Here is a summary of Information Technology stocks performance in the June 2019 quarter. Most of the large and midcap companies fail to meet street expectations in both sales and pat growth even though some smallcap companies performed well compared to their large and mid peers.
Stocks liek Terasoft, Zentec, Adsl, Majesco and Rsystems reported more than 200% profit after tax gain on standalone basis (year on year). But except Majesco all other are low volume stocks. 100%+ category stocks are Saksoft, Megasoft, Onwardtec, ISFT and Xchanging. Again all these are low volume stocks and many of them gets only 5-10 lakh value per day. So all these stocks are extremely risky ones but if market recovers from its current position, especially smallcap index then good gains expected in these stocks because of good results.
Quickheal, Genesys, Axiscades, Smartlink, DSSL, Trigyn and Adroitinfo are reported more than 50% PAT gains and in this list too only Quickheal and Axiscades get more than 1 crore value per day.
Subex, Accelya, Redington and Intentech are in the 30%+ category and only Redington in the 1crore+ value category. Cignititech, Zeelearn, Datamatics, TCS and Mphasis reported more than 15% PAT but TCS consolidated PAT y-o-y gain was only 10%.
LTI, Ramcosys, Wipro, FSL, Hovs, HCL-Insys, Hexaware, Infy and Trejhara are managed to keep above 0% level. But on consolidated basis HCL-Insys loss widened to 40Cr or -39% and Wipro reported better than expected consolidated numbers with a yoy gain of 14%.
Overall only small companies performed well in the last quarter and mid/large companies reported an average growth in both sales and profit. But the current spike in Rupee-Dollar rates will boost the margins in the coming quarter.