IT - Software · PERSISTENT
IT - ER&D
from 5,499 today
Persistent Systems Ltd (PSYS) delivered an in-line Q1FY27 performance supported by healthy deal wins and strong booking quarters, with management reiterating confidence in sustaining 16-17% operating margins over the medium term.
Persistent Systems Ltd delivered an in-line Q1FY27 performance supported by healthy deal wins and strong bookings, while profitability remained resilient despite ongoing investments.
Persistent Systems reported a decent quarter with strong revenue growth and record TCV, though EBIT margins declined slightly. We maintain our HOLD rating with a revised target price of INR 5,550, rolling forward valuation to 1HFY29E.
Persistent delivered a record TCV of US$1.15 Bn, reinforcing its ability to win large and complex digital transformation mandates. We maintain our BUY rating on the stock with a target price of Rs 6,400.
PSYS reported revenue growth of 4.1% QoQ CC, aided by healthy growth within Hi-Tech vertical and ramp-up of large deals, alongside record quarterly bookings of USD1.15bn. However, valuations have stretched over the past few sessions, prompting a downgrade to ACCUMULATE with a target price of INR 5,860.
Ratings and target prices as published by each firm. Each summary condenses that firm's stated view in its own note and is attributed to it; no report text is reproduced.
