IIFL positive on HCL Tech, Tech Mahindra

Prabodh Agarwal, Head of Institutional Research, IIFL is positive on HCL Technologies and Tech Mahindra.

Agarwal told CNBC-TV18, "We like select IT stocks. We are more positive on the second line IT stocks like HCL Tech and Tech Mahindra rather than the frontliners and the reason for that is because the extraneous environment is still very uncertain, the commentary coming from the frontline IT companies it is still not very clear whether the discretionary spending is clearly on an uptrend and whether the trend that we saw last quarter is sustainable and therefore we are taking a cautious view. We have a neutral to underweight stance on the sector with an overweight position on the second line stocks."
HCL Tech touched its 52-week high Rs 720.90 and 52-week low Rs 422.00 on 17 January, 2013 and 20 January, 2012, respectively. Currently, it is trading 1.44% below its 52-week high and 68.36% above its 52-week low. Market capitalisation stands at Rs 49,348.62 crore.