HCL Technologies share rose 1.68% in early trade on Monday, July 13, 2026, ahead of its Q1 FY27 results. The stock opened at Rs. 1,162 compared to the previous day's close of Rs. 1,164.10, and hit an intraday high of Rs. 1,183.70, NSE data shows.
The focus of investors is on the June quarter numbers, management commentary, FY27 guidance, deal pipeline, AI-driven business opportunities and margin performance. The board is also likely to take up the second interim dividend for FY27 along with the Q1 results.
While client-specific headwinds and seasonality in the software business could result in a drag, rupee depreciation is expected to play a positive role in driving revenue growth as the company could report a 3.5% quarter-on-quarter revenue growth, says Axis Securities.
“EBIT margins are expected to decline by 40 bps QoQ amid restructuring costs and higher investments. Key monitorables include a) management outlook on the Services and ERD businesses, b) software business performance, c) deal pipeline, and d) FY27 revenue guidance,” the brokerage said in a note.
Seema Srivastava, SMC Global Securities' Senior Research Analyst, believes the quarter will be softer amid a lack of discretionary technology spending, slower client decisions and macro uncertainty across major global markets.
“Services revenue is expected to remain under pressure, although steady execution of long-term digital transformation programmes should provide some support. Margins, however, are likely to improve sequentially, aided by favorable currency movements, higher utilization, productivity initiatives and tighter cost controls, partially offset by annual wage revisions and continued investments in AI capabilities,” Srivastava said.
Investors will track whether HCL Tech can maintain the revenue growth of 1%-4% in constant currency for FY27. In Q4 FY26, the company reported a consolidated net profit of Rs. 4,488 crore, an increase of 4.2% compared with the same period last year, and revenue from operations stood at Rs. 33,981 crore, up 12%.
“Our #1 priority in FY27 is to ensure the company is positioned right to take advantage of AI opportunities for multi-decade value creation,” said C. Vijayakumar, the CEO and MD of HCL Tech, after the financial results.
HCL Tech shares have delivered more than 21% returns in the last five years and 6% returns in the last three years, according to NSE data.
However, in the last year, the IT stock has lost 28.2% and is down 28% on a year-to-date (YTD) basis. HCL Tech is up 6% in the last one-month period and was trading 3.7% higher over the last five market sessions on the NSE.
HCL Tech rose to its 52-week high of Rs. 1,780.10 on February 3, 2026, while the 52-week low was at Rs. 1,030 on July 1, 2026, according to NSE data.
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Market experts remain skeptical ahead of the results. The risk-reward equation is not in favour of chasing HCL Tech before the results, said Business Head, INVasset PMS, Harshal Dasani.
“If management delivers stable guidance with confidence around execution and improving client spending, the long-term investment case remains constructive. Until then, a staggered approach after the results offers a more favorable risk-reward than taking an aggressive pre-result position,” Dasani said.
Kantilal Chhaganlal Securities' Mahesh M Ojha recommended that investors refrain from taking new positions before earnings, as volatile swings are common in IT stocks.