HSBC upgrades Persistent Systems stock

HSBC has upgraded Persistent Systems to 8216;overweight8217; from 8216;neutral8217; to factor in improving growth outlook and the recent correction,which has given a good entry point in the stock. The stock has corrected 30 per cent from its 2010 July high,HSBC said in a note. The strong topline growth and range-bound margins of 18-19 per cent PBT in FY12 are likely to drive the stock higher,the brokerage added,revising the price target of the stock to Rs 475 from Rs 500.