Dixon Tech Crashes 45% from Record High: What's Affecting the Multibagger Stock?

• Dixon Technologies stock has fallen 45% from its record high, nearing its 52-week low, despite being a multibagger in the past year.
• Motorola, a major client contributing nearly half of Dixon's mobile revenue, has shifted outsourcing to Karbonn, impacting Dixon's production volume.
• The impending expiry of the government's PLI scheme for smartphones in March 2026 poses a threat to Dixon's profit margins.
• Delays in government approvals for a joint venture with Vivo and rising global input costs for electronic parts are further pressuring the company.
• Brokerage houses are divided: Motilal Oswal and HSBC see a buying opportunity due to cheap valuation, while PhillipCapital recommends 'SELL' until the mobile segment stabilizes.

Why It Matters: Dixon Tech faces significant challenges from client loss, policy changes, and rising costs, leading to a sharp stock decline.