Buy Cyient, target price Rs 1090: Motilal Oswal

Motilal Oswal has buy call on Cyient with a target price of Rs 1090. The current market price of Cyient Ltd. is Rs 928.4. Time period given by analyst is one year when Cyient Ltd. price can reach defined target.

Cyient Ltd., incorporated in the year 1991, is a Mid Cap company (having a market cap of Rs 10412.12 Crore) operating in IT Software sector.

Financials
For the quarter ended 31-03-2021, the company reported a Consolidated Total Income of Rs 1133.40 Crore, up 6.30 % from last quarter Total Income of Rs 1066.20 Crore and up .52 % from last year same quarter Total Income of Rs 1127.50 Crore. Company reported net profit after tax of Rs 103.10 Crore in latest quarter.


Investment Rationale
The brokerage raises estimates on better potential margin performance as the management increases its intake of freshers as well as benefits from operating leverage.

Promoter/FII Holdings
Promoters held 23.5 per cent stake in the company as of March 31, 2021, while FIIs held 38.5 per cent, DIIs 21.2 per cent and public and others 16.8 per cent.