Shares of Tech Mahindra Slipped Nearly 4%

The information technology firm, Tech Mahindra has slipped nearly 4% due to the investors selling stocks. The investors are selling all the stocks after the company delivered lower than expected profits. The net profit of the company increased 2.2% to Rs 1,369 crore from October to December, less than the estimated profits of 1,454 crores.

The analysts at UBS investment bank have also said that the revenue is in line with expectations, and the slower hiring process is a concern for the company. The company also maintained a ‘sell’ rating on the stock with a target price of Rs 1,260 per share.

The analysts are also concerned over more employees leaving Tech Mahindra than TCS and Wipro. It is not a good sign for the company as the IT industry is already struggling with a high attrition rate.  Tech Mahindra is not the only firm suffering from this, almost all the IT firms are getting more resignations than ever. Infosys is the company with the highest attrition rate in the industry.