Infosys, Tech Mahindra, Wipro: What should investors do with IT stocks?
Global brokerage JPMorgan has revised its stance on a few information technology (IT) stocks. The list includes names such as Wipro, Infosys, HCLTech, and others. Here is a revised list of IT stocks by JPMorgan.
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JPMorgan's commentary on IT
JPMorgan's commentary on IT:
As per the brokerage, the IT sector is vulnerable to sharp moves on earnings beats or misses.
Wipro
Wipro:
JPMorgan iterated 'neutral' on Wipro and raised the target to Rs 490 from Rs 480.
Infosys
Infosys:
The brokerage maintained ' overweight' on Infosys and raised the target to Rs 1,750 from Rs 1,700.
HCLTech
HCLTech:
JPMorgan iterated a 'neutral' rating on HCL Technologies and raised the target to Rs 1,510 from Rs 1,470.
Tech Mahindra
Tech Mahindra:
By maintaining an 'underweight' rating on Tech Mahindra, JPMorgan raised the target to Rs 1,200 from Rs 1,100.
Coforge
Coforge:
JPMorgan maintained an 'overweight' on Coforge and cut the target to Rs 6,500 from Rs 7,000.
Nomura, Goldman Sachs on IT
Nomura, Goldman Sachs on IT:
Earlier this week, Nomura and Goldman Sachs had revised their stance on IT stocks. As per Nomura, the growth in the IT sector is bottoming out in FY25F and will improve in FY26F, thus Q1FY25F to be a mixed bag. The brokerage expects revenue growth for large caps to increase from three per cent in FY25F to 7.7 per cent in FY26F.
Read more: Wipro, TCS, Infosys: Should you buy, sell or hold IT stocks?