02 September, 2014 00:02 IST
News
Wipro, Infosys valuations leave room for positive surprise: PL
Source: IRIS (10-MAY-13)
Comments  |  Post Comment

The performance of Q4FY13 was softer-than-expected, with weaker-than-expected performance from Infosys and Wipro but in-line performance from TCS and HCL Tech. The steady growth from Europe indicates increased acceptance of outsourcing model and stability with the existing clients.

''We continue to expect the demand environment to show steady rather than sharp recovery. We retain our preference for Wipro and Infosys as low running expectation and valuations leave room for a positive surprise,'' Prabhudas Lilladher said.

TCS continues to lead the growth, indicating confidence of beating NASSCOM guidance with 14%+ YoY growth. Infosys guided for 6-10% YoY growth and sees no material change in the environment. However, Infosys' management was very assertive for the guidance. It sees a change in confidence level in the management's commentary for the guidance.

The pricing for the quarter was softer compared to the previous quarter. However, its channel check indicates most of the pricing pressure is behind. "We may see movement in realization due to change in the business mix as the discretionary spend continues to remain weak."

According to the management of Cognizant, the clients may lobby against some of the provisions in the bill at the appropriate time (introduced in the Congress for the discussion). Moreover, the company is neither seeing any push-back from its clients nor delay in decision-making due to the bill, it added.

Disclaimer: IRIS has taken due care and caution in compilation of data for its web site. Information has been obtained by IRIS from sources which it considers reliable. However, IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website.


News
Hero MotoCorp sales climb 21% in August'14 - 01-Sep-2014 18:06
Escorts Agri Machinery sales fall 7.3% in August'14 - 01-Sep-2014 17:00
Aditya Forge standalone quarterly net plummets 80.33% - 01-Sep-2014 16:54
Atul Auto sales rise 6.2% in August '14 - 01-Sep-2014 16:03
SBI signs export credit line pact with JBIC - 01-Sep-2014 15:59
TVS Motor August sales grows by 46% - 01-Sep-2014 15:58
Mahindra reports 6% growth in August tractor sales - 01-Sep-2014 15:54
Indusind Bank allots shares under ESOS - 01-Sep-2014 15:52
M&M auto sales down 7.2% in August - 01-Sep-2014 15:48
Ruchi Infra to acquire oil refining buzz for Rs 440 mn - 01-Sep-2014 15:42
Om Metals Infraprojects bags order worth Rs 2.3 bn - 01-Sep-2014 15:36
more...
* Q - Quote , N - News , C - Chart , F - Financials
Comments Post comment 
 Post Comment
Name Email
Comment
Security Code type   36fy2f into this box
Home  |   Shares  |   F&O  |   Mutual Funds  |   Loans  |   Insurance  |   News Centre
Wealth Tracker  |   Newsletters  |   Tax Corner  |   NRI Centre  |   Forums  |   E-mail  |   Advertise
© All rights reserved. IRIS Business Services Limited
A Disclaimer