Research notes

The note upgrades Cyient to BUY with target price raised from INR 1,350 to INR 1,450, expecting DET growth of +5.5% QoQ CC including one month of Tao Digital consolidation.

The report estimates +1.7% QoQ CC growth for Tata Elxsi and cuts its target price from INR 4,100 to INR 3,900 on a lower 25x multiple.

The note expects LTTS to grow +2.1% QoQ CC and aim for mid-single-digit FY27E growth, with target price raised to INR 3,570.

The report expects Mphasis to grow +3.5% QoQ CC on continued BFSI ramp-up and names it a mid-tier preference, raising the target price to INR 2,840.

The note says Persistent will lead mid-tier growth at +6.3% QoQ CC including the Concise Systems acquisition, and is a stated mid-tier preference, with target price raised to INR 6,070.

The report lists LTIMindtree as a mid-tier preference and expects +5.3% QoQ CC growth aided by about one month of Randstad IT consolidation (organic ~+0.6%), with target price raised from INR 5,000 to INR 5,270.

The note says Tech Mahindra will post one of the best tier-1 prints at +0.9% QoQ CC, tier-1-leading +5.3% YoY CC growth and ~190bps YoY margin expansion, with target price raised to INR 1,660.

The report expects Wipro's revenue to decline -0.4% QoQ CC and guidance of -1% to 0% QoQ CC for Q3FY27E factoring furloughs, with target price cut from INR 195 to INR 185.

The note expects HCL Tech to lead tier-1 at +2.0% QoQ CC with ~50bps margin expansion, while trimming the upper end of its services guidance to 1.5-3%, and raises the target price to INR 1,370.

The report says Infosys is its preferred tier-1 pick but expects +1.3% QoQ CC growth, a 50bps FY27E guidance cut to 2-3% CC, TCV of about USD 2-3bn, and a target price trimmed from INR 1,300 to INR 1,250.

The note says TCS will trail expectations in a seasonally strong quarter at +0.5% QoQ CC, with TCV of USD 8-10bn and a maintained 26-28% margin band, and its target price is cut from INR 2,580 to INR 2,470 on a lower 15x multiple.

The report notes an upbeat current-quarter outlook from US-listed Micron supported the Nifty IT Index and Asian tech shares.

The report notes TD Power Systems won a confirmed Rs 192 crore order for US-based gas turbine generator supplies.

The report states GPT Infraprojects secured a Rs 385 crore order from Transnet Freight Rail, South Africa, for railway concrete sleepers over five years.

The report notes MTNL's board approved sale of its Powai property in Mumbai to the Income Tax Department for Rs 891.53 crore.

The report states CEAT has expanded its Chennai plant capabilities to boost premium tyre production for domestic and global markets.

The report notes Tata Motors' CV September sales rose 42.4% YoY to 43,487 units.

The report states Force Motors September sales rose 62% YoY to 4,027 units.

The report states SML Mahindra September sales were 1,124 units, up 18% YoY.

The report notes M&M PV sales rose 14% YoY to 64,092 units while tractor sales fell 21% YoY to 52,100 units, and the stock also appears among derivative weakness names.

The report states Escorts September sales fell 16.7% YoY to 15,214 units.

The report states VST Tillers September sales were 5,954 units, up 33% YoY.

The report notes Bajaj Auto sales of 5.28 lakh units (up 5% YoY) but lists the stock among those showing weakness in the derivative outlook and among disappointing September sales names dragging the Nifty Auto Index.

The report cites Eicher Motor September sales of 1.34 lakh units, up 8% YoY, while also noting the stock contributed to disappointing September auto sales data that pressured the Nifty Auto Index.

The report states Maruti's September sales were 236,013 units, up 24% YoY, though it is also cited among auto names with disappointing data weighing on the Nifty Auto Index.