India's Mphasis gains on disclosing low exposure to US regional banks

Mphasis

29/03/2023 07:11

** Mphasis Ltd  MBFL.NS  rises ~2%, set for their biggest
one-day jump since March 6, before collapse of SVB
    ** IT service provider says has no exposure to SVB  SIVB.O ,
Signature Bank  SBNY.O  or Silvergate Capital  SI.N 
    ** Business from US regional banks has low single digit pct
contribution to revenue, says CEO and MD Nitin Rakesh
    ** Stock has ended higher in only 3 of the past 12 sessions
since SVB's collapse on March 10
    ** Since then, MBFL has lost ~16.5% (incl current session),
while the Nifty IT index  .NIFTYIT  has fallen 6.3% on fears of
IT firms' exposure to BFSI sector and US banks
    ** MBFL trading below its 50-, 100-, and 200- DMA since
March 13
    ** Trading volume at ~1 mln shares as of 11:15 a.m. IST,
nearly 2x the 30-day avg  
    ** Average rating of 29 analysts covering MBFL is the
equivalent to "buy"; median PT is 2,210 rupees - Refinitiv data

 (Reporting by Biplob Kumar Das in Bengaluru)
 ((Biplobkumar.das@thomsonreuters.com))