Infosys Ltd. share price target

Infosys for the quarter ended Jun 2021 registered a consolidated sales of Rs 27896 crore, a growth of just 6% QoQ and 18% yoy basis. On USD terms the revenue for the quarter was up by 4.7% QoQ basis and 21.2% YoY basis. On CC basis the USD revenue growth was 4.8% QoQ and...

of $2.6 Bn, +23.8% QoQ, +49.4% YoY. We note that net new wins at 30% were lower vs avg 66% net new in FY21. Infy raised FY22 revenue guidance to 1416% YoY CC from 12-14%, in-line with our estimates. We had already baked in 17.7%/12% YoY USD growth in FY22/23E. Infy reported margin of 23.7%, -78bps QoQ (Ple: 24.1%, Cons:24.6%) led by higher sub-con (+110 bps QoQ) and employee hiring, retention costs partially offset by all-time high utilization (excluding trainees at 88.5%) and offshoring (75.9%). Discretionary expenses including travel are expected to inch up in coming quarters. Continued aggression was seen on hiring front with net...

INFO's Q1FY22 revenue growth of 4.8% CC QoQ outperformed our estimate of 3.8% CC and street expectations of 3.8% USD

We recommend a BUY rating on the stock and assign a 26 x P/E multiple to its FY23E earnings of Rs 61.9/share to arrive at a TP of Rs 1,620/share, implying an upside of 10% from CMP.

Adverse employee-mix ratio led to higher average wage growth, up from 3% in FY20 to 5% in FY21 despite offshoring at all-time high. Infosys's FY21 annual report titled Cloud Chaos to Clarity showcases how aggressive cloud adoption globally has opened many new avenues. Infosys believes that its dynamic Cobalt services will deliver accelerated cloud...

Infosys Limited provides IT consulting and software services, including ebusiness, program management and supply chain solutions. The Group's services include application development, product co-development, and system implementation and system engineering. Infosys targets businesses...

Infosys (INFO) reported 4QFY21 constant currency (CC) USD revenue growth of 2% QoQ, below our estimate of 3.1%, as a higher offshore revenue share (100bp) partially offset the strong volume growth of 4.6% QoQ. 4QFY21 EBIT margin declined 90bp QoQ, marginally below our estimate, due to a 130bp wage hike impact and higher subcontracting expenses (+50bp QoQ, highest in the last five years), despite more offshoring and cost optimization. In FY21, revenue (USD)/EBIT/PAT grew 6.1%/30.7%/17.5%. The management guided at FY22 USD revenue growth/EBIT margin of 1214% CC YoY/22-24%. It also characterized the current demand environment...

We recommend BUY and assign 25x P/E multiple to its FY23E earnings of Rs. 63.1 per share which gives a TP of Rs. 1,550 per share, an upside of 12%.

continued to grow at strong rate of34.4% YoY CC. Manufacturing (+6.1% QoQ wins of $2.1 Bn taking FY21 order book to $14.1 Bn, +57% YoY. Management has guided 12-14% YoY CC growth in line with consensus estimates. Infy reported margin of 24.5%, -100bps QoQ, +330 bps YoY (Ple: 24%, Cons:24%), 50 bps higher than our estimates, led by better utilization (82.2%) and lower than expected hike impact (130bps). Management mentioned that aggressive hiring will reduce utilization and reduce supply side pressures. Hiring for the quarter was strong at 10,307 net addition and they plan to hire...