Add L&T Technology Services, target price Rs 5750: HDFC Securities

HDFC Securities has add call on L&T Technology Services Ltd. with a target price of Rs 5750. The current market price of L&T Technology Services is Rs 5038.45. Time period given by analyst is one year when L&T Technology Services Ltd. price can reach defined target.

L&T Technology Services Ltd., incorporated in the year 2012, is a Mid Cap company (having a market cap of Rs 57178.39 Crore) operating in IT Software sector.

L&T Technology Services Ltd. key Products/Revenue Segments include Service (Engineering) for the year ending 31-Mar-2020.



Financials
For the quarter ended 31-12-2021, the company reported a Consolidated Total Income of Rs 1724.50 Crore, up 5.35 % from last quarter Total Income of Rs 1637.00 Crore and up 18.97 % from last year same quarter Total Income of Rs 1449.50 Crore. Company reported net profit after tax of Rs 249.60 Crore in latest quarter.

Investment Rationale
The brokerage acknowledge LTTS’ prowess/diversity in digital ER&D, but citing near-term challenges, it cuts estimates by ~2-3%.

Promoter/FII Holdings
Promoters held 74.6 per cent stake in the company as of June 30, 2020, while FIIs held 9 per cent, DIIs 4.4 per cent and public and others 12 per cent.