India's Persistent Systems bucks IT sell-off after CLSA upgrade

Persistent Systems

11/03/2025 05:38

** Persistent Systems PERS.NS rises ~2%; sole gainer on Nifty IT .NIFTYIT index

** CLSA upgrades to "high-conviction outperform", with PT of 9,267 rupees - 79% upside to Monday's close

** Says PERS best-positioned IT co due to its generative AI capabilities and high exposure to fast-growing product engineering segment

** Sees large Salesforce CRM.N implementation, which makes co among key beneficiaries of Salesforce's agentic AI launch, and multiple margin levers among key positives for PERS

** Expects rev, PAT CAGR of 21% and 27% respectively, in FY25-FY27

** NIFTYIT falls 2% on U.S. recession fears; Indian IT cos earn significant portion of revenue from U.S.

** YTD, PERS loses ~19% vs NIFTYIT's 15% drop

 (Reporting by Vivek Kumar M)

 ((VivekKumar.M@thomsonreuters.com;))