HCLTech Q2 Review: AI Led Growth Drives Record Win And Margin Momentum; IDBI Capital Upgrades Stock To 'Buy'

HCLTech achieved record net new bookings of $2.6 billion, its highest ever without a mega deal, driven by diversified traction across verticals and geographies..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. .IDBI Capital Report.HCLTech Ltd. delivered a resilient Q2 FY26 performance, registering a 2.4%/4.6% QoQ/YoY revenue expansion in CC term, underpinned by broad-based momentum across IT, Business, and Engineering Services. Operating margin strengthened to 17.5%, reflecting improved utilization, favorable forex movements, and operational discipline despite restructuring costs. The company achieved record net new bookings of $2.6 billion, its highest ever without a mega deal, driven by diversified traction across verticals and geographies. Advanced AI revenue surpassed $100 million (~3% of total), marking a strategic shift from experimentation to scaled monetization. The rollout of AI Force 2.0, along with AI Factory, AI Advisory, and AI Security offerings, reinforced HCL’s positioning as an enterprise AI transformation partner, supported by alliances with NVIDIA, Dell, HPE, and MIT Media Lab. With attrition moderating to 12.6%, management reiterated its FY26 Ebit margin band of 17–18% and raised services revenue growth guidance to 4–5%, signaling confidence in sustained AI-led acceleration and non-linear productivity gains. We upgrade the stock from Hold to Buy following recent price correction, while maintaining the target price of Rs1,725 based on a 23x FY27E EPS multiple..Click on the attachment to read the full report:.HCLTech Q2 Results Review — Motilal Oswal Maintains 'Buy' Post A Standout Quarter, Sees 20% Potential Upside.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.

HCLTech Q2 Review: AI Led Growth Drives Record Win And Margin Momentum; IDBI Capital Upgrades Stock To 'Buy'

IDBI Capital upgrades the stock from Hold to Buy following recent price correction.

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