Stocks

MindTree sees biggest drop in over 7 years as brokerages cut

Reuters | Updated on October 19, 2018 Published on October 19, 2018

The shares of MindTree Ltd plunge as much as 18.1 per cent at Rs 801.1 on a cautious macro outlook particularly in the UK market. The IT firm's stock marks biggest intraday per cent loss since Sept 2011.

The September quarter profit surged about 65 per cent to Rs 206 cr ($13.61 mln), the compay said on Wednesday.

Macquarie Research cuts the stock's price target to Rs 920 from Rs 940 while maintaining the rating as “underperform”. Goldman Sachs cuts the price target to Rs 1,394 from Rs 1,455 and maintained the “buy” rating.

Modestly cut FY2019-FY2021 earnings per share estimates to account for weaker-than-expected topline growth in Q2 and cautious growth outlook shared by management in the near term in the UK market because of Brexit, Goldman Sachs said.

Published on October 19, 2018
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