Infosys

Infosys stock analysis

STOCK ANALYSIS

6/13/20253 min read

Infosys is one of India’s biggest and most well-known IT companies, with its headquarters in Bengaluru. It started in 1981 with a small amount of money and a handful of employees, but today it has grown into a global company with over 300,000 employees and a presence in 56 countries. Infosys assists businesses worldwide with technology services, including software development and management, cloud migration, artificial intelligence implementation, and process optimization. Some of its popular products include Finacle, which is used by banks, and other digital platforms that help companies work better and faster.

Company Insights
The company has a market capitalization of 6,65,318 crores
The share price of the company is 1,602
The book value of the company is 231
The company's debt-to-equity ratio is 0.09
The company's annual dividend yield is 2.70%
The company's stock P/E is 25.0
The earnings per share are 64.3
The company's ROCE is 37.5%

Financial Report
The company's sales in the last 5 years

Sales in 2021 is 1,00,472 crores
Sales in 2022 is 1,21,641 crores
Sales in 2023 is 1,46,767 crores
Sales in 2024 is 1,53,670 crores
Sales in 2025 is 1,62,990 crores

The company's profit in the last 5 years
Profit in 2021 is 19,423 crores
Profit in 2022 is 22,146 crores
Profit in 2023 is 24,108 crores
Profit in 2024 is 26,248 crores
Profit in 2025 is 26,750 crores

Sales & Profit Growth
The company's sales growth in the last 5 years

Sales growth in the last 5 years is 12.4%
Sales growth in the last 3 years is 10.2%
Sales growth in the last 1 year is 6.06%

The company's profit growth in the last 5 years
Profit growth in the last 5 years is 10.0%
Profit growth in the last 3 years is 6.45%
Profit growth in the last 1 year is 1.89%

Holdings
Promoters are 14.60%
FIIs are 32.89%
DIIs are 38.32%
Government are 0.21%
Public are 13.72%
Others are 0.26%

Company News

  • Infosys, one of India’s leading IT services companies, has been given a “Buy” recommendation by Kotak Institutional Equities, with a target price of ₹1,780 compared to the current market price of around ₹1,609. This suggests potential upside for investors despite some recent challenges faced by the company.

  • In its latest financial year, Infosys reported strong free cash flow and maintained a solid balance sheet, reflecting its financial stability. The company granted an average 12% salary increase to its Indian employees in FY2025, aiming to retain talent amid rising attrition, particularly among younger staff. While some subsidiaries showed mixed results—with the Business Process Management (BPM) segment experiencing moderate revenue growth, others like McCamish saw declines—the overall outlook remains positive.

  • Infosys has also been actively expanding its global footprint through acquisitions. Recent purchases in the UK and Germany are expected to enhance the company’s capabilities in key sectors such as energy and automotive engineering.

Technical Analysis

Company Chart

Moving Averages (MA)

  • The stock price is just above the 50-MA, which indicates that it may rise.

  • The stock price is under the 200-MA, which indicates that the stock will remain in downtrend for some more time.

Relative Strength Index (RSI)

The current RSI of the stock is 58, which indicates that it is neither in the overbought nor in the oversold zone.

My Analysis

The company has shown decent sales and profit growth for the last few years, but last year its profit growth was almost stagnant. The company is investing in buying other companies in other parts of the world to expand globally. Right now, the stock price is likely to face more correction in the near future, but in the long run it has good potential to grow.