LIC ups stake in LTIMindtree to 7.03%; shares in focus

Shares of LTIMindtree (LTIM) are likely to be in the spotlight on Friday after Life Insurance Corporation of India (LIC) announced an increase in its shareholding in the IT services company.

In an exchange filing, LIC disclosed its holding in LTIMindtree has risen from 5.03 per cent to 7.03 per cent of the company’s paid-up capital. The state-owned insurer acquired an additional 59,27,344 equity shares between March 20, 2024, and November 19, 2024, via open market transactions.

LTIMindtree’s recent performance

The IT major reported robust financial results for the second quarter ended September 2024. Its consolidated net profit grew eight per cent year-on-year to Rs 1,251 crore, while revenue from operations rose six per cent year-on-year to Rs 9,433 crore.

Additionally, the company declared an interim dividend of Rs 20 per share, with October 25 set as the record date. LTIMindtree’s board assured shareholders that the dividend would be disbursed within 30 days of the announcement.

Stock outlook

LTIMindtree shares gained momentum on Thursday, closing 0.9 per cent higher at Rs 5,929.15 on the BSE. The stock, with a beta of 0.57, remains a solid performer in the IT space. LIC’s increased stake and the company’s consistent growth could bolster investor sentiment.

With a diverse portfolio of IT services ranging from digital solutions to infrastructure management, LTIMindtree continues to attract attention in the tech sector.

Key takeaway

LIC’s higher stake underscores confidence in LTIMindtree’s long-term growth prospects, potentially keeping the stock in focus for the near term.