Cyient shares gain over 1% as HDFC Mutual Fund buys stake via bulk deal

Shares of Cyient started Friday's trade (May 3, 2024) on a positive note after a bulk deal in the engineering and technology solutions company on BSE in the previous session.

The bulk deal data on the BSE shows that HDFC Mutual Fund bought 11.33 lakh shares, equating to 1.02 per cent stake in the entity at an average price of Rs 1800 per share, a premium of a mere 0.32 per cent over the last closing price.

The company last week announced impressive Q4FY24 show on the back of intelligent engineering and technology solutions. The revenue at the Cyient DET (Digital, Engineering, and Technology) for the March ended quarter came in at Rs 1489 crore, logging sequential de-growth of 0.1 per cent and year-on-year (YoY) growth of 2.8 per cent. The company's revenue in constant currency terms also registered de-growth at 0.5 per cent sequentially and growth of 1.8 per cent YoY.

The company's EBIT or earnings before interest and tax came in at 239 crores, with a margin of 16 per cent. And PAT or profit at the firm registered 9.1 per cent YoY growth to Rs 173 crore. Cyient DET (Digital, Engineering, and Technology) refers to Cyient Consolidated Services and Engineering Parts Business. 

As of the March ended quarter, FIIs pared their holding in the stock from 34.11 per cent in the December ended quarter to 31.04 per cent. Some of the prominent foreign investors holding the stock are Abu Dhabi Investment Authority, Vanguard Total International Stock Index Fund and Vanguard Emerging Markets Stock Index Fund.

DII or Domestic Institutional Holding (DII) in the stock, however, increased from 22.69 per cent in the December quarter to 25.91 per cent in the March quarter. Some of the top DIIs holding the fund are DSP Small Cap Fund, Kotak Small Cap Fund, ICICI Prudential SmallCap Index Fund and Tata ELSS Tax Saver Fund among others. 

Cyient shares over the last one year have delivered 55 per cent return, while it has underperformed over the last one month with a negative return of 10 per cent.

Cyient, commanding a market capitalisation of Rs 20,153 crore, is a small cap company. The entity is engaged in providing software-enabled engineering and geographic information system (GIS) services. The Company's segments include Data & Network Operations , Engineering, Manufacturing, Industrial Products and Product Realisation.