Q2 FY09 is unlikely to spring up any major surprises either positive or negative. Therefore, the upcoming IT result season would likely be a non-event with respect to stock performance. This time, street expectations are extremely low and should be met comfortably. A likely dollar revenue guidance miss in the quarter and a 2-3% downgrade in FY09 dollar revenue growth guidance seems to be already factored in. Further, we have entered into the result season post a sharp round of cut in FY10 earnings estimate and steep stock price correction (>25% since the start of September 2008) across the sector. On the other hand, the fast deteriorating macro environment would limit any positive surprises in the...
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