INFOSYS
Reco price: Rs 2,533
Target price: Rs 2,705
Infosys has bagged a Rs 700-750 crore financial services systems integrator contract from the Department of Posts. This is the second contract from the department for which Infosys emerged as the lowest bidder. Other vendors in the fray included TCS and HP. The contract is part of the government's postal department's modernisation project. It is among the eight contracts the department is outsourcing. As part of this project, Infosys would help with postal banking and insurance solutions, enabling the department to perform 'anytime, anywhere' banking. Maintain accumulate.
—Angel Broking
MAHINDRA & MAHINDRA
Reco price: Rs 805
Target price: Rs 817
Mahindra & Mahindra (M&M) has launched XUV500, a new SUV, at an aggressive introductory price of Rs 1.08 million. The SUV eyes sedan users looking for an upgrade and competes with vehicles in the Rs 0.9-1.5 million range. Analysts estimate this segment size to be 425,000 units and believe XUV500 is likely to corner six per cent market share by FY15. The company has spent Rs 850 crore on developing the platform, engine and transmission. The SUV meets safety and standard requirements of the developed world. M&M is looking to export it, utilising the Ssangyong network. Maintain buy.
—Edelweiss Securities
PIRAMAL HEALTHCARE
Reco price: Rs 354
Target price: Rs 400
Piramal Healthcare's (PIRA) outsourcing business has shown some signs of recovery and analysts are looking to get clarity on how the management will use the significant cash at its disposal. Near-term earnings (exclusive of other income) will likely remain under pressure, following the merger with Piramal Lifesciences. Analysts, hence, choose to stay on the sidelines for the time being.
—Citigroup
