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    Hold Infosys, target price Rs 1500: Sharekhan by BNP Paribas

    Synopsis

    Infosys, incorporated in the year 1981, is a Large Cap company (having a market cap of Rs 518007.32 Crore) operating in IT Software sector.

    HoldThinkStock Photos
    At the CMP the stock trades at 23.4x its FY2024E EPS and21.7x its FY2025E EPS.
    Sharekhan by BNP Paribas has hold call on Infosys with a target price of Rs 1500. The current market price of Infosys is Rs 1240.65.

    Infosys, incorporated in the year 1981, is a Large Cap company (having a market cap of Rs 518007.32 Crore) operating in IT Software sector.

    Infosys key Products/Revenue Segments include Software Development Charges and Software Products for the year ending 31-Mar-2022.

    Financials
    For the quarter ended 31-03-2023, the company has reported a Consolidated Total Income of Rs 38112.00 Crore, down -2.49 % from last quarter Total Income of Rs 39087.00 Crore and up 15.80 % from last year same quarter Total Income of Rs 32913.00 Crore. Company has reported net profit after tax of Rs 6134.00 Crore in latest quarter.

    The company’s top management includes Mr.Nandan M Nilekani, Mr.Salil Parekh, Ms.Kiran Mazumdar Shaw, Ms.Chitra Nayak, Mr.D Sundaram, Mr.Michael Gibbs, Mr.Uri Levine, Mr.Bobby Parikh. Company has Deloitte Haskins & Sells LLP as its auditors. As on 31-12-2022, the company has a total of 419 Crore shares outstanding.

    Investment Rationale
    Given the weak quarterly numbers and uncertain macro backdrop, expect the stock to underperform in the near term. The brokerage expects muted 3.7%/5.4% Sales and PAT CAGR respectively over FY23-25E Hence, the brokerage downgrades the stock to hold with a revised price target of Rs. 1500. At the CMP the stock trades at 23.4x its FY2024E EPS and21.7x its FY2025E EPS.

    Promoter/FII Holdings
    Promoters held 15.11 per cent stake in the company as of 31-Dec-2022, while FIIs owned 36.29 per cent, DIIs 32.38 per cent.



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    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
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