Persistent Systems shares tumble nearly 12%; is this a buying opportunity?
"Nagarro is listed in Germany, so the transaction is subject to both German and Indian regulatory requirements. BaFin, Germany's financial regulator, must review and approve the formal offer document before the offer can be opened to shareholders," Persistent stated.
- Jun 29, 2026,
- Updated Jun 29, 2026 3:35 PM IST
Shares of Persistent Systems Ltd plunged 11.64 per cent in Monday's late trade to hit a fresh 52-week low of Rs 4,277.25. The sharp decline came after the company announced the acquisition of Germany-based IT services firm Nagarro SE. The deal aims to diversify Persistent's business across Europe and the Middle East, strengthen its presence in the manufacturing, retail and public services verticals, and add SAP and customer experience (CX) capabilities.
"Nagarro is listed in Germany, so the transaction is subject to both German and Indian regulatory requirements. BaFin, Germany's financial regulator, must review and approve the formal offer document before the offer can be opened to shareholders," Persistent stated.
"For the transaction to move forward, shareholders representing at least 50 per cent plus one share of all outstanding Nagarro shares — including the stake already held by Persistent — must accept the offer. The transaction is expected to close in Q4 CY26/Q1 CY27. Until then, Persistent and Nagarro will continue to operate as fully independent and separately managed companies," it added.
Persistent also noted that the combined entity would become "the world's second-largest digital engineering company by revenue and India's seventh-largest technology services company, with an annualised revenue run-rate of more than $2.9 billion."
Should you buy?
Market expert Neeraj Dewan said, "I believe Persistent remains better placed than many of its peers, given its strong product portfolio. Following the recent pullback, the stock appears well-positioned to outperform the broader software pack. At current levels, I would view Persistent as a buying opportunity."
Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, advised using a 'buy-on-dips' strategy at current levels.
From a technical standpoint, Laxmikant Shukla of YES Securities said, "Our view on Persistent remains negative in the near term. We expect the stock to witness further weakness towards the Rs 4,200 level, which is likely to act as a key support."
Shares of Persistent Systems Ltd plunged 11.64 per cent in Monday's late trade to hit a fresh 52-week low of Rs 4,277.25. The sharp decline came after the company announced the acquisition of Germany-based IT services firm Nagarro SE. The deal aims to diversify Persistent's business across Europe and the Middle East, strengthen its presence in the manufacturing, retail and public services verticals, and add SAP and customer experience (CX) capabilities.
"Nagarro is listed in Germany, so the transaction is subject to both German and Indian regulatory requirements. BaFin, Germany's financial regulator, must review and approve the formal offer document before the offer can be opened to shareholders," Persistent stated.
"For the transaction to move forward, shareholders representing at least 50 per cent plus one share of all outstanding Nagarro shares — including the stake already held by Persistent — must accept the offer. The transaction is expected to close in Q4 CY26/Q1 CY27. Until then, Persistent and Nagarro will continue to operate as fully independent and separately managed companies," it added.
Persistent also noted that the combined entity would become "the world's second-largest digital engineering company by revenue and India's seventh-largest technology services company, with an annualised revenue run-rate of more than $2.9 billion."
Should you buy?
Market expert Neeraj Dewan said, "I believe Persistent remains better placed than many of its peers, given its strong product portfolio. Following the recent pullback, the stock appears well-positioned to outperform the broader software pack. At current levels, I would view Persistent as a buying opportunity."
Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, advised using a 'buy-on-dips' strategy at current levels.
From a technical standpoint, Laxmikant Shukla of YES Securities said, "Our view on Persistent remains negative in the near term. We expect the stock to witness further weakness towards the Rs 4,200 level, which is likely to act as a key support."