Kaynes Technologies and Zaggle Prepaid Stocks Plummet Amid Weak Earnings Reports
Kaynes Tech, Zaggle Prepaid stocks extend decline; tank up to 27% in 2 days
Business Standard
Image: Business Standard
Shares of Kaynes Technology India and Zaggle Prepaid Ocean Services have dropped up to 27% in just two days following disappointing Q4FY26 earnings. Kaynes reported a 24% decline, reaching a 52-week low, while Zaggle's shares fell 9%, reflecting weak operating cash flows. Analysts have downgraded both stocks amid concerns over profitability and cash flow execution.
- 01Kaynes Technologies' share price fell to ₹3,182.85, marking a 52-week low, after reporting weak Q4 earnings and negative cash flows.
- 02Zaggle Prepaid's stock price dropped to ₹207.30, with a total decline of 27% in two days due to weak operating cash flows.
- 03ICICI Securities highlighted Kaynes' elevated employee costs and significant working capital concerns, with net working capital days at approximately 125 days.
- 04Analysts at JM Financial downgraded Kaynes based on missed revenue guidance and a working capital cycle of 179 days.
- 05Zaggle's management projects a 25-30% standalone revenue growth for FY27, despite current cash flow challenges.
Advertisement
In-Article Ad
Shares of Kaynes Technology India (Kaynes) and Zaggle Prepaid Ocean Services (Zaggle) have seen significant declines, with Kaynes falling 24% and Zaggle dropping 27% over two trading days, following disappointing Q4FY26 earnings reports. Kaynes' stock hit a 52-week low of ₹3,182.85 due to negative cash flows and reduced revenue guidance, prompting a downgrade from global brokerage JPMorgan. Analysts from ICICI Securities noted that Kaynes is struggling with elevated employee costs and a concerning working capital cycle of approximately 125 days. Meanwhile, Zaggle's shares fell to ₹207.30 as it reported weak operating cash flows, although its management remains optimistic about future growth, projecting a 25-30% increase in standalone revenue for FY27. Despite the current downturn, brokerages like Equirus Securities have retained a 'Long' rating on Zaggle, citing potential growth driven by AI product development and market expansion. Both companies face scrutiny regarding their near-term profitability and cash flow execution.
Advertisement
In-Article Ad
The decline in stock prices may affect investor confidence and impact funding for future projects, potentially leading to tighter financial conditions for both companies.
Advertisement
In-Article Ad
Reader Poll
How do you view the future prospects of Kaynes Technologies and Zaggle Prepaid?
Connecting to poll...
More about Kaynes Technology India
Read the original article
Visit the source for the complete story.

