Dixon Technologies Shares Plunge: Motorola Volume Drop, Competition Cited

• Dixon Technologies shares have fallen 35% in the last three months, reaching their lowest since June 2024.
• Phillip Capital attributes the decline to a sharp fall in volumes from key client Motorola, which accounts for over 45% of Dixon's FY25 revenue.
• Motorola's volumes dropped 20% year-on-year in Q3 due to competition from Apple and increased outsourcing to Karbonn.
• Phillip Capital maintains its bearish stance, citing lack of moat in mobile phone assembly and projecting declining volumes for Dixon from FY27.
• Despite 26 'buy' ratings from analysts, Phillip Capital and Ambit Capital have 'sell' ratings with the lowest price targets.

Why It Matters: Dixon Technologies' stock decline is driven by reduced Motorola volumes and increased competition in mobile assembly.