📉KPIT Stock fell about -16% yesterday after issuing a weak H1FY27 outlook. Here is why!

🔵The stock’s market cap has dropped from ₹50,000+ Cr at its peak to around ₹15,000 Cr, highlighting how quickly market sentiment can change. 🔵The reason is simple: Growth has slowed sharply. Constant currency revenue growth declined from 20–39% (FY22–FY24) to 18.7% in FY25, and just 1% in FY26. As growth faded, the valuation followed, its PE compressed from nearly 85x to around 22x. 🔵The learning here is, high-growth stocks do enjoy premium valuations, but when growth slows, the market re-rates them just as aggressively in the opposite direction.📉