Stock Pick: HCL Technologies CMP 1625

HCL Technologies has reported steady figures for last quarter fiscal 2014, with the revenues and EBIT margin broadly in line with expectations where revenues were up by 3.4 percent QoQ to USD 1406.9 million. The IT service business' revenues rose by 2.2 percent QoQ and the BPO business reported a strong 17.o percent QoQ growth in revenues. HCL Tech continues to show consistency in its earnings performance. In the June 2014 quarter the revenue growth was reported at the top of the quadrant among the top-tier IT companies and the company also delivered a steady margin performance.

Buy HCL Technologies at CMP Rs.1625 for a target of Rs.1775 in 10-12 weeks.