MphasiS lost 2.88% to Rs 483 at 13:20 IST on BSE on reports that a foreign brokerage has downgraded the stock to sell.
Meanwhile, the S&P BSE Sensex was down 159.98 points or 0.62% at 25,726.64.
On BSE, so far 40,000 shares were traded in the counter as against average daily volume of 56,198 shares in the past one quarter.
The stock hit a high of Rs 490.05 and a low of Rs 475.55 so far during the day. The stock had hit a 52-week low of Rs 331 on 4 February 2015. The stock had hit a 52-week high of Rs 534 on 29 October 2015.
The stock had outperformed the market over the past one month till 3 December 2015, advancing 0.91% compared with Sensex's 2.65% fall. The scrip had also outperformed the market in past one quarter, jumping 17.14% as against Sensex's 0.47% rise.
The large-cap company has equity capital of Rs 210.15 crore. Face value per share is Rs 10.
The foreign brokerage reportedly feels that the recent price rally in MphasiS has more to do with market's appetite for mid-cap IT firms and not much about any turnaround in the company's fundamentals. After Q2 September 2015 results, MphasiS share price has witnessed a jump despite no material improvement in growth or margin profile but it continues to face declining revenues from its largest client HP, the brokerage reportedly said. Shares of MphasiS had rallied 18.94% to settle at Rs 497.30 yesterday, 3 December 2015, from Rs 418.10 on 20 October 2015, after the company announced its Q2 September 2015 results before market hours on 21 October 2015.
On consolidated basis, MphasiS' net profit rose 18.21% to Rs 184.72 crore on 4.07% growth in net sales to Rs 1557.46 crore in Q2 September 2015 over Q1 June 2015.
MphasiS is a IT solutions provider, offering applications, business process outsourcing (BPO) and infrastructure services globally through a combination of technology knowhow, domain and process expertise.
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