Mahindra group stock with low debt reaches 52-week high after company announces plans for restructuring

  • Trade Brains
  • Stock Market News
Mahindra group stock with low debt reaches 52-week high after company announces plans for restructuring
Credit: © Reuters.

This IT stock under Mahindra Group reached its 52- week high after the company announced its recent restructuring plans to merge with its subsidiary company. The stock witnessed an uptrend growth in its price in the market today.

Share price of Tech Mahindra (NS: TEML ) opened at Rs. 1290.05 per share and gained 2% in Friday market to reach its 52- week high of Rs. 1318.90 levels. The stock returned 17.47% in the last six months and 24.79% in the last one year.

On 21 Sep 2023, the company approved its restructuring plan to merge Tech Mahindra Credit Solution (TMCSI) with its parent company Tech Mahindra Americas Inc. (TMA) which is a wholly owned material subsidiary of Tech Mahindra. The merger had taken place in order to enhance the company’s operational risk and reduce its compliance risk.

As per its financial statements, the company has recorded reduction in both its revenue and net profits. It noted a revenue of Rs. 13,159 crore in Q1FY24, a decline of 4.07% from Rs. 13,718.2 crore in Q3FY24. Its net profit of Rs. 1,117 crore in Q3FY24 decreased 38% to Rs. 692.5 crore in Q1FY24. It has a low debt to equity ratio of 0.06 and maintains a good average ROE for the last three years of 19.71

Tech Mahindra is a leading provider of information technology solutions and consulting services under the Mahindra Group. The company offers its services in multiple companies and is based in India. It started back in 1986. It provides its services for many upcoming technologies such as 5G, Cybersecurity, AI, etc.

Written by Bhumika Khandelwal

The post Mahindra group stock with low debt reaches 52-week high after company announces plans for restructuring appeared first on Trade Brains.

Read More

Add Chart to Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

Error: File type not supported

Drop an image here or

100
Please try another search

Related Articles