L&T Technology Services dips after muted Q2 earnings - brokerages cut price target

L&T Technology Services share price fell 3 percent in early trade on Wednesday, October 19. The downside in the stock was seen a day after the company reported tepid earnings in the September quarter.

In Q2FY23, L&T Technology Services posted a 3 per cent jump in its net profit at Rs 282.4 crore against Rs 274.2 crore in the previous quarter. Sequentially, Vadodara headquartered engineering services company's rupee revenue was up 6.5 per cent at Rs 1,995.1 crore as against Rs 1,873.7 crore.

Brokerages have maintained a Sell rating on the counter and have cut the price target.

CLSA on L&T Technology Services: Maintain Sell

Price Target: Rs 3200 

The firm said that L&T Technology Services' margin is holding but deal momentum weakens. 

Citi on L&T Technology Services: Maintain Sell

Price Target cut to Rs 2790 from Rs 2880 

It said that the company's revenue was in-line, while the margin was ahead due to higher-than-expected rupee benefits. 

JP Morgan on L&T Technology Services: Maintain Underweight

Price Target: Rs 3000 

At 10 AM, L&T Technology Services was quoting a price of Rs 3,580 apiece, down Rs 73 or 2.67 percent, on the NSE. In 2022 so far, the stock yielded a negative return of around 15 per cent to its investors.