Shares of LTIMindtree were trading 1.84% lower at ₹4,570.05 on Friday’s session after global brokerage Goldman Sachs downgraded the IT stock to ‘Neutral’ from its earlier ‘Buy’ rating. The brokerage also sharply reduced its price target to ₹4,500 from ₹6,570, citing a more cautious outlook on revenue growth in the Indian IT services space.
The downgrade comes amid broader concerns over macroeconomic uncertainty, especially in key international markets like the US. Goldman Sachs also revised its FY26E revenue growth forecast for the Indian IT sector downward, citing continued weakness in discretionary spending and slower deal conversions.
Interestingly, LTIMindtree had earlier announced a strategic partnership with Intellect Design Arena to accelerate digital transformation for financial institutions across the Middle East, Africa, and Asia-Pacific regions. The collaboration aims to combine Intellect’s open finance platform eMACH.ai and low-code suite iTurmeric with LTIMindtree’s full-stack design and development capabilities to deliver innovative solutions in core banking, lending, payments, and wealth management.
Despite the potential from this strategic alliance, the near-term headwinds and valuation concerns appear to be weighing on investor sentiment. LTIMindtree’s shares touched a day low of ₹4,525.20 after opening at ₹4,570.05.
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