Is Infosys Stock a Good Investment?
Infosys Investment Advice | INFY |
- Examine Infosys' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Infosys' leadership team and their track record. Good management can help Infosys navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the IT Consulting & Other Services space and any emerging trends that could impact Infosys' business and its evolving consumer preferences.
- Compare Infosys' performance and market position to its competitors. Analyze how Infosys is positioned in terms of product offerings, innovation, and market share.
- Check if Infosys pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Infosys' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Infosys Ltd ADR stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Infosys Ltd ADR is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Infosys Stock
Researching Infosys' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). The company last dividend was issued on the 29th of October 2024. Infosys Ltd ADR had 2:1 split on the 12th of September 2018.
To determine if Infosys is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Infosys' research are outlined below:
| Infosys Ltd ADR generated a negative expected return over the last 90 days | |
| Latest headline from entrepreneur.com: I Dont Believe in Work-Life Balance Infosys 78-Year-Old Co-Founder Says He Worked 14 Hours a Day, 6.5 Days a Week |
Infosys Quarterly Cost Of Revenue |
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Infosys uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Infosys Ltd ADR. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Infosys' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 11th of April 2024 Upcoming Quarterly Report | View | |
| 18th of July 2024 Next Financial Report | View | |
| 31st of March 2024 Next Fiscal Quarter End | View | |
| 11th of April 2024 Next Fiscal Year End | View | |
| 31st of December 2023 Last Quarter Report | View | |
| 31st of March 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Infosys' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Infosys' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2015-07-20 | 2015-06-30 | 0.1 | 0.11 | 0.01 | 10 | ||
2014-10-10 | 2014-09-30 | 0.1 | 0.11 | 0.01 | 10 | ||
2014-07-10 | 2014-06-30 | 0.1 | 0.11 | 0.01 | 10 | ||
2014-04-15 | 2014-03-31 | 0.1 | 0.11 | 0.01 | 10 | ||
2014-01-09 | 2013-12-31 | 0.09 | 0.1 | 0.01 | 11 | ||
2013-10-11 | 2013-09-30 | 0.09 | 0.08 | -0.01 | 11 | ||
2013-04-11 | 2013-03-31 | 0.09 | 0.1 | 0.01 | 11 | ||
2013-01-10 | 2012-12-31 | 0.09 | 0.1 | 0.01 | 11 |
Know Infosys' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Infosys is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Infosys Ltd ADR backward and forwards among themselves. Infosys' institutional investor refers to the entity that pools money to purchase Infosys' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Fidelity International Ltd | 2024-06-30 | 12.5 M | Franklin Resources Inc | 2024-06-30 | 10.9 M | Sustainable Growth Advisers, Lp | 2024-09-30 | 10.4 M | Millennium Management Llc | 2024-06-30 | 7.6 M | Dimensional Fund Advisors, Inc. | 2024-09-30 | 6.5 M | Bank Of New York Mellon Corp | 2024-06-30 | 6.2 M | Bank Of America Corp | 2024-06-30 | 6 M | Bnp Paribas Arbitrage, Sa | 2024-06-30 | 5.8 M | Daiwa Securities Group Inc | 2024-06-30 | 5.2 M | Jpmorgan Chase & Co | 2024-06-30 | 66.6 M | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 53 M |
Infosys' market capitalization trends
The company currently falls under 'Large-Cap' category with a current market capitalization of 91.08 B.Market Cap |
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Infosys' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.20 | 0.26 | |
| Return On Capital Employed | 0.32 | 0.33 | |
| Return On Assets | 0.19 | 0.25 | |
| Return On Equity | 0.30 | 0.31 |
Determining Infosys' profitability involves analyzing its financial statements and using various financial metrics to determine if Infosys is a good buy. For example, gross profit margin measures Infosys' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Infosys' profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Infosys' accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Infosys Ltd ADR. Check Infosys' Beneish M Score to see the likelihood of Infosys' management manipulating its earnings.
Evaluate Infosys' management efficiency
Infosys Ltd ADR has return on total asset (ROA) of 0.1525 % which means that it generated a profit of $0.1525 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.314 %, meaning that it created $0.314 on every $100 dollars invested by stockholders. Infosys' management efficiency ratios could be used to measure how well Infosys manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to rise to 0.26 in 2024. Return On Capital Employed is likely to rise to 0.33 in 2024. At this time, Infosys' Total Assets are fairly stable compared to the past year. Non Current Assets Total is likely to rise to about 6.2 B in 2024, whereas Other Assets are likely to drop slightly above 1.2 B in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 2.56 | 2.69 | |
| Tangible Book Value Per Share | 2.31 | 2.43 | |
| Enterprise Value Over EBITDA | 17.04 | 16.19 | |
| Price Book Value Ratio | 6.89 | 6.55 | |
| Enterprise Value Multiple | 17.04 | 16.19 | |
| Price Fair Value | 6.89 | 6.55 | |
| Enterprise Value | 71.7 B | 75.3 B |
The strategic decisions made by Infosys management significantly impact its financial stability and market performance. Evaluating these factors helps determine whether the stock is a worthwhile investment.
