Hexaware Tech lists at 5% above IPO price

Mumbai: Hexaware Technologies made a quiet return to the Indian stock market listing at about 5% above its initial public offering (IPO) price of ₹708 on Wednesday. The stock, which opened at ₹745.5, closed at ₹755.75, about 7% above its issue price.

After delisting from the Indian bourses in November 2020, the software services company returned to the capital market by selling shares worth ₹8,750 crore in the IPO last week, making it the largest Indian IT services IPO exceeding Tata Consultancy Services' ₹4,713 crore public issue in 2004.

Analysts are bullish about the stock's prospects as its valuations are below that of its peers like Coforge and Persistent Systems.

"Hexaware's PE (Price to Earnings) ratio is attractive within this group and appears undervalued compared to Persistent Systems and Coforge," said Abhishek Pandya, research analyst, StoxBox. "Considering the company's business profile & strong fundamentals, we remain bullish on Hexaware Tech from a medium to long-term perspective."