Broking house, P-Sec is bullish on HCL Technologies and has maintained buy rating on the stock with a target of Rs 699.

P-Sec report on HCL Technologies:

"HCL’s quest for large deals has started to yield results with it winning a US$ 200 mln multi service, five year contract with Skandia UK. Deal encompasses outsource application optimization, including development, maintenance and support and remote infrastructure management to the company (HCL has one of the more mature Infrastructure management Services practice among all the off shore IT vendors). HCL shall also take 250 people on its payroll as part of the deal (This trend which started with ABN AMRO deal is getting more and more usual phenomena amongst the Indian IT vendors.).The company has declared a bonus in the ratio of 1:1. The stock is trading at 19.2x FY07P EPS and 14.8x FY08P EPS. We are maintaining a BUY with a price target of Rs 699."