According to Zacks, “Infosys is benefiting from large deal wins and fast growing digital services. This was reflected in the fourth-quarter fiscal 2019 results. The top line was driven by strong demand for cloud, IoT, cyber plus data and analytics-related services. The company’s focus on Agile Digital and AI-driven Core services is a tailwind. Higher spending on the digital, analytics, cloud, cybersecurity and other new technology domains is a key driver for Infosys. Shares have outperformed the industry in the past year. However, Infosys is suffering from an unfavorable political climate in the United States and the increasing anti-outsourcing sentiment in certain countries. Notably, higher subcontractor costs, and the company’s compensation revision with a higher variable pay and incentives are weighing on margins. Further, the company’s business is highly prone to the currency volatility between the Indian rupee and the U.S. dollar.”
A number of other equities research analysts have also recently issued reports on the company. Morgan Stanley upgraded Infosys from an equal weight rating to an overweight rating in a research note on Monday, January 14th. Susquehanna Bancshares upgraded Infosys from a negative rating to a neutral rating and increased their price target for the company from $7.50 to $11.00 in a research note on Monday, January 14th. HSBC cut Infosys from a buy rating to a hold rating in a research note on Tuesday, April 2nd. Citigroup upgraded Infosys from a neutral rating to a buy rating in a research note on Friday, January 4th. Finally, Wells Fargo & Co set a $11.00 price target on Infosys and gave the company a hold rating in a research note on Friday, January 11th. Two equities research analysts have rated the stock with a sell rating and fifteen have assigned a hold rating to the company’s stock. The company has an average rating of Hold and a consensus target price of $11.26.
Infosys (NYSE:INFY) last announced its quarterly earnings data on Friday, April 12th. The technology company reported $0.13 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.13. Infosys had a return on equity of 25.41% and a net margin of 18.62%. The company had revenue of $3.06 billion for the quarter, compared to analysts’ expectations of $3.04 billion. During the same quarter in the prior year, the business posted $0.13 EPS. On average, research analysts forecast that Infosys will post 0.55 earnings per share for the current year.
Institutional investors and hedge funds have recently bought and sold shares of the stock. Nkcfo LLC bought a new stake in Infosys in the 4th quarter valued at $25,000. Financial Gravity Wealth Inc. bought a new stake in Infosys in the 1st quarter valued at $27,000. We Are One Seven LLC bought a new position in Infosys during the 4th quarter worth $28,000. Advisory Services Network LLC increased its position in Infosys by 303.8% during the 4th quarter. Advisory Services Network LLC now owns 4,228 shares of the technology company’s stock worth $40,000 after buying an additional 3,181 shares during the period. Finally, Financial Gravity Companies Inc. bought a new position in Infosys during the 4th quarter worth $44,000. Institutional investors and hedge funds own 17.81% of the company’s stock.
Infosys Company Profile
Infosys Limited, together with its subsidiaries, provides consulting, technology, and outsourcing services in North America, Europe, India, and internationally. It provides business information technology services, including application development and maintenance, independent validation, infrastructure management, and business process management services, as well as engineering services, such as engineering and life cycle solutions; and consulting and systems integration services comprising consulting, enterprise solutions, systems integration, and advanced technologies.
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