I.T Stocks Outlook for the week – 17 to 21.07.2017
I.T Stocks Outlook for the week – 17 to 21.07.2017
( www.rupeedesk.in )
Stocks of information technology companies are seen trading in a range next week as market enters
a phase of consolidation with the Apr-Jun corporate earnings of Tata Consultancy Services Ltd and
Infosys Ltd were announced this week.
TCS reported a 10% decline in Apr-Jun consolidated net profit as against market expectations of a
7% decline. The company's topline, though in line with expectations, saw a soft growth of 2% in
constant-currency terms. Hit by hike in wages and appreciation of rupee against the US dollar, the
company's operating margin also took a hit of 150 basis points as it ended at 23.4% against the
company's guidance of 26-28%.
Earnings of Infosys Ltd, on other hand, were better in comparison with TCS despite operating in a
complex environment. With its net profit down 3.3% on quarter as against analyst expectations of a
5% decline, the company raised its rupee and dollar sales growth guidance by 50-100 basis points
for the current financial year. Reacting to the news of guidance revision, stock of Infosys rose as
much as 3% before closing down 0.5% on the National Stock Exchange yesterday.
Next week, Nifty IT index is seen finding support at 10,200 points and is expected to face resistance
at 10,495 points.
Source : Cogencis Information Services Ltd.
Free Intraday Tips : Join Our Whatsapp No : 9841986753
Free Commodity Tips : Join our Whatsapp No : 9094047040
I.T Stocks Outlook for the week – 17 to 21.07.2017
( www.rupeedesk.in )
Source : Cogencis Information Services Ltd.
