KPIT Tech shares see small rebound after biggest single-day fall in 12 months

Shares of KPIT Technologies Ltd. saw a small rebound on Wednesday, October 1, after witnessing its biggest single-day fall in 12 months on Tuesday.

The stock had ended 8% lower on Tuesday, after declining as much as 11% in intraday trading. This was the biggest single-day fall the stock saw since October 2024.

Before today's trading session, the stock had declined in seven out of the last eight trading sessions, during which it has corrected close to 20%.

Volumes on the stock have also seen a big spike in the last few minutes of the trading session. As of Tuesday's closing, as many as 60 lakh shares of the stock had changed hands, compared to the 20-day average of 16 lakh shares.

In an exclusive interaction with CNBC-TV18, Kishor Patil, MD & CEO of KPIT Tech said that while he does not know the real reason behind the fall, an individual investor may have sold stake, details of which were not available with him.

Patil also said that the company "may or may not" give guidance at the end of the quarter, but expects growth to return from the third quarter. He also refused to comment on reports regarding one of its large deals being in jeopardy.

With Tuesday's fall, KPIT Tech shares ended the month of September with losses, marking the fourth straight month of declines. The stock has delivered positive monthly returns only in March and May this year.

The stock, on a year-to-date basis, is now down 23%, which makes it the worst year that the stock has had so far since its listing in 2019.

The stock has also slipped into "oversold" territory on the charts, with the Relative Strength Index (RSI) declining to levels of 29. An RSI below 30 indicates that the stock is "oversold."

India's domestic mutual funds have a 14% stake in KPIT Tech at the end of the June quarter, prominent among them being Motilal Oswal Nifty Midcap 100 ETF (1.73%), Mirae Asset Large and Midcap Fund (2.74%), HSBC Conservative Hybrid Fund (1.02%), Canara Robeco MF (3.03%), and DSP MF (1.15%).

Life Insurance Corporation of India, ICICI Prudential Life Insurance and HDFC Life Insurance also have stake between 1.25% to 1.7% in KPIT Technologies, while the Massachusetts Institute of Technology has a 3.11% stake.

Shares of KPIT Tech are now trading 1.3% higher on Wednesday at ₹1,112.9.