Infosys Limited

NSEI:INFY Stock Report

Market Cap: ₹8.0t

Infosys Valuation

Is INFY undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of INFY when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: INFY (₹1922.15) is trading above our estimate of fair value (₹977.57)

Significantly Below Fair Value: INFY is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for INFY?

Key metric: As INFY is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for INFY. This is calculated by dividing INFY's market cap by their current earnings.
What is INFY's PE Ratio?
PE Ratio29x
EarningsUS$3.23b
Market CapUS$93.64b

Price to Earnings Ratio vs Peers

How does INFY's PE Ratio compare to its peers?

The above table shows