HCL Tech remains one of the cheapest large IT stocks and could be added gradually in a volatile market
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PRO Only Highlights
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
HCL Tech’s (CMP: Rs 1099, Market cap: Rs 2,98,286 crore) apparent tepid show in Q4 FY22 masks the strong performance of its service business. The weaker-than-expected performance of its products and platform business not only impacted revenues but also pulled down margins. No fireworks from this business is expected in the near term as reflected in the company’s overall revenue guidance for FY23. The robust order booking, commentary on pipeline, and strong hiring point to the continuation of the…
