Happy Monday! Ronnie Screwvala-led Upgrad is closing in on US edtech firm Udacity, with a fresh fundraise likely to seal the deal. Details of this and more in todays ETtech Morning Dispatch.
Mahantesh Sabarad says: “A mixture of events that has caused this underperformance on HDFC Bank overall. And within that mixture one cannot wish away what is happening to the banking sector per se. The banking sector is now on a high in terms of credit growth. The YoY credit growth number is upwards of 16% thereabouts.”
Analysts expect IT companies to report subdued performance in the December quarter on the back of seasonal furloughs, continued cuts in discretionary spends, and tumbling deal announcements, among others.
A combination of adverse macros and a higher-than-expected number of furloughs could bog down revenue conversion of top Indian IT companies, a Motilal Oswal report said ahead of the earnings season which begins on January 11 when Tata Consultancy Services (TCS) and Inforsy will announce their December quarter results.
The NSE Nifty IT Index of 10 software majors has surged about 17% since late October, beating the NSE Nifty 50 index. While the rally was initially driven by a global rebound in tech stocks, the US Federal Reserves dovish pivot at the December policy meeting turbocharged the run.