HCL Tech share price crashes 8% after Q4 results. Should you buy, sell or hold?(HCL Technologies)AI Quick ReadHCL Technologies share price crashed over 9% to ₹1,301 apiece on NSE on Wednesday, 22 April, after the company reported its Q4 results 2026. The IT stock opened at ₹1,345 today, as compared to previous close of ₹1,441 per share on Tuesday.
India's third-largest IT firm reported a 4.20% year-on-year (YoY) increase in consolidated profit for the March quarter (Q4FY26), reaching ₹4,488 crore compared to ₹4,307 crore in the same period last year. On a sequential basis, profit rose 10.11% from ₹4,076 crore in Q3FY26.
The company’s consolidated revenue from operations for the quarter grew 12.35% YoY to ₹33,981 crore, up from ₹30,246 crore in Q4FY25. However, on a quarter-on-quarter basis, revenue remained largely unchanged compared to ₹33,872 crore reported in Q3FY26.
In constant currency terms, the company’s revenue grew 2.4% year-on-year but fell 3.3% quarter-on-quarter. In dollar terms, revenue increased 5.3% YoY but declined 2.9% QoQ to $3,682 million in Q4FY26.
HCL Technologies reported EBIT of ₹5,620 crore for the quarter, up from ₹5,442 crore in Q4FY25 but lower than ₹6,285 crore in Q3FY26. This translates to a 3.3% YoY increase and a 10.6% QoQ decline. The EBIT margin, excluding restructuring costs, came in at 17.7%, compared to 18% a year ago and 19.4% in the previous quarter.
During the January–March period, the company secured multiple deal wins, including several advanced AI contracts. The total contract value of new deals stood at $1,936 million in Q4FY26, while the full-year FY26 figure reached $9,323 million.
The company also declared a dividend of ₹24 per share for the quarter, taking the total dividend for FY26 to ₹60 per share. It has fixed Saturday, April 25, as the record date to identify eligible shareholders, and the dividend will be paid on Tuesday, May 5, according to its exchange filing.
Brokerage firm JM Financial has downgraded the HCL Tech stock from ‘downgrade’ to ‘reduce’ with revised target price of ₹1350, saying lowe visibility.
“We lower our target multiple to 18x (vs 19x earlier) and cut our FY27-28E estimates by 1-2% given lower growth visibility. Downgrade to REDUCE with revised TP of INR 1350 (vs INR 1440 earlier). Valuations are at 19.5x FY27 consensus EPS – 14% premium to Infosys,” the firm said in a note.
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Vaamanaa covers business and stock market news. Started in 2020, she has been producing news on digital platforms for over 4.5 years now. She writes on markets, commodities, IPOs, and industry. She has worked for news channels like Jagran New Media and Business Insider India. You can reach out to her at vaamanaa.sethi@htdigital.in.