Buy HCL Tech: Aniruddha Mehta

Aniruddha Mehta, Research Analyst, IIFL advises to buy HCL Tech at current levels.
 
Mehta told CNBC-TV18, “Software services have been a bit muted in last couple of quarters. Yes, it is a bit of a concern but the kind of pipeline that HCL Tech has in terms of even if you see the current quarter USD 1 billion of deals, nearly 50 percent of them are integrated deals. So I believe the software services part of the business should pick up.”
 
He further added, “Overall, if you see the software services part, it consists of engineering as well as enterprise application which is largely discretionary. So, there could be a pressure because of that too. Overall, the results have been fantastic considering the 3.8 percent of constant currency growth and maintain margins and constructive management commentary in terms of further deals wins in H2. So, we are positive on the stock. Considering the valuations are not so demanding, we have a buy rating on this stock currently.”