HCL Technologies Ltd. share price target

Closing headcount at 84,403 shows a net decline by 791 employees Blended utilisation (ex-trainees) was at 83% up 276bps QoQ Revenue growth in line with expectation Revenue grew by 3.2% QoQ to $1.10bn led by Infrastructure Management Services (IMS), which grew 8.6%. IMS has constituted 27% of revenues and has grown at 28% in the past 12 months. Software services growth (65% of revenues) was muted at 1% (volume growth of 0.4% and realisation growth of 0.6%) and BPO revenues grew by 0.6% QoQ, on expected lines. Manufacturing (up 7% QoQ) and Telecom (up 3.1% QoQ) were the main drivers on the vertical front. Europe, up 4.6% QoQ, drove...

HCL Tech reported Revenues of USD 1.15bn, up 3.6% QoQ. Amongst service verticals, Infra grew by 10.9% QoQ to USD 328mn, while in industry verticals BFSI grew by 10.6% QoQ, media grew by 5.1% QoQ and Manufacturing by 2.1% QoQ. Software services which grew 1% QoQ and BPO by 1.8% QoQ were the laggards. Europe grew by 5.9% QoQ. Volume growth of software services was muted at 0.4% QoQ - offshore was up 0.4%, onsite was up 0.4%....

largest IT services exporter offering offshore IT Services with Revenues of INR 210.3bn (FY12), 85,355 employees. Revenue split: US - 57.2%, Europe - 27.6% & ROW - 15.2%. Service Mix: Custom App Serv - 31.8%, Infrastructure Services - 24.7%, Enterprise App Serv - 20.4%, Engg and R&D; - 18.5%, BPO - 4.5%. Fixed Price Contracts account for 51.2%. Major verticals are Manufacturing - 27.6%, Fin Serv - 24.1%, Healthcare - 12%, Retail - 9.2%, Telecom - 7.5%, Media-7% & Energy - 6.9%. Has 536 clients with top 10 clients account for 24.5%. 94.6% of business is repeat business, reflects effective mining of...

Revenue growth at top end compared to peers On constant currency, Americas grew 2.7% while Europe grew 7.1%. Infrastructure services $ revenue growth of 6.6% q-o-q was the key driver of top-line (up 3% q-o-q) performance even as growth in ERP (up 3.7% q-o-q) and engineering services (up 3.6% q-o-q) provided useful boosters. Healthcare (up 22.2% q-oq), accounted for 67% of incremental revenues and Energy/Utilities (up 9.6% q-o-q) were the key growth industries with ramp-up of AstraZeneca and Statoil deals the likely contributors. BPO (down 3.6% q-o-q) remains a challenge and HCL is hoping that recent deals signed with the likes of Citi will help reverse the slide. While $-growth relative to peers has been good, HCL has not been immune from the demand...

At CMP of Rs.506.9, stock trades at 15.2X, 13.2X and 11.8X to FY12, FY13 and FY14 earnings estimate of Rs. 33.3, Rs. 38.4 and Rs.43 respectively. We assign Market performer rating on HCL Tech with a target price of Rs. 559. We assign a multiple of 13X FY14 EPS based on...

US$ 3.90 billion LTM ended December 2011. HCL focus on transformational outsourcing, underlined by innovation and value creation, and offer integrated portfolio of services...

Outperformer rating on HCL Tech with a target price of Rs. 555. We assign a multiple of 14X FY13 EPS based on a 30% discount to Infosys Sathyanarayanan M +91-44-30007361...

HCL Technologies revenue sequentially grew by 5.3% to US$962.9mn, growth in revenue was largely contributed by volume, which grew by 4%, and cross currency had a positive impact of 130 bps. In rupee terms revenue grew to Rs.4, 304 crore...

HCL Tech has made its own niche in IMS and ERS... HCL Technologies have made a unique niche for it in Infrastructure management services (IMS), engineering services and in consulting while its peers were competing in Custom Application Services (CAS) like Application Development and Maintenance, System Integration and Testing Services....