# Sterlite Tech shares jump 5% after CLSA upgrade Major contracts for AI data centers and strong Q1 results drive investor confidence. - **Source:** [Economic Times](https://brifing.si/source/37791137-c35a-4ffe-b6a9-fe103afc9e48) - **Published:** 2026-07-27 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/dea6b345-5fcd-45ba-b6b9-940dd7b6f70a ## CLSA upgrade fuels stock rally Sterlite Technologies shares rose 5% after CLSA upgraded the stock to 'Outperform' with a target price of Rs 950, implying a 68% upside potential. The stock has surged 466% in 2026, making it one of the market's top performers. ## Strong order book signals growth Sterlite Tech's order book grew 155% QoQ to Rs 18,600 crore, reflecting robust growth prospects. CLSA raised its forecasts by 7-125% after considering the QIP fundraising and Q1 FY27 beat, projecting a 62% EBITDA CAGR. ## Major contracts for AI data centers Sterlite Tech secured a $1.11 billion multi-year contract to supply optical connectivity products for AI data centers. It also received over $100 million in hyperscaler orders for its Neuralis portfolio, addressing the need for higher fiber density in AI workloads. ## Improved financial position Sterlite Tech achieved a net debt-free balance sheet after raising Rs 1,500 crore via QIP. CRISIL and ICRA upgraded its credit ratings, affirming the company's strengthened financial health, which is critical for managing larger orders. ## Record Q1 performance Sterlite Tech reported its strongest quarter in Q1FY27 with revenue of Rs 1,910 crore and an 870% jump in net profit. EBITDA margin hit 20.8%, the highest in 20 quarters, driven by demand for AI-ready infrastructure and data center growth. ## Strategic focus on AI infrastructure Sterlite Tech is rapidly scaling its data center business to align with AI infrastructure demands. With a record order book and customer trust, the company aims to deliver innovative solutions, positioning itself for long-term growth in the AI and data center boom. ## Sources covering this story - https://economictimes.indiatimes.com/markets/stocks/news/sterlite-tech-shares-jump-5-after-clsa-upgrades-2026-multibagger-after-strong-q1-results/articleshow/132652800.cms — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._