HCLTech Q4 Results Review: IDBI Capital Upgrades The Stock To 'Buy', Says AI Infusion Fuels Growth Momentum

HCLTech management guided 2–5% CC revenue growth, including 4.1% organic and 50bps inorganic contribution. Ebit margin guidance remains at 18–19%. An additional 1% impact is expected from acquisitions, with Q1 projected to outperform YoY despite typical seasonality..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. reported a modest 0.8% QoQ decline in constant currency, primarily due to seasonal softness in its software business. Management anticipates the impact of tariffs to extend beyond retail and manufacturing to other verticals, albeit with a quarter’s lag. Nonetheless, the company remains constructively optimistic on demand, led by its AI-led transformation initiatives. Company has delivered by a robust growth of 43% QoQ in net new deal total contract value ($3 billion in Q4), taking FY25's total to $9.4 billion, driven largely by strong renewals. Riding this momentum, management has guided FY26 revenue growth of 3–5%, including a 50bps uplift from the HPE-CPG deal. Given HCL’s superior deal traction and resilient guidance amidst macro uncertainty, we upgrade the stock from Hold to Buy, assigning a target price of Rs1,725 based on 23x FY27E EPS. We view HCL as a relative outperformer among peers..Click on the attachment to read the full report:.HCL Tech Share Price Up More Than 2% After Nvidia AI Integration.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 Q4 Results Review: IDBI Capital Upgrades The Stock To 'Buy', Says AI Infusion Fuels Growth Momentum

IDBI Capital sees HCLTech as a relative outperformer among peers.

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