Tech Mahindra up after 15% EBIT margin, 25% order growth
Tech Mahindra's stock popped over 4% this week after its latest results, making it the only big IT company in India with positive returns this year.
The company posted a solid 15% EBIT margin and saw its order book grow by 25% compared to last year, even though it didn't land any mega deals this quarter.
Analysts diverge on Tech Mahindra outlook
Analysts can't quite agree on where Tech Mahindra is headed.
CLSA is playing it safe with a "hold" rating and a ₹1,494 target, saying the company beat expectations just slightly and that pricing pressure is coming from tough competition, not AI.
Nomura also gave a "neutral" call with a ₹1,650 target, describing the earnings beat as modest and pointing out that long-term growth still needs work.
Meanwhile, HSBC stands out with a more upbeat "buy" rating and a higher ₹1,800 target price.