Tata Elxsi Q2 Results Review - Mixed Vertical Trends: HDFC Securities

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..HDFC Securities Institutional Equities.Tata Elxsi Ltd.’s performance continued to exhibit a similar trend of strength in the transportation vertical (56% of revenue), offset by weakness in the media and communications vertical and the healthcare vertical. Growth in T5 declined sequentially, a first in three years. Deal momentum in Transportation (including $50 million total contract value deal) and an increased mix of original equipment manufacturers can maintain the growth outperformance. While the healthcare vertical can recover by FY25Eend, media and communications could take longer. We continue to believe that T1 client growth momentum and OEM sub-segment within the transportation segment will drive the bulk of the growth over FY24-26E. While the growth trajectory is expected to improve ahead, valuations are still a stretch; maintain Reduce with a target price of Rs 6,925, based on 38 times Dec-26E earnings per share..Click on the attachment to read the full report:.TCS Q2 Results Review - Weak Discretionary Dented The Spirit But FY26 Growth Intact: IDBI Capital.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Tata Elxsi Q2 Results Review - Mixed Vertical Trends: HDFC Securities

While the growth trajectory is expected to improve ahead, valuations are still a stretch, says the brokerage, hence maintains Reduce rating on the stock.

NDTV Profit

NDTV Profit

Follow Us

DOWNLOAD THE APP

Tata Elxsi Q2 Results Review - Mixed Vertical Trends: HDFC Securities

While the growth trajectory is expected to improve ahead, valuations are still a stretch, says the brokerage, hence maintains Reduce rating on the stock.

Choose a plan

Follow Us

DOWNLOAD THE APP