Tech Mahindra rises as analysts positive after meet

Reuters Updated - November 22, 2018 at 11:39 AM.

Tech Mahindra Ltd's shares rise as much as 2.8 per cent to ₹710. The company hosted its annual analyst meeting on Wednesday and at least three brokerages had positive commentary.

Jefferies said that the company expects significant revenue boost from 5G to come beyond FY20; also reflected in its 5-6 per cent growth target for communications business. The company’s 8-10 per cent target growth for enterprise implies overall growth of 7.5 per cent next year, largely in line with the estimate.

Jefferies maintains “hold” and raises the price target to ₹770 from ₹690.65.

Morgan Stanley said: “there were no surprises in the analyst meeting”. It said the company management maintained positive outlook for deal win momentum and margins. Tech Mahindra expects to maintain growth momentum of 8-10 per cent y-o-y in the enterprise unit for 2020.

Morgan Stanley added that even with rupee appreciation, they see limited downside risks to company's estimates

About 14 lakh shares changed hands against 30-day moving average of about 33 lakh shares

Published on November 22, 2018 06:02