Shares of Mphasis will be in focus today and are likely to see buying interest after the company issued a clarification on a media article regarding its business relationship with FedEx.
On Monday (June 2), Mphasis shares had declined 2.5 percent to close at Rs 2,494.80, reacting to a Mint news report that speculated the company might lose its FedEx business, which was said to account for 8 percent of its total revenue. The stock had fallen sharply in intraday trade, hitting a low of Rs 2,386.70.
Post market hours, Mphasis issued a statement to the stock exchanges clarifying that it continues to be a service provider in the FedEx ecosystem. The company further stated that other aspects of the article were purely speculative.
Mphasis reiterated that it stands by the outlook and guidance communicated during its previous investor and earnings calls, and that it follows the highest standards of governance and disclosures.
The clarification is expected to ease investor concerns and could help the stock recover in today’s session, after the sharp reaction seen on Monday.
Disclaimer: This article is for informational purposes only and does not constitute investment advice.
