While Intellect Design's Q1 margins were impacted by planned investments, strong initial traction for Purple Fabric provides significant long-term growth visibility. Thereby, the brokerage lowers FY26E/FY27E operating profit margin estimate, leading to a marginal cut in our EPS estimate.NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.Dolat Capital ReportWhile Intellect Design Arena Ltd.'s Q1 profitability was impacted by planned, front-loaded investments in the new Purple Fabric AI initiative, the underlying biz fundamentals remain robust. This is evidenced by the exceptional 59.5% QoQ growth in high-margin Cloud/SaaS rev and landmark eMACH.ai-powered deal wins in the competitive US market. Although we have trimmed our EPS estimates to factor in these investments, we believe in the immense long-term monetization potential of the AI platform. We revise our rating to 'Accumulate' from ‘Buy’ with a DCF-based target price of Rs. 1,180 (~30x on FY27E EPS).Click on the attachment to read the full report:'Buy' Eclerx Services Shares Maintains Dolat Capital Post Solid Q1; Positive On Favorable Outlook DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.Users have no license to copy, modify, or distribute the content without permission of the Original Owner.. Read more on Research Reports by NDTV Profit.