Mindtree Under Pressure, Hits New 52 Week Low

Shares of Mindtree were under stress on

20th Sept post the news report which

said that the two top-level executives

have resigned the mid-tier IT Company.

Mindtree shares price slipped as much

as 1 per cent to a new 52-week low of Rs

500 today. It is reported that two of its

executive Vice Presidents of the

company namely Radha R and

Veeraraghavan RK have quit the Bengaluru-based IT company.

Radha R was the head of the digital business group at Mindtree,

including Mobility, Digital, DAS and SaaS packages. She had the

responsibility to design and deliver broader digital solutions for

Mindtree's clients worldwide. Veeraraghavan RK was heading the

technology and media at Mindtree. For the past 13 years, he was

fervently involved in building the delivery organization at Mindtree.

Mindtree share price is down 0.42 per cent against 0.30 per cent

decline in Nifty. The stock is quoting at Rs. 503.80, opened at Rs.

502.00 against its previous closing at Rs. 505.25. Till now, the day’s

high and low can be seen at Rs. 507.65 and Rs. 500.00 respectively.

Around 10,57,335 shares exchanged hands with a traded value of

Rs. 5,304.97 lacs.

Mindtree shares have also been under pressure this month after the

company advised that that its revenue and margins in the

September quarter will decline steadily. According to the state made

by the company, Mindtree's dollar revenue had risen 1.8 per cent

sequentially in the June quarter, whereas its margins are observed

at 11.3 per cent. The company anticipates Q2 FY17 revenue to be

lower than the last quarter. The decline is expected because of

cross-currency movements, project cancellations and slower ramp-

ups in certain large clients across various verticals and continued

weakness in its UK-based subsidiary Bluefin,

Business at Bluefin Solutions, the UK-based firm acquired by

Mindtree for over Rs 400 crore in July 2015, will persist to be

uncertain for a few more months, the company reported. The

Bluefin business is hoped to report an EBITDA (operating) loss for

the quarter, it further added.

Mindtree is analyzed by Dynamic Levels as the top 500 performing

stocks for the June quarter among the 1700 stocks which are listed

on the NSE. India Glycols is fundamentally strong and is safe for

investment, as per Dynamic analysts. The 52 week high value of

Mindtree share price is seen at 804.50 on 4th March ‘16. The market

cap of the company amounts to Rs. 8485.02 (Cr) and has a book

value of Rs. 142.66. The stock volume spurted by more than 2.19

times, in the same manner on 19th the volume rose by more than

6.34 times.

For further details refer to Mindtree share price forecast.

Disclaimer

The investment advice or guidance provided by way of recommendations, reports or other ways are solely the personal views of the research team. Users are advised to use the data for the purpose of information and rely on their own judgment while making investment decision. Dynamic Equities Pvt. Ltd - SEBI Investment Advisory Reg. No.: INA300002022

Disclosure

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Do not have any financial interest / any actual/beneficial ownership in the subject company. Do not have any other material conflict of interest at the time of publication of the research report Have not received any compensation from the subject company in the past twelve months Have not managed or co-managed public offering of securities for the subject company. Have not received any compensation for brokerage services or any products / services or any compensation or

other benefits from the subject company, nor engaged in market making activity for the subject company Have not served as an officer, director or employee of the subject company

Article Written by Madhurima Chowdhury