Shares of Sterlite Technologies Ltd. experienced two consecutive upper circuit hits on Monday, following the company's disclosure of its ambitious financial targets for Fiscal Year 2029 (FY29) during an investor meeting last week. The stock closed 5% higher for the second straight session, reaching Rs 787.65 against its previous close of Rs 750.15.
Sterlite's 'Lakshya' Roadmap and FY29 Projections
The company's strategic plan, dubbed the 'Lakshya' roadmap, outlines a target revenue of Rs 20,000 crore by FY29. This projection represents a more than four-fold increase from its FY26 levels. Additionally, Sterlite Technologies aims for an EBITDA margin exceeding 27% by the same fiscal year.
In response to these forward-looking statements, analysts at Nuvama adjusted their financial outlook for the company. The brokerage significantly raised its FY27 and FY28 EBITDA estimates by 22% and 38%, respectively. Reflecting confidence in Sterlite's revenue, profitability, and capital expenditure guidance, Nuvama increased its price target for the telecom equipment stock to Rs 1,100 from Rs 770, maintaining a 'buy' recommendation.
Major Capital Expenditure Approved
Further bolstering its growth strategy, Sterlite Technologies has approved a substantial capital expenditure (capex) plan of Rs 3,000 crore. This investment is earmarked for expanding the capacity of its existing manufacturing facilities by approximately 50%.
The company anticipates completing this proposed expansion by the end of FY29, which is expected to significantly enhance its production capabilities and support the projected growth in demand for its digital network solutions over the coming years.
Market Performance and Company Profile
The recent surge is part of a broader positive trend for Sterlite Technologies shares, which have seen a remarkable 334% increase over the last six months and a 669% gain throughout 2026. The stock's Relative Strength Index (RSI) stands at 70.3, indicating strong buying interest. Furthermore, its trading position above key moving averages (10-day, 20-day, 30-day, 50-day, 100-day, and 200-day) signals a robust uptrend. However, with a beta of 1.37, the stock has demonstrated high volatility over the past year.
Sterlite Technologies is recognized as a global technology firm specializing in the design, construction, and management of advanced digital networks. Its core business encompasses optical communication products, network and system integration services, and operations/business support system (OSS/BSS) software solutions. The company maintains a significant global footprint, operating across six continents and in over 100 countries.