HCLTech shares are likely to remain in focus today after the company’s Q2FY26 results beat analyst expectations on revenue growth, margins, and deal momentum. Most global brokerages maintained a positive stance on the IT major, with upward revisions to earnings estimates and service revenue guidance. The stock closed at ₹1,494.10 on the previous trading session.
Jefferies on HCLTech share: Buy, Target Price ₹1,730
The brokerage maintained a Buy rating and raised the target price to ₹1,730 per share, citing stronger-than-expected revenue growth and solid deal wins. HCLTech raised its FY26 services growth guidance to 4–5%, the highest among India’s top five IT companies. Jefferies said the company’s “infrastructure services lineage and AI strategy position it well to gain market share.” It also increased its FY26–28 EPS estimates by 1% and expects a 9% EPS CAGR, noting that superior growth and free cash flow conversion should support premium valuations.
Nomura on HCLTech share: Buy, Target Price ₹1,660
Nomura also retained its Buy call with a target price of ₹1,660 per share, describing Q2FY26 performance as strong on all parameters. The brokerage highlighted robust margin execution and expects margin normalization by FY27. HCLTech raised its FY26 services revenue growth guidance to 4–5% from 3–5% earlier, while keeping its overall growth forecast unchanged. Nomura added that the company’s focus on AI through a services-led, asset-light approach will be key to sustaining momentum.
Citi on HCLTech share: Neutral, Target Price ₹1,600
Citi maintained a Neutral rating with a target price of ₹1,600 per share, acknowledging a solid Q2 performance with revenue and margin beats. It noted that HCLTech raised the lower end of its services growth guidance to 4–5% but maintained overall growth guidance at 3–5% year-on-year in constant currency. The brokerage said headcount grew 3.7% YoY, while total contract value rose 13% YoY over the past year. Citi added that management remains cautious amid macro uncertainty, though business indicators are encouraging.
CLSA on HCLTech share: Outperform, Target Price ₹1,660
The brokerage retained an Outperform rating with a target price of ₹1,660 per share, citing a broad-based Q2 beat across revenue, EBIT margin, and order bookings. CLSA said the company’s upgraded services growth outlook to 4–5% reflects strong Q2 performance and robust deal pipeline. It expects margin recovery to 18–19% by FY27, which it considers crucial for a stock re-rating.
Morgan Stanley on HCLTech share: Equal-weight, Target Price ₹1,680
Morgan Stanley maintained an Equal-weight rating with a target price of ₹1,680 per share, saying commentary on demand indicates stability to slight improvement. However, the brokerage pointed out that a lack of tightening in consolidated revenue guidance and limited visibility on FY27 margins may restrict near-term EPS upgrades.
Overall, brokerages remain divided but lean positive on HCLTech’s medium-term outlook, with most projecting margin stability, solid order inflows, and continued traction in AI-led services as key growth drivers.
Disclaimer: This article is for informational purposes only and not a recommendation to buy or sell any securities. Brokerage ratings and target prices are based on their respective research reports and publicly available information.
