HCL Technologies has received a "BUY" rating from Sharekhan, with a revised price target of Rs 2,180, which reflects a valuation of 28 times the estimated earnings per share for December 2026.
The stock is currently trading at multiples of 29.6, 26.6, and 23.6 times its estimated earnings for FY25, FY26, and FY27, respectively.
The company plans to enhance its engineering services capabilities by acquiring certain assets from the Communications Technology Group (CTG), which will strengthen its partnership with HPE.
Despite facing weak seasonality, HCL Technologies has delivered strong results in the first half of FY25 and is expected to maintain industry-leading growth compared to its larger peers, especially in the upcoming seasonally strong quarters.
Project Ascend is expected to drive margin expansion through AI-driven automation, fresh deployments, and operational efficiencies, positioning HCL Technologies well for future growth.