Mastek Ltd.

NSE: MASTEK | BSE: 523704 | ISIN: INE759A01021 | Industry: IT Consulting & Software
| Mid-range Performer
2526.9000 41.40 (1.67%)
NSE Aug 11, 2025 15:52 PM
Volume: 54,043
 

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Mastek Ltd.
23 Jul 2019
2526.90
1.67%
HDFC Securities
Mastek has successfully ramped up UK Govt. digital business (+6.9% 4-QTR CQGR). Mastek is the only Indian IT company in UK Govt's top-10 vendors list. We also like its initial success in recovering the US business (+8.7% QoQ) led by increased focus and management changes. Mastek is blessed with low exposure to legacy (~16% of rev) and can deliver 11.4/8.6% GBP rev/EPS CAGR over FY19-21E. Its stake in Majesco US (Rs 94/sh) and net cash (~Rs 67/sh) provide additional comfort. Risks to our thesis include prolonged deferment of spend in UK private due to Brexit and GBP depreciation. We maintain BUY on Mastek following a weak 1Q on revenues but stable margin performance. US turnaround is faster than expected and order book growth is encouraging. We cut est. by ~4% factoring soft UK Pvt. Our SoTP of Rs 618 implies 11x FY21E EPS plus Rs 94/sh for 12% stake in Majesco US.
Mastek Ltd.'s price crossed above 30Day SMA today
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