IT services company LTIMindtree s stock tanked 10% following lower-than-expected Q3 earnings. CLSA downgraded the stock to Sell, while Kotak Institutional Equities recommended a Reduce rating due to weak quarter-on-quarter growth. Motilal Oswal maintained a Neutral rating, while Nuvama retained a Buy stance but cut the price target. InCred downgraded the stock to Reduce. LTIMindtree reported a 17% YoY rise in net profit to Rs 1,169 crore and a 5% increase in revenue to Rs 9,017 crore for the quarter.
Despite achieving its highest ever quarterly deal pipeline in Q3, the management of LTIMindtree expects a challenging macroeconomic environment and delays in client decision making to remain a drag on its performance in Q4 as well.
LTIMindtree Q3 earnings: BNP Paribas said FY25 revenue outlook; performance of top accounts; commentary on client budgets; investments in GenAI partnerships and solutions and deal pipeline will be keenly followed.
Asian Paints to announce Q3 earnings along with 21 other companies. Federal Bank and Bank of Maharashtra posted YoY jump in profit after tax. Asian Paints is likely to report strong Q3 results. LTI Mindtree is expected to report constant currency revenue growth.