LTM Ltd. share price target

4QFY26 softer than expected on both revenue and margins. No clarity on FY27 revenue growth while enunciating ~15% CAGR 5-year goal

We recommend a BUY rating on the stock.

LTM is executing well on: improving large deal wins with six deals over USD 100mn in FY26 and being net beneficiary of winning against competition in deal renewals and good recovery in top technology accounts in Q4 with AI-led productivity gain sharing in the base.

Q4FY26 & FY26 Performance: Revenue at US$ 1,222 mn, was up 1.2% QoQ/8.1% YoY (+1.2% QoQ CC/+7% YoY CC). In rupee terms, revenue stood at 11,291 crore, up 4.7% QoQ/15.6% YoY. Reported EBIT margin declined ~100 bps QoQ to 15.1%. Reported PAT stood at 1,387.3 crore, up 45% QoQ/ up 23% YoY while adj. PAT (ex-one off from new labour code) at 1,449.5 crore, up 3% QoQ/28% YoY. For FY26, revenue stood at US$4,764 mn, up 6% YoY (+5.3% YoY CC). In rupee terms, revenue was at 42,308 crore, up 11.3% YoY. Reported EBIT margin was up ~90 bps YoY to 15.4%. Reported PAT stood at 4,983 crore, up 8.3% YoY while adj. PAT...

The revenue growth (+1.2% QoQ CC) was in-line with our estimates, ex-BFS the growth was broad-based across verticals. The weakness in BFS vertical was attributed to productivity pass-back to one of its marquee clients. The management expects the productivity benefits are largely concluded in Q4, while it anticipates the recovery to be much slower as it progresses through FY27. The timely ramp of earlier wins and recovery within Hi-Tech client should support growth within BFS and CMT verticals in FY27E. The recent India-led NN deal (CBDT) are seeing some deferrals around hardware procurement activities before it gets executed, hence it is less likely to...

LTM reported revenue of USD1.2b in 4QFY26, up 1.2% QoQ in constant currency (CC) vs. our estimate of 1.5% QoQ CC growth. EBIT margin at 15.1% was in line with our estimate of 15.2%.

Reported profit after tax fell 11.7% YoY to Rs. 960cr despite strong revenue growth and margin expansion, impacted by a one-time labour code expense of Rs. 590cr. The company delivered a steady performance on the back of robust execution of its AI strategy, workforce upskilling initiatives and expansion of strategic partnerships. The management remains focused on launching next-generation platforms and industryspecific solutions, as well as enhancing operational efficiency and diversifying its global footprint. Ongoing investments in digital transformation and advanced analytics are expected to support growth, although the pace of improvement will depend on broader market dynamics and client adoption. However, we remain cautious on the rapid...

Q3FY26 Performance: Revenue at US$ 1,208 mn, up 2.4% QoQ/6.1% YoY (up 2.4% QoQ CC/ 5.2% YoY CC). In rupee terms, revenue stood at 10,781 crore, up 3.7% QoQ and 11.6% YoY. Reported EBIT margin declined ~520 bps QoQ to 10.6% while adjusted EBIT margin (ex-one off from new labour code) expanded by ~20 bps QoQ to 16.1%. Reported PAT stood at 959.6 crore, down 31% QoQ/ 12% YoY while...

LTIMindtree is showing steady and improving fundamentals, supported by consistent execution and a clear AI-led strategy. Revenue grew 2.4% QoQ and 6.1% YoY in USD terms, despite a seasonally weak quarter, while EBIT margin improved by 20 bps sequentially to 16.1% due to cost discipline under the Fit for Future program. Order inflow remained strong at USD 1.7bn, reflecting healthy deal momentum and increasing wallet share from large global clients, especially in BFSI and manufacturing. Although the top five clients saw a temporary decline due to client productivity initiatives,...

We recommend a BUY rating on the stock.

Despite furloughs, LTIMindtree (LTIM) delivered a solid performance in Q3FY26, with CC revenue rising by 2.4% q/q to $1.21bn and EBIT margin expanding by 20bps q/q to 16.1% LTIM saw a one-time labourcode impact of Rs5.9bn.

LTIMindtree (LTIM) reported a revenue of USD1.2b in 3QFY26, up 2.4% QoQ in constant currency (CC), above our estimate of 2.2% QoQ CC growth. EBIT margin at 16.1% was in line with our estimate of 16.0%.

We believe, LTIM is well positioned to sustain above-industry growth levels on the back of a strong deal pipeline and its relative higher growth trajectory outlook among larger peers. We maintain BUY rating on LTIM with revised target price of 7,350 (vs...

Q2FY26 Performance: Revenue at US$ 1180.1 mn, was up 2.3% QoQ/4.7% YoY (up 2.4% QoQ CC/ 4.4% YoY CC). In rupee terms, revenue stood at 10,394 crore, up 5.6% QoQ and 10.2% YoY. EBIT margin expanded by ~160 bps QoQ to 15.9%. PAT...

LTIMindtree (LTIM) reported revenue of USD1.1b in 2QFY26, up 2.4% QoQ CC, above our estimate of 2.0% QoQ CC growth. EBIT margin at 15.9% was above our estimate of 14.9%.

2QFY26 performance beats our estimates. Growth pickup despite AI driven productivity pass back to top clients as it attacks noncore areas

LTIMindtree delivered strong results in Q2FY26, with revenue reaching USD 1.18bn, up 2.3% & 4.8% QoQ/YoY. EBIT margin expanded by 160bps to 15.9%. The company secured USD 1.59bn in orders, driven by significant deals across key sectors like media, financial services, and manufacturing. AI-driven digital transformation remains central, with projects leveraging their Blueverse platform, cloud migration, and AI governance solutions. Headcount increased by ~2.5K, with extensive AI reskilling of over ~80K employees. LTIMindtree targets near double-digit growth in H2FY26, balancing productivity gains and...

We recommend a BUY rating on the stock.

A strong order pipeline, deeper client engagement, a focus on cost optimisation through the Hence, we reiterate the rating to HOLD on the stock with a revised target price of Rs. 5,646 using a target multiple of 28x P/E on FY27E adjusted EPS....

We resume our coverage with a HOLD rating on the stock.