
Jefferies has maintained its ‘Hold’ rating on HCLTech with a target price of ₹2,060, citing a mixed Q3FY25 performance. The brokerage highlighted that while margin expansion exceeded expectations and management commentary was upbeat on TCV-to-revenue conversions.
Jefferies expressed concern over HCLTech’s worsening YoY CC revenue growth trajectory, cutting its revenue and EPS estimates for FY25 by 1–2%. It remains on the sidelines, citing valuation concerns and slowing momentum in discretionary IT spending.
HCLTech’s Q3FY25 revenue came in at $3,533 million, growing 3.8% QoQ in CC terms. PAT increased 8.4% QoQ to ₹4,591 crore, and EBIT margins expanded to 19.5%, beating estimates. Despite strong margin management, Jefferies remains cautious on the company’s near-term growth outlook.