TECHM
02.02.2022 - UBS on TECHM Maintain Sell CMP 1505.80 Target 1260
02.02.2022 - Nomura on Techm Maintain Buy CMP 1505.80 Target 2220
18.01.2022 - Motilal Oswal on Techm Maintain Neutral CMP 1722 Target 1910
18.01.2022 - Jefferies On Techm Maintain Buy CMP 1722 Target 2030
18.01.2022 - Nomura on Techm Maintain Buy CMP 1722 Target 2220
10.01.2022 - MS on Techm Maintain Overweight Target 2100
30.12.2021 - Edelweiss On Techm Mahindra Maintain Tactical buy Target Rs.2050
GS ON TECH MAHINDRA : 30.07.2021
* GS maintains Neutral stance on Tech Mahindra with target being below the CMP
* MAINTAIN NEUTRAL TARGET: 1,059
• Co Has Done Better Than Expectations In This Quarter
* Increase EPS Est & Tgt But Remain On Sidelines Given Lack Of Broad-based Digital Capabilities
CITI ON TECH MAHINDRA : 30.07.2021
* Citi maintains Buy rating on Tech Mahindra after better-than-expected Q1, raises FY22/23 EPS estimates by 3-4%
* Co Reported A Good Q1; Rev/EBIT Are Above Expectations
* Deal TCVs Strong At $185 m For 2nd Quarter In A Row
* Supply Side Challenges Are Visible Across The Sector
* Co's Attrition Increases To 17% LTM; Co Sees High Subcontractor Costs in Q1
* Raise FY22/23 EPS Est By 3-4%; Co Is One Of Our Top Picks
* MAINTAIN BUY TARGET: 1,380
JPMORGAN ON TECH MAHINDRA : 30.07.2021
* JPMorgan has an Overweight rating on Tech Mahindra
* Co Reported A Strong Q1 Print With A Beat Across Revenues, Margins & Profits
* Net New Deal Wins Were Healthy At $815 m
* Revenue Grew 3.9% CC QoQ, 130 bps/160 bps Beat Vs Consensus
• EBIT Margin At 15.2%, 85 bps/75 bps Beat Vs Consensus
* CEO Guided For Q1 Revenue Growth Trajectory To Continue, For The Rest Of FY22
* MAINTAIN BUY TARGET: 1,250
CLSA ON TECH MAHINDRA : 12.07.2021
* MAINTAIN BUY TARGET: 1,300
* CLSA maintains Buy call on Tech Mahindra, estimates restructuring legacy acquisitions to provide 70-80 bps margin leverage over medium term
* Its Approach To M&As Has Become More Structured Over Past 3 Yrs
* Financial Discipline Should Lead To A More Predictable Capital Allocation Policy
* Concurrent Work On Restructuring Legacy Acquisitions Is Also Complete
* Estimate It To Provide 70-80 bps Margin Leverage Over Medium Term
CLSA ON TECH MAHINDRA : 12.07.2021
• Acquisitions have been integral to Tech Mahindra's business model
• Tech Mahindra is among more acquisitive Indian IT companies
• Spent 25% of its FCF over FY13-21 on 26 transactions
• M&As has become more structured over the past three years
CITI ON TECH MAHINDRA : 08.07.2021
* Opening Positive Catalyst Watch
* See growth acceleration post Q1'22
* Deal flow was strong in Q4'21
* Strength is expected to continue in 1Q22/2Q22 note
* Stock has underperformed ~10% vs sector YTD
* See increasing 5G component in pipeline
* Valuations look attractive relatively given its ~32% discount
* TechM is also one of our top sector picks
