Executive Summary
Infosys Limited, together with its subsidiaries, provides consulting, technology, outsourcing, and next-generation digital services in North America, Europe, India, and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet with solid track record and pays a dividend.
Similar Companies
Share Price & News
How has Infosys's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: INFY is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: INFY's weekly volatility (2%) has been stable over the past year.
Market Performance
7 Day Return
1.3%
INFY
0.4%
IN IT
0.2%
IN Market
1 Year Return
66.7%
INFY
60.5%
IN IT
54.1%
IN Market
Return vs Industry: INFY exceeded the Indian IT industry which returned 60.5% over the past year.
Return vs Market: INFY exceeded the Indian Market which returned 54% over the past year.
Shareholder returns
| INFY | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.3% | 0.4% | 0.2% |
| 30 Day | 3.2% | 1.6% | 2.0% |
| 90 Day | 18.9% | 14.5% | 12.6% |
| 1 Year | 70.3%66.7% | 63.3%60.5% | 56.2%54.1% |
| 3 Year | 155.2%136.1% | 109.7%97.2% | 37.3%30.3% |
| 5 Year | 247.5%201.6% | 197.8%170.0% | 81.9%66.7% |
Long-Term Price Volatility Vs. Market
How volatile is Infosys's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Did You Participate In Any Of Infosys' (NSE:INFY) Fantastic 229% Return ?4 weeks ago | Simply Wall St
Infosys Limited's (NSE:INFY) Stock Has Seen Strong Momentum: Does That Call For Deeper Study Of Its Financial Prospects?1 month ago | Simply Wall St
Infosys (NSE:INFY) Might Become A Compounding MachineValuation
Is Infosys undervalued compared to its fair value and its price relative to the market?
33.32x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: INFY (₹1610.5) is trading above our estimate of fair value (₹790.21)
Significantly Below Fair Value: INFY is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: INFY is poor value based on its PE Ratio (33.3x) compared to the Indian IT industry average (32.5x).
PE vs Market: INFY is poor value based on its PE Ratio (33.3x) compared to the Indian market (23.6x).
Price to Earnings Growth Ratio
PEG Ratio: INFY is poor value based on its PEG Ratio (3x)
Price to Book Ratio
PB vs Industry: INFY is overvalued based on its PB Ratio (9.5x) compared to the IN IT industry average (2.1x).
Future Growth
How is Infosys forecast to perform in the next 1 to 3 years based on estimates from 44 analysts?
11.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: INFY's forecast earnings growth (11.1% per year) is above the savings rate (6.8%).
Earnings vs Market: INFY's earnings (11.1% per year) are forecast to grow slower than the Indian market (20.6% per year).
High Growth Earnings: INFY's earnings are forecast to grow, but not significantly.
Revenue vs Market: INFY's revenue (10.3% per year) is forecast to grow slower than the Indian market (12.4% per year).
High Growth Revenue: INFY's revenue (10.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: INFY's Return on Equity is forecast to be high in 3 years time (32.1%)
Past Performance
How has Infosys performed over the past 5 years?
3.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: INFY has high quality earnings.
Growing Profit Margin: INFY's current net profit margins (19.4%) are higher than last year (18.3%).
Past Earnings Growth Analysis
Earnings Trend: INFY's earnings have grown by 3.5% per year over the past 5 years.
Accelerating Growth: INFY's earnings growth over the past year (17.8%) exceeds its 5-year average (3.5% per year).
Earnings vs Industry: INFY earnings growth over the past year (17.8%) underperformed the IT industry 18.2%.
Return on Equity
High ROE: INFY's Return on Equity (28.4%) is considered high.
Financial Health
How is Infosys's financial position?
Financial Position Analysis
Short Term Liabilities: INFY's short term assets ($8.3B) exceed its short term liabilities ($4.0B).
Long Term Liabilities: INFY's short term assets ($8.3B) exceed its long term liabilities ($1.0B).
Debt to Equity History and Analysis
Debt Level: INFY is debt free.
Reducing Debt: INFY has not had any debt for past 5 years.
Debt Coverage: INFY has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: INFY has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Dividend
What is Infosys's current dividend yield, its reliability and sustainability?
1.85%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: INFY's dividend (1.85%) is higher than the bottom 25% of dividend payers in the Indian market (0.34%).
High Dividend: INFY's dividend (1.85%) is in the top 25% of dividend payers in the Indian market (1.42%)
Stability and Growth of Payments
Stable Dividend: INFY's dividend payments have been volatile in the past 10 years.
Growing Dividend: INFY's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (55.4%), INFY's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: INFY's dividends in 3 years are forecast to be covered by earnings (54.8% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.8yrs
Average management tenure
CEO
Salil Parekh (57 yo)
3.5yrs
Tenure
US$6,017,556
Compensation
Mr. Salil Satish Parekh has been the Chief Executive Officer, Managing Director and Whole-time Director of Infosys Limited since January 2, 2018. Mr. Parekh sets and evolves the strategic direction for the...
CEO Compensation Analysis
Compensation vs Market: Salil's total compensation ($USD6.02M) is above average for companies of similar size in the Indian market ($USD1.25M).
Compensation vs Earnings: Salil's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: INFY's management team is considered experienced (4.8 years average tenure).
Board Members
Experienced Board: INFY's board of directors are considered experienced (3.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: INFY insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Infosys Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Infosys Limited
- Ticker: INFY
- Exchange: NSEI
- Founded: 1981
- Industry: IT Consulting and Other Services
- Sector: Software
- Market Cap: ₹6.831t
- Shares outstanding: 4.24b
- Website: https://www.infosys.com
Number of Employees
Location
- Infosys Limited
- Plot no. 44/97 A
- 3rd cross
- Bengaluru
- Karnataka
- 560100
- India
Listings
Biography
Infosys Limited, together with its subsidiaries, provides consulting, technology, outsourcing, and next-generation digital services in North America, Europe, India, and internationally. It provides applica...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/07/31 12:19 |
| End of Day Share Price | 2021/07/30 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2021/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.