Infosys Ltd. share price target

Mr M D Ranganathan resigns from the role of CFO after a stint of 18 years (3 years as CFO; term ends on Nov 16, 2018) to pursue opportunities in new areas. The hunt for the new CFO has begun and Mr Jayesh Sanghrajka (Deputy CFO) can be a possible candidate for the replacement. But, given Infosys' recent preferences, we cannot rule out the possibility of an external candidate. While no specific reason has been mentioned for Mr Ranganathan's untimely exit, we see following 3 possible factors that could have triggered this event: (1) Mr Ranganathan's wanted to pursue CEO's role, which was ruled out at Infosys post the appointment of Mr...

WE factor EBIT margin at the higher end of guided range at 23.8% for FY19E on the back of continued acceleration in digital, improvement in productivity, onsite pyramid rationalization and increased adoption of automation. We continue to maintain our HOLD' rating on the stock with a revised TP of Rs. 1,404...

Revenue rose by 5.78% to Rs. 19128.0 Cr in Q1FY19 when compared to the previous quarter. Infosys Ltd Q1FY19 results Comment

Infosys has delivered an in-line performance in 1QFY19, with its USD revenue rising by 0.9% QoQ (+2.3% QoQ in CC terms) to US$2,831mn (0.7% above our estimate) led by Retail (+6.4% QoQ in CC terms) and Energy (+5.3% QoQ). EBIT margin declined by 101bps QoQ, (83bps above our estimate) to 23.7% with favourable currency, higher utilisation and offshore mix offsetting the impact of wage hike, higher visa and subcontractor cost and business investments to a large extent. Looking ahead, the IT major maintained its guidance for FY19E with revenue growth pegged at 6-8% in CC terms, while EBIT margin is seen at 22-24%. Lack of an upward revision in margin guidance is disappointing, as EBIT margin came in close to the upper end of guided...

Infosys's (INFO) Q1FY19 result was in-line with our forecast. Digital revenue is now 28.4% of INFO's revenue and grew by 8%/26% QoQ/YoY in CC. It has secured 8 large deals, importantly the TCV has crossed US$1bn mark. The only negative in Q1 was...

ICICI Securities Ltd | Retail Equity Research US$ revenues grew 0.9% QoQ to $2,831 million, largely in line with our 1.7% growth and $2,853 million estimate. Constant currency (CC) revenues grew 2.3% QoQ vs. our estimate of 2.5% QoQ. Rupee...

Concerns remain on the lower margin guidance despite FX tailwinds USD revenue grew 0.9% QoQ in line with our estimates; 2.3% QoQ in CC terms. EBIT margin declined 104bps QoQ at 23.7% due to negative impact of wage hike and visa cost. INFO maintained its revenue guidance to 6%8% (CC terms) which translates into a CAGR of 0.3%-1.5% over three quarters. The management has also maintained its EBIT margin guidance in the range of 22%-24% for FY19 despite the positive impact of INR depreciation. We upgrade our earnings estimates by 1.4%/3.2% for FY20/FY21 mainly because of INR depreciation; our estimates remain same...

Even as export growth accelerated for the 3rd straight month, trade deficit widened to a 61-month high at US$ 16.6bn in Jun'18 due to higher oil (56.6%) and non-oil-non-gold imports (12.5% in Jun'18). Both are expected to remain elevated in the near-term. Hence, trade deficit will be higher in FY19. Higher trade deficit along with FPI outflows would put pressure on CAD and INR. INR has depreciated by 7.7% in CYTD18. However, a possible rate hike in...

Maintain BUY with TP of Rs 1,415, 18x FY20E-EPS. Infosys (INFY) delivered in-line rev and operating performance and recorded robust large deal bookings. Revenue came at USD 2,831mn, 0.9/6.8% QoQ/YoY based on 2.3/6.0% CC, and maintained its FY19 rev guidance of 6 to 8% CC YoY. EBIT% stood at 23.7%, -101bps QoQ impacted by wage increase of ~85% of employees, higher sub-contracting expense & G&A; spend (onsite expansion).