Nomura initiated coverage on Sterlite Technologies with a target price of Rs 1350, citing an optic fiber super-cycle and cleaner balance sheet

Tue 6 Oct 2026

Target price

Rs 1350

YTD stock rally

900 percent

Capex for capacity expansion

3,000 crore rupees

QIP fundraise

1500 crore rupees

Revenue growth FY26-FY29

50 percent

Heard on business television between 15:13:34 - 15:16:34 IST.

• Nomura initiated coverage with a target price of Rs 1,350; stock already up 900% since start of year.
• Demand side: data center contribution to rise from negligible to 40% by FY29; optic fiber prices up nearly 90%.
• Supply side: STL makes its own glass preform (60-70% of value in fiber manufacturing), unlike competitors facing scarcity; company investing about Rs 3,000 crore to expand capacity.
• Balance sheet cleaner than past cycles after promoters invested via warrants and company raised Rs 1,500 crore via QIP with fund participation.
• Nomura projects FY26-FY29: 50% revenue growth, 89% EBITDA growth, profits up 57x; stock trades at about 28x, fair value seen at 30x FY28-end, a discount to Corning but premium to some peers.

Nothing here is a view, opinion or recommendation of ScoutQuest, its parent, directors or employees. ScoutQuest is a technology company: this page was assembled automatically from public sources using artificial intelligence, and may contain errors or omissions. Confirm everything against the original source before you act on it. Any use of this page is at your own risk, and neither ScoutQuest nor its parent, directors or employees accepts liability for it.