LTIMindtree up 1% on Quantum-Safe VPN collaboration

On November 23, the tech consulting and digital solutions company LTIMindtree, announced the launch of a Quantum-Safe virtual private network (VPN) link in London.

Shares of LTIMindtree rose nearly 1 percent in early trade on November 24 post the launch of a Quantum-Safe VPN link in collaboration with Quantum Xchange & Fortinet. At 9:45 am, the LTIMindtree stock was trading at Rs 5489 on NSE.

On November 23, the tech consulting and digital solutions company announced the launch of a Quantum-Safe virtual private network (VPN) link in London to ensure secure data transmission in the upcoming quantum era. This was revealed in an official filing. LTIMindtree joined forces with Quantum Xchange and Fortinet to develop the Quantum-Safe VPN platform.

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The primary goal of this collaboration is to enhance data security, especially in anticipation of the advancements in quantum technology. The Quantum-Safe VPN is designed to protect data during transmission and is considered a proactive measure to address potential threats posed by quantum computing. The move reflects LTIMindtree's commitment to staying ahead in technological developments and safeguarding sensitive information in the face of emerging challenges.

LTIMindtree stock call: Check brokerage views, target prices

Brokerage firm Nomura in a recent report issued a ‘reduced’ call on LTIMindtree, lowering the target price to Rs 4,510 per share. Their assessment of LTIMindtree's Q2FY24 performance is a mixed bag, with an uncertain growth outlook. Nomura notes that achieving high-single-digit growth in FY24 seems improbable due to sluggish execution. However, they anticipate margin recovery to follow expected lines, primarily driven by improvements in utilisation. In response to the overall evaluation, Nomura had adjusted the earnings per share (EPS) estimates for FY24-26, lowering them by approximately 2-3 percent.

Further, on the occasion of the collaboration, Aan Chauhan, Chief Technology Officer, LTIMindtree, said, “As a forward-looking partner, LTIMindtree is dedicated to anticipating and addressing the future challenges of quantum safe security. Our collaboration with Quantum Xchange and Fortinet underscores this commitment.”

LTIMindtree stock performance

LTIMindtree stock has given a return of 13.27 percent over the last six months. The benchmark Nifty50 index has given a return of 8.66 percent over the same duration.

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