HCL Technologies shares fall marginally after new CFO appointment; Macquarie maintains 'outperform' call
JP Morgan sees the CFO listing at the company to be smooth though it has come as a surprise.
HCL Technologies shares in Tuesday's session (August 20) traded with a marginal cut as the company announced change in management in the tech major after market hours on Wednesday. The shares of the IT services company at the last count traded down by a marginal 0.1 per cent at Rs 1,676.55 per share.
The company has announced the appointment of Shiv Walia as the CFO who will take over his responsibility with effect from the close of business on September 6.
"This is to inform you that the Board of Directors of the Company in its meeting held on August 18, 2024, after considering the recommendations of the Nomination & Remuneration Committee and the Audit Committee, has appointed Shiv Walia as the Chief Financial Officer (“CFO”) with effect from the close of business on September 6, 2024. Consequently, Shiv Walia would also be the Key Managerial Personnel of the Company," added the company's filing.
Prateek Aggarwal- the current CFO resigns to pursue opportunity outside the company
The current CFO Prateek Aggarwal resigns to pursue opportunities outside HCLTech. The Board accepted his resignation in its aforesaid meeting, and he would be holding the CFO position till the close of business on September 6, 2024, added the filing.
Macquarie maintains 'outperform'
Macquarie maintains outperform call on the stock with a target of Rs 1,800, implying potential gains of over 7 per cent.
JP Morgan 'neutral' on HCL Tech
The brokerage maintains neutral call with a target of Rs 1,510, a potential downside of 10 per cent. JP Morgan stated CFO succession surprising, but should be smooth. Prateek had spent 13.5 years at HCL over two stints and was succeeded to the CFO role six years ago, it added. As Shiv Walia takes over, the brokerage expects
the transition to be smooth with improved transparency and focus on shareholder returns to continue.
Morgan Stanley maintains overweight call
Morgan Stanley on HCL Tech has maintained its 'overweight' call with the target pegged at Rs 1,705, an upside of nearly 2 per cent.