Birlasoft Ltd. shares on Friday hit their highest level in 52 weeks after financial advisory firm Nomura said it saw significant upside in the stock price going ahead.
Nomura initiated coverage on Birlasoft with a buy rating and a price target of Rs 610. The price target implies a potential upside of nearly 30 percent from Thursday's closing price.
Explaining the rationale behind its bullish stance on Birlasoft, Nomura said that growth turnaround seems to be in the offing. “Significant transformation is underway with the new leadership,” the brokerage firm said in its note.
Nomura expects Birlasoft to head towards industry-leading growth in the medium term. It added that ongoing organisational changes would drive stability and revenue growth for the company.
It also expected clarity to emerge soon on the $1 billion annual revenue target given by the company.
Last month, Birlasoft was in focus after the company posted better-than-expected earnings for the quarter ended June 2023 (Q1 FY24).
Angan Guha, managing director and CEO at Birlasoft, in an interaction with CNBC-TV18 had said that he expected the second quarter of the current financial year to be even better than the first quarter. The company was committed to achieve 16 percent margins by the March quarter of financial year 2024, he had added.
Shares of Birlasoft have gained as much as 2.5 percent to a 52-week high of Rs 487.65. The stock has risen over 60 percent so far in 2023.
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
Punjab Lok Sabha elections: Check full list of AAP candidates and constituencies
May 18, 2024 12:59 PM
PM Modi, Rahul Gandhi election rallies in Delhi today: Here are the routes to avoid
May 18, 2024 11:28 AM