HCLTech Q4 deal wins boost outlook, analysts see limited stock upside

HCLTech (HCLT) reported a strong performance across its services and software businesses for the January-March quarter of the financial year 2024-25 (Q4FY25) despite global uncertainty and reduced discretionary spending. In constant currency, services grew by 0.7 per cent quarter-on-quarter (Q-o-Q), while the software business grew by 4.9 per cent year-on-year (Y-o-Y) in Q4.

 

HCLT is guiding for revenue growth in the range of 2-5 per cent for FY26, on consolidated basis and also its services. The management expects 1 per cent contribution to revenue from the Hewlett Packard Enterprise (HPE) acquisition, implying organic revenue growth of 1-4 per cent. For