Dividend Yield 0.0226 | Forward Dividend Yield 0.0226 | Forward Dividend Rate 0.5 | Beta 0.626 |
Basic technical analysis of Infosys Stock
As of the 21st of November, Infosys retains the Risk Adjusted Performance of 0.0048, market risk adjusted performance of (0.0001), and Downside Deviation of 1.18. Infosys technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices.Infosys' Outstanding Corporate Bonds
Infosys issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Infosys Ltd ADR uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Infosys bonds can be classified according to their maturity, which is the date when Infosys Ltd ADR has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
Understand Infosys' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Infosys' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0048 | |||
| Market Risk Adjusted Performance | (0.0001) | |||
| Mean Deviation | 0.9049 | |||
| Semi Deviation | 1.14 | |||
| Downside Deviation | 1.18 | |||
| Coefficient Of Variation | 59482.18 | |||
| Standard Deviation | 1.17 | |||
| Variance | 1.38 | |||
| Information Ratio | (0.08) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | (0.14) | |||
| Sortino Ratio | (0.08) | |||
| Treynor Ratio | (0.01) | |||
| Maximum Drawdown | 4.88 | |||
| Value At Risk | (2.11) | |||
| Potential Upside | 1.79 | |||
| Downside Variance | 1.39 | |||
| Semi Variance | 1.31 | |||
| Expected Short fall | (1.00) | |||
| Skewness | (0.10) | |||
| Kurtosis | 0.5081 |
| Risk Adjusted Performance | 0.0048 | |||
| Market Risk Adjusted Performance | (0.0001) | |||
| Mean Deviation | 0.9049 | |||
| Semi Deviation | 1.14 | |||
| Downside Deviation | 1.18 | |||
| Coefficient Of Variation | 59482.18 | |||
| Standard Deviation | 1.17 | |||
| Variance | 1.38 | |||
| Information Ratio | (0.08) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | (0.14) | |||
| Sortino Ratio | (0.08) | |||
| Treynor Ratio | (0.01) | |||
| Maximum Drawdown | 4.88 | |||
| Value At Risk | (2.11) | |||
| Potential Upside | 1.79 | |||
| Downside Variance | 1.39 | |||
| Semi Variance | 1.31 | |||
| Expected Short fall | (1.00) | |||
| Skewness | (0.10) | |||
| Kurtosis | 0.5081 |
Consider Infosys' intraday indicators
Infosys intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Infosys stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Infosys Corporate Filings
6K | 18th of November 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
13A | 24th of October 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
| 24th of June 2024 Other Reports | ViewVerify |
Infosys Stock media impact
Far too much social signal, news, headlines, and media speculation about Infosys that are available to investors today. That information is available publicly through Infosys media outlets and privately through word of mouth or via Infosys internal channels. However, regardless of the origin, that massive amount of Infosys data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Infosys news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Infosys relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Infosys' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Infosys alpha.
Infosys Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Infosys can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Infosys Ltd ADR Historical Investor Sentiment
Investor biases related to Infosys' public news can be used to forecast risks associated with an investment in Infosys. The trend in average sentiment can be used to explain how an investor holding Infosys can time the market purely based on public headlines and social activities around Infosys Ltd ADR. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Infosys' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Infosys and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Infosys news discussions. The higher the estimate score, the more favorable the investor's outlook on Infosys.
Infosys Corporate Directors
| U Rao | Chief Operating Officer, Whole Time Director | Profile | |
| Kiran MazumdarShaw | Lead Independent Director | Profile | |
| Punita Sinha | Independent Director | Profile | |
| Michael Gibbs | Independent Director | Profile |
Additional Tools for Infosys Stock Analysis
When running Infosys' price analysis, check to measure Infosys' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Infosys is operating at the current time. Most of Infosys' value examination focuses on studying past and present price action to predict the probability of Infosys' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Infosys' price. Additionally, you may evaluate how the addition of Infosys to your portfolios can decrease your overall portfolio volatility.