Axis Capital cuts India's Kirloskar Oil to 'add' on limited upside; shares fall

Kirloskar Oil Engines

30/06/2026 08:07

** Industrial machinery and equipment maker Kirloskar Oil Engines' KIRO.NS shares fall 3.6% to 2,354.9 rupees
** Stock has tumbled 8% over the last three sessions
** Axis Capital lowers rating on stock to "add" from "buy" but raises TP to 2,570 rupees from 2,300 rupees, a 5.3% upside to last close
** Says it is cutting rating due to limited upside and expensive valuations after stock rallied more than 100% in the last six months
** "While recent data center deal-win boosts confidence, it (KIRO) stays focused on timely/efficient execution, opening further growth avenues" - Axis
** Brokerage says KIRO's U.S. expansion will take time, alongside gradual growth in other markets
** KIRO trades at forward 12-month PE of 62.12 vs industry median of 33.88
** Four of five brokerages rate the stock "buy" or higher; their median PT is 2,350
** Despite today's losses, stock up 94.3% 

 (Reporting by Abhinav Parmar in Bengaluru)
 ((Abhinav.Parmar@thomsonreuters.com;))