to be lower than previously expected, due to a sudden drop in revenues in the last few weeks. It expects a decline of 1% in reported revenues for Q1 FY27 as compared to Q1 FY26 (YoY), primarily due to sudden actions by some European OEMs triggered by their recent profit warnings or adverse business outlook, it added.
