4470.5000 -54.70 (-1.21%)
NSE May 20, 2025 15:31 PM
Volume: 95,717
 

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L&T Technology Services Ltd.
20 Jul 2019, 10:06AM
4470.50
-1.21%
HDFC Securities
Despite emerging challenges in Telecom & Hi-tech vertical, LTTS is the strongest play in ER&D based on (1) Business resilience supported by vertical diversification and low client concentration (vs. peers), (2) Broad-based deal wins & deal pipeline, (3) Growth outperformance in largest vertical (Transportation) vs. peers and (4) Shift in business-mix to support margins. Expect USD rev/EPS growth of 15/17% CAGR over FY19-22E. Key risks include adverse macros (trade war) and INR appreciation. We maintain BUY on LTTS following an in-line 1Q performance. We lower est. by ~3% to factor near-term weakness in Telecom/Hi-tech vertical, however broad-based wins/pipeline provide growth visibility (continues to be industry leading). Our TP is Rs 1,955, at 20x Jun-21E EPS.
L&T Technology Services Ltd. is trading above its 50 day SMA of 4409.7
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