Brokerage firm Nuvama turns bullish on LTIMindtree as it has increased target price for LTIMindtree shares to Rs 7,000 from Rs 6,650 earlier after the company posted its Q1 earnings on Wednesday. Nuvama has a Buy rating on LTIMindtree and expects a 25% upside in LTIMindtree shares from current CMP of Rs 5,567.
The brokerage believes that the company posted a solid set of Q1 earnings after a muted FY24 and that the momentum is likely to sustain going forward. “LTIM has begun FY25 with a solid performance—after a disappointing FY24. Management commentary is upbeat, alluding to green shoots and ramp-up of deals—anticipating growth momentum to continue in Q2FY25. We largely maintain FY25E/26E EPS (marginal tweak ~2% on slightly lower other income). We are introducing FY27 estimates and rolling forward the valuation to 30x Sep-26E PE. Maintain ‘BUY’ on LTIM with a revised TP of INR7,000 (earlier INR6,650),” said Nuvama in its latest note on LTIMindtree.
LTIMindtree’s Q1 net profit grew 3% on a sequential basis to Rs 1,135 crore. The company’s revenue from operations rose to Rs 9,142 crore from Rs 8,702 crore in the same period last year.
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