Persistent Systems shares fell 4.84% Friday, Oct. 16, as investors assessed the company's September quarter results, which showed a decline in net profit despite revenue growth.
The stock opened at Rs 5,600, compared with its previous close of Rs 5,840, and is currently trading at Rs 5,540 apiece on the NSE, down 5.10%.
Persistent Systems September Quarter Results
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Persistent Systems reported a 27.1% sequential decline in consolidated net profit to Rs 352 crore in the September quarter, compared with Rs 483 crore in the previous quarter. Revenue from operations increased 8.4% to Rs 4,664 crore from Rs 4,303 crore.
Ebit declined from Rs 581 crore to Rs 467 crore sequentially, while Ebit margin contracted to 10% from 13.5% in the previous quarter.
Persistent Systems (Q2, Cons QoQ)
- Net profit down 27.1% to Rs 352 crore versus Rs 483 crore.
- Revenue up 8.4% to Rs 4,664 crore versus Rs 4,303 crore.
- EBIT down 19.6% to Rs 467 crore versus Rs 581 crore.
- EBIT margin at 10% versus 13.5%.
Also Read: Persistent Systems Q2: Net Profit Falls 27% Even As Revenue Sees A Rise
Brokerages Remain Divided On Persistent Systems
Kotak Securities maintained its Buy rating and raised its target price to Rs 6,500 from Rs 6,250, citing robust revenue growth and sufficient deal momentum to support near-term growth.
However, Citi retained its Sell rating and cut its target price to Rs 4,570 from Rs 4,650, flagging margin pressure, rising intangibles, and premium valuations. It also lowered its FY27 and FY28 earnings per share estimates by 1% to 2% and identified Nagarro's performance as a key monitorable.
Persistent Systems Share Price Performance
The AI company declined over 11.08% in 2026 so far, and down 3.18% in the past week itself.
Currently trading at a price-to-earnings multiple of 18.38 times, with a market cap of Rs 87,401.4 crore.
Also Read: Persistent Systems Q2 Review: Kotak Securities Maintains Buy, Citi Retains Sell After Q2 Results
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