Buy Persistent Systems; target of Rs 7587: Anand Rathi

Anand Rathi is bullish on Persistent Systems has recommended buy rating on the stock with a target price of Rs 7587 in its research report dated January 21, 2026.

Broker Research

January 21, 2026 / 11:47 IST

Buy

Anand Rathi's research report on Persistent Systems

Persistent sustained its ‘consistent compounding’ narrative for another quarter with 4.1% q/q and 17.3% y/y CC revenue growth to $423mn aided by a healthy order book along with (LTM TCV up 14.2% y/y) continued deepening of its large-client relationships. The management used the quarter to position the company’s medium-term ambition of achieving $2bn revenue by FY27 and $5bn aspiration by FY31, led by AI-led, platform-driven execution. BFSI led growth, while Europe and North America saw strong y/y growth. Persistent continued to emphasise its deep domain expertise playbook anchored in its top accounts (~82% revenue from Top 100; up >20%), which supports its near-term growth momentum as well as multi-year wallet-share expansion.

Outlook

Thus, we upgrade our rating on the stock to BUY with a TP of Rs7,587, valuing it at 40.3x FY28e PE.

For all recommendations report, click here