India's Tech Mahindra gains as strong deal wins lift growth outlook

July 17 (Reuters) - Shares ‌of India's ​Tech ​Mahindra rose as much as 3.5% on Friday after the IT ‌services firm posted better-than-expected quarterly revenue, with ⁠analysts saying strong deal wins and margin improvement ‌could make it one ‌of the fastest growing companies among its peers.

The stock was last up 1.8% at ​1,537.5 rupees and was among the top gainers on the Nifty IT index, ⁠which was trading 1% higher. It was also one of ​the top gainers on the benchmark Nifty 50 index.

The firm's net new order ​bookings rose to $1.08 billion ‌from $809 million a year earlier, marking three straight quarters of deal ⁠bookings above the $1 billion mark.

Nomura raised its fiscal 2027 revenue growth expectations to 5.9% from 5.1%, ⁠citing strong growth momentum and the management's expectation ​that revenue growth would outpace the industry average this year.

Tech Mahindra is also on track to achieve ‌its 3-year plan of improving its operating margin to 15% by fiscal ‌2027, analysts at BOB Capital Markets said.

Jefferies ⁠raised its earnings ‌per share estimates ​by 6-8% for FY2027-2029.

(Reporting by Abhirami G in Bengaluru; Editing by Sonia ‌Cheema)

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