Happiest Minds – Why a steeper correction is possible

Stocks

The valuation is still heady in comparison to global peers and there is room for further correction in the stock

Happiest Minds – Why a steeper correction is possible

Happiest Minds Technologies could underperform despite a winning performance.

PRO Only Highlights
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Quarterly performance largely backed by improved realisations
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Medium-term triggers China plus and protectionist measures for tyre industry
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Valuations not inexpensive; but improved medium-term outlook

Highlights Strong long-term outlook Excellent performance in H1 of FY23 Margin resilient amid wage revision in Q2 Supply-side challenges waning Macro concerns could impact demand for a few quarters Excellent long-term play to be added on correction We had advised earlier that Happiest Minds Technologies (CMP: Rs 848, Market Cap: Rs 12,457 crore) could underperform despite a winning performance. The same has played out with the stock declining 11 percent in the past three months against a 4 percent rally in the Nifty and 5 percent…