Buy Tech Mahindra, target price Rs 950: ICICI Securities

ICICI Securities has given a buy rating to Tech Mahindra with a target price of Rs 950. The share price moved down by 2.58 per cent from its previous close of Rs 872.20. The stock’s last traded price is Rs 849.70.

Tech Mahindra Ltd., incorporated in the year 1986, is a Large Cap company (having a market cap of Rs 84359.92 Crore) operating in IT Software sector.

Financials
For the quarter ended 30-09-2020, the company reported a Consolidated sales of Rs 9371.80 Crore, up 2.92 % from last quarter Sales of Rs 9106.30 Crore and up 3.33 % from last year same quarter Sales of Rs 9069.90 Crore Company reported net profit after tax of Rs 1062.70 Crore in latest quarter.

Investment Rationale
Bullish Flag breakout in the weekly chart as the stock rebounded from the 50 days EMA and MACD giving buy signal.

Promoter/FII Holdings
Promoters held 35.8 per cent stake in the company as of June 30, 2020, while FIIs held 39.6 per cent, DIIs 13.2 per cent and public and others 11.3 per cent.