Reuters Market Eye - Morgan Stanley resumes coverage of Tech Mahindra Ltd (NSI:TECHM.NS - News) at "overweight" and a target price of 1,650 rupees, saying shares remain undervalued and a re-rating can continue.
The bank says it believes the company's revenue growth over the next 2-3 years could surpass its and consensus expectations.
It highlights margin surprise, acquisition of treasury shares, acquiring other Mahindra group IT companies and higher dividend payout as key to further re-rating.
Tech Mahindra shares up 4.2 percent at 0437 GMT.
- Investment & Company Information
- Morgan Stanley