Buy HCL Technologies; target of Rs 1215: Sharekhan

Sharekhan's research report on HCL Technologies

HCL Tech delivered CC revenue growth of 3% q-o-q, while EBIT margin remained at 20%, in-line with our expectations. The management maintains FY2019 CC revenue and margin guidance. It is expected to achieve the mid-point of revenue growth guidance. Positive setups for organic revenue growth in FY2020E on account of ramp-up of deals won earlier, continuation of strong momentum in ERD and anticipated recovery in IMS.

Outlook

We maintain our Buy rating on the stock of HCL Technologies with an unchanged PT of Rs.1215.