Syrma SGS Technology Share Price Target 2026 to 2030
Syrma SGS Technology Ltd is a Chennai-based electronics manufacturing services (EMS) company specializing in precision engineering, embedded systems, and high-mix, low-to-medium volume production for global OEMs across automotive, industrial, healthcare, and consumer electronics sectors. The company has gained investor attention due to its role in India’s “Make in India” and PLI schemes, along with recent acquisitions like Elcome International. However, despite explosive profit growth, its low return ratios, high debt, and rich valuation warrant caution. This article provides a balanced, fact-based outlook and realistic share price targets for each year from 2026 to 2030.
Business: End-to-end EMS provider—design, prototyping, manufacturing, and after-sales support for electronics and precision components
Key Clients: Global OEMs in automotive, medical devices, industrial automation, and telecom
Recent Move: Acquired 60% stake in Elcome International (marine electronics & navigation systems)
Listed: Yes – on BSE (543771) and NSE (SYRMA) since August 2022
Clarifications:
Is Syrma SGS listed? Yes – it had an IPO in 2022 and trades under ticker SYRMA.
Is it debt-free? No – it carries ₹530.93 Cr in debt vs ₹253.51 Cr cash (net debt: ~₹277 Cr).
Is it profitable? Yes – net profit surged 298% YoY (TTM PAT: ₹214 Cr), though partly driven by one-time gains and scale-up.
Is it a good buy? Only for high-risk, long-term investors who believe in India’s EMS ecosystem. Not suitable for conservative portfolios due to low ROE and high P/E.
Syrma SGS: Key Financial Snapshot
Metric
Value
Market Capitalization
₹15,814.99 Cr
Current Share Price
₹820
52-Week High / Low
₹875 / ₹355
P/E (TTM)
72.66
P/B (TTM)
5.49
Book Value (TTM)
₹149.46
EPS (TTM)
₹11.29
ROE
5.44%
ROCE
7.15%
Dividend Yield
0.18%
Debt
₹530.93 Cr
Cash Reserves
₹253.51 Cr
Sales Growth (YoY)
24.24%
Profit Growth (YoY)
298.12%
Shareholding Pattern
Category
Holding (%)
Promoters
42.72%
Public (Retail)
34.93%
Domestic Institutions (DII)
15.88%
Foreign Institutions (FII)
6.47%
Others
0%
Note: Promoter holding has declined from ~59% at IPO, raising minor governance concerns.
Syrma SGS Share Price Target Forecast (2026–2030)
Given the very high P/E (72x), low ROCE (7.15%), and modest profitability quality, upside is limited unless returns improve significantly. Targets assume:
EPS CAGR of 20–25% (supported by recent growth, but likely to normalize)
P/E compression from 72x to 40–45x by 2030
Debt reduction through operating cash flows
Year
Target Price Range (₹)
2026
₹840 – ₹920
2027
₹870 – ₹980
2028
₹900 – ₹1,050
2029
₹930 – ₹1,120
2030
₹960 – ₹1,200
⚠️ Important: Even at ₹1,200 in 2030, P/E would be ~45x if EPS grows at 22% CAGR—still expensive for a business with sub-8% ROCE.
Year-wise Breakdown
Syrma SGS Share Price Target 2026
Year
Target 1
Target 2
2026
₹840
₹920
Rationale: Near-term upside is capped by low capital efficiency. Despite strong sales growth, the ROE of just 5.4% limits re-rating potential.
Syrma SGS Share Price Target 2027
Year
Target 1
Target 2
2027
₹870
₹980
Rationale: Potential benefit from Elcome integration and PLI scheme tailwinds. However, competition in EMS remains intense.
Syrma SGS Share Price Target 2028
Year
Target 1
Target 2
2028
₹900
₹1,050
Rationale: If operational leverage improves and ROCE crosses 10%, sentiment may turn positive. Current asset turnover is weak.
Syrma SGS Share Price Target 2029
Year
Target 1
Target 2
2029
₹930
₹1,120
Rationale: Long-term play on India’s electronics import substitution. Success depends on client diversification beyond niche segments.
Syrma SGS Share Price Target 2030
Year
Target 1
Target 2
2030
₹960
₹1,200
Rationale: The upper end assumes sustained 25%+ EPS growth and debt/EBITDA <2x. Still, valuation will likely remain stretched vs peers like Dixon or Amber.
Strengths vs Risks
✅ Strengths
Strong positioning in high-value EMS niches (medical, auto, marine)
Beneficiary of PLI and export-linked incentives
Growing order book and global client base
Recent acquisition of Elcome adds maritime tech exposure
⚠️ Risks
Very high P/E (72x) with low ROCE (7.15%)
Significant debt (₹531 Cr) from capex and acquisitions
Low promoter holding (42.7%) and a declining trend
Minimal dividends (0.18% yield)
Investment Suitability
Factor
Assessment
Risk Profile
High (newly listed, overvalued)
Time Horizon
Long-term (5+ years)
Volatility
High
Dividend/Income
None (0.18% yield)
Ideal Investor
Aggressive investor bullish on India’s EMS and export manufacturing story
FAQs
Only if you accept high valuation risk. Fundamentals do not justify current multiples without significant ROCE improvement.
No – it has ₹530.93 Cr in debt, nearly double its cash reserves.
Yes – listed on NSE and BSE since August 2022 under ticker SYRMA.
For 2026, a realistic range is ₹840–₹920. By 2030, it could reach ₹960–₹1,200—but only with execution excellence.
Yes – it reported ₹214 Cr net profit (TTM) with 298% YoY growth, though the sustainability of such growth is uncertain.
Final Verdict
Syrma SGS operates in a strategic, high-growth sector, but its financial efficiency lags its valuation. With ROCE below 8% and high leverage, the stock carries significant downside risk if sentiment shifts. Our 2026–2030 price targets (₹840–₹1,200) reflect modest appreciation—assuming no major deterioration. Investors should avoid aggressive buying and wait for ROCE improvement above 10% or P/E below 50x before considering entry.
📌 Disclaimer: Price targets are estimates based on current fundamentals and sector trends. They are not investment advice. Please consult a SEBI-registered advisor before investing.
Hi, I’m Raj Mittal, a stock market content writer focused on company analysis, share price trends, and fundamental research. I create simple, research-based insights to help investors make smarter market decisions.
