Infosys Ltd. (NYSE:INFY) Receives Average Rating of “Hold” from Brokerages

Infosys Ltd. (NYSE:INFY) has been assigned a consensus recommendation of “Hold” from the nine research firms that are presently covering the company, MarketBeat.com reports. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating and one has assigned a buy rating to the company. The average 12-month target price among analysts that have issued ratings on the stock in the last year is $12.5013.

Several brokerages have recently commented on INFY. Wells Fargo & Company set a $11.00 price target on shares of Infosys and gave the stock an “equal weight” rating in a research report on Friday, June 26th. Stifel Nicolaus set a $13.00 price objective on Infosys and gave the company a “hold” rating in a research note on Thursday, July 16th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Infosys in a research report on Monday, June 8th. TD Cowen dropped their price target on Infosys from $13.00 to $10.00 and set a “hold” rating on the stock in a research report on Thursday, July 9th. Finally, JPMorgan Chase & Co. reduced their price objective on Infosys from $16.80 to $12.70 and set an “overweight” rating on the stock in a research note on Wednesday, June 24th.

Infosys Trading Down 2.1%

INFY stock opened at $10.71 on Friday. The firm has a 50 day simple moving average of $11.64 and a 200-day simple moving average of $13.73. The company has a market capitalization of $43.32 billion, a P/E ratio of 13.38, a PEG ratio of 1.43 and a beta of 0.90. Infosys has a twelve month low of $10.30 and a twelve month high of $30.00.

Infosys (NYSE:INFY) last posted its quarterly earnings data on Thursday, July 23rd. The technology company reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.21 by ($0.01). The company had revenue of $4.99 billion for the quarter, compared to the consensus estimate of $5.09 billion. Infosys had a net margin of 16.44% and a return on equity of 32.64%. On average, research analysts predict that Infosys will post 0.82 EPS for the current year.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. Lazard Asset Management LLC grew its position in shares of Infosys by 17.0% during the 1st quarter. Lazard Asset Management LLC now owns 26,776,494 shares of the technology company’s stock valued at $361,750,000 after buying an additional 3,893,801 shares during the last quarter. Trinity Street Asset Management LLP raised its stake in Infosys by 45.5% during the first quarter. Trinity Street Asset Management LLP now owns 14,938,546 shares of the technology company’s stock worth $201,820,000 after acquiring an additional 4,674,742 shares during the period. Dimensional Fund Advisors LP lifted its holdings in Infosys by 0.7% in the first quarter. Dimensional Fund Advisors LP now owns 7,789,344 shares of the technology company’s stock worth $105,206,000 after acquiring an additional 52,393 shares during the last quarter. Bank of America Corp DE lifted its holdings in Infosys by 7.4% in the first quarter. Bank of America Corp DE now owns 6,790,666 shares of the technology company’s stock worth $91,742,000 after acquiring an additional 469,843 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership boosted its stake in Infosys by 8.7% in the first quarter. Arrowstreet Capital Limited Partnership now owns 6,490,358 shares of the technology company’s stock valued at $87,685,000 after acquiring an additional 521,169 shares during the period. 16.20% of the stock is currently owned by institutional investors.

Key Infosys News

Here are the key news stories impacting Infosys this week:

• Positive Sentiment: Infosys reported strong large deal wins of $3.6 billion, with 61% net new business, and generated robust free cash flow of $0.96 billion. Infosys PR Newswire release
• Positive Sentiment: AI-related revenue reached 8.2% of the quarter’s total, signaling continued traction in higher-growth services. Infosys PR Newswire release
• Positive Sentiment: Operating margin stayed resilient at 21.1%, helping offset some of the revenue softness. Infosys PR Newswire release
• Neutral Sentiment: Infosys named insider Ashiss Kumar Dash as CEO-designate, a leadership transition that may reassure investors because it suggests continuity, but it also comes alongside a more cautious outlook. Reuters article
• Negative Sentiment: Quarterly revenue missed expectations, reinforcing worries that enterprise clients are slowing spending. Reuters article
• Negative Sentiment: Infosys cut its full-year FY27 growth forecast, which is the main reason investors are selling the stock today. MSN article
• Negative Sentiment: The company also missed consensus EPS by a penny, adding to the cautious tone around the results. MarketBeat earnings report

Infosys Company Profile

Infosys Ltd. is a digital services and consulting company, which engages in the provision of end-to-end business solutions. It operates through the following segments: Financial Services, Retail, Communication, Energy, Utilities, Resources, and Services, Manufacturing, Hi-Tech, Life Sciences, and All Other. The company was founded by Dinesh Krishnan Swamy, Senapathy Gopalakrishnan, Narayana Ramarao Nagavara Murthy, Raghavan N. S., Ashok Arora, Nandan M. Nilekani, and S. D. Shibulal on July 2, 1981 and is headquartered in Bangalore, India.