LTIMindtree price target: Nirmal Bang noted that there has been several top management exits post the execution of merger between LTI and Mindtree. It suggeted a target price of Rs 4,015 on the stock.
On Thursday, shares of the IT service company LTIMindtree dipped 2.5% to touch the day s low at Rs 4,611 on the BSE, as the company s Q4 results failed to meet market expectations.
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.
LTIMindtree needs to demonstrate visible translation of synergies to deals and revenue, and increase the growth gap with Tier 1 peers to justify premium valuations, said Kotak Institutional Equities.
Shares of LTIMindtree tanked more than 13.4 per cent to Rs 5436 during the trading session on Thursday, with a total market captialisation of the company dropped below Rs 1.65 lakh crore.