Net profit for the corresponding period grew 18.2 per cent annually to Rs 923.30 crore from Rs 659.84 crore in FY14. But it expects L&T Infotech's PE discount to Mindtree should stay nearly 10 per cent even on inferior growth, thanks to its revenue size, high return ratios and parentage. But the recent set of poor earnings and revenue guidance by top IT companies, the recent being Wipro , hurt the sentiment on the IT counter as a whole. Dollar revenue rose at a CAGR of 9 per cent to $887.2 million in FY16 from $746.6 in FY14.Reliance Securities expects Mindtree to continue to command a growth premium over L&T Infotech due to substantial digital exposure and industry-beating revenue growth. We gave a subscribe rating at the time of IPO," said Daljeet Singh Kohli, Head of Research, IndiaNivesh , who was expecting a listing upside of around Rs 100 on the counter.

Source: Economic Times July 21, 2016 04:34 UTC