Axis Securities Bets On Large Cap IT Stock, Suggests "Buy" For High Return, Soars 228% In 5 Yrs

Axis Securities in its "Pick of the Week'' stock assigned "buy" on the LTIMindtree Ltd (LTIMINDTREE) with a target price of Rs 5,340 apiece. It is likely to give a healthy return up to 14% if purchased at the current market price. The stock is a leading IT sector large-cap stock having a market capitalisation of Rs 1,39,677 crore. Check below to know more:

LTIMindtree's Stock Outlook & Returns

The current share price of LTIMINDTREE is Rs 4,722.05 apiece on NSE, it falls 1.11% as compared to its previous close of Rs 4,775 apiece. The stock, on 23 January 2023 recorded its new 52 week low at Rs 4,121 apiece, and on 5 December 2022, it recorded its 52 week high at Rs 5,107.75 apiece.

It has fallen 3.21% in the past 1 week and gained 7.34% in the past 1 month. It gave 19.28% negative return in the past 1 year. It gave robust 147.21% positive return in 3 years and 227.9% positive return in the past 5 years, respectively.

Strong Q3 results and deal pipeline despite uncertainties

According to the brokerage, In Q3FY23, LTIMindtree Ltd (LTIMINDTREE) reported revenue of Rs 6,881 Cr, up 4.8% QoQ and 2.4% QoQ (in CC terms) which stood above our expectations. The company's operating profit stood at Rs 1,197 Cr, reporting a de-growth of 16.9% on a QoQ basis, largely because of the one-time integration cost, appraisal effect, and other higher impact costs. Its net profit for Q3FY23 stood at Rs 1,001 Cr, registering a de-growth of 10.7% QoQ.

Axis Securities said, "We recommend a BUY rating on the stock with a near-term TP of Rs 5340, implying an upside of 10% from CMP."

About the Stock

LTIMindtree is India's sixth-largest IT services exporter and has strong global presence. It provides industry wide solutions including next gen services like Cloud computing, digital transformations, IoT, Machine learning etc. Infosys also has expertise in providing solutions in verticals like banking and financial services, Retail, Manufacturing etc.

 

Disclaimer

The stock has been picked from the brokerage report of Axis Securities. Greynium Information Technologies, the Author, and the respective Brokerage house are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to consult with certified experts before making any investment decision.