Hexaware Technologies shares fall 4.5% after CEO transition announcement

JM Financial said that the appointment of Vivek Jetley as CEO-designate of Hexaware Technologies could remain a near-term overhang until there is greater clarity on the company's strategy and outlook.

Hexaware Technologies share price today:Hexaware Technologies shares dropped as much as 4.5 per cent in trade on Thursday after the company announced a change in management.

 

Notably, the IT services firm has announced the appointment of Vivek Jetley as its Chief Executive Officer (CEO)-designate, succeeding Srikrishna Ramakarthikeyan who is stepping down after a 12-year tenure.

 

Post this announcement, Hexaware Technologies shares opened 3.4 per cent lower at ₹538 and touched a low of ₹519.20 on the National Stock Exchange (NSE).

 

At 10:45 AM, the stock was down 3.7 per cent at ₹523.25, with over two million shares changing hands. 

 Srikrishna to step down on Oct 28 

 

According to press note, Srikrishna has resigned, effective October 28, 2026, to pursue personal interests after leading the company for 12 years. He will, however, remain with the company as a senior advisor to ensure a smooth leadership transition.

 

Jetley will officially assume the role on October 28, 2026. He will focus on accelerating growth and scaling the company's AI-led services model globally. He will be joining Hexaware from EXL, where he serves as President, leading the company's insurance, healthcare, and life sciences businesses.  

 Hexaware Technologies: JM Financial retains ‘Add’ 

Meanwhile, JM Financial has retained its ‘Add’ rating on Hexaware Technologies with a target price of ₹605. The target implies an upside of around 11 per cent from the previous close of ₹543.60.

 

The brokerage said the appointment of Vivek Jetley as CEO-designate could remain a near-term overhang until there is greater clarity on the company’s strategy and outlook.

 

It said that key things that investors should focus include the change in strategy and churn in leadership team after the new CEO joins; risks to CY26 growth guidance; a greater focus on healthcare and insurance and analytics; and approach towards partnerships, investments and acquisitions.

 

The brokerage noted that Hexaware’s revenue growth has remained subdued compared with peers relative to peers primarily due to client-specific challenges and delays in deal closures and ramp-ups. 

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"With the appointment of a new CEO, investor focus is likely to shift towards the company’s strategic direction and the extent to which the new CEO can address these challenges and help narrow the revenue growth gap versus peers. The CEO transition could likely be a near-term overhang till the clarity emerges on the newer strategy and outlook," the brokerage said.

 

Hexaware Technologies shares have underperformed the markets significantly on  2026 so far. As per exchange data, the stock has corrected 31 per cent Y-T-D, compared with a 8.4 per cent decline in the benchmark Nifty 50 index.   

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