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Dixon Technologies shares in focus after downgrade; rising memory prices cloud outlookCLSA also downgraded the Dixon Technologies stock to 'Hold' and slashed its price target by 23% to ₹12,100 from ₹15,800 earlier.By CNBCTV18February 19, 2026, 7:49:22 AM IST (Updated)2 Min ReadShares of Dixon Technologies (India) Ltd. are expected to open lower on Thursday, February 19, after the stock was downgraded and its target price was cut by a global brokerage. The stock has declined for two straight sessions.

From its recent 52-week high of ₹18,471, the stock is down 38%. Dixon's market capitalisation is hovering near the ₹70,000 crore mark.

CLSA downgraded the stock to 'Hold' from 'Outperform' and slashed its price target by 23% to ₹12,100 from ₹15,800 earlier.

The revised target implies a potential upside of just 5% from the current market price.

The brokerage said the memory industry is entering a super cycle, driven by AI-led demand for high-bandwidth memory and DDR5, while mainstream storage faces tightening supply and rising costs.

India's heavy reliance on imports leaves it exposed to this global supply squeeze, especially as manufacturers prioritise high-margin AI-grade memory.

Memory prices have already surged, with DDR5 and DDR4 contract rates rising 119% and 63% month-on-month in January, while NAND contract prices increased 37-67%.

CLSA believes smartphone volumes are at risk, as higher memory costs could push up average selling prices by 10-25%, disproportionately affecting the lower-end consumer segment.

It flagged risks to low-end smartphone demand and concerns over medium-term growth visibility.

According to Bloomberg data, 34 analysts track the stock, of which 26 have a 'Buy' rating, three recommend 'Hold', and five have a 'Sell' call.

Morgan Stanley remains among the most bearish on the stock, with a price target of ₹8,157, the lowest on the Street and the fourth one below the ₹10,000 mark.

Dixon Technologies shares ended 1.36% lower at ₹11,479 on Wednesday. The stock is down 5% so far in 2026.Continue ReadingNote To ReadersDisclaimer: The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.First Published: Feb 19, 2026 7:48 AM ISTTagsDixon TechDixon Technologiesshare market today