Hold Mahindra Satyam, says Phani Sekhar

Hold Mahindra Satyam, says Phani Sekhar, Fund Manager, Angel Broking.

Sekhar told CNBC-TV18, "Suddenly headwinds have started coming up in the global environment for IT companies and Mahindra Satyam will not be immune to that. In the last quarter the operating margin have improved from 6-12%, going forward over the next four to six quarters, it is reasonable to expect that that operating margin will move up from 13% to somewhere around 16-17% and the company has started being invited to the larger bids. Most of the customers who went back, who actually the company had lost have started coming back. So all in all you are actually seeing that over a period of time margin expansion looks extremely realistic and that to my mind is the biggest trigger, because if that happens, you are likely to see somewhere around 40-50% kind of bottomline growth and the company suddenly starts looking pretty attractive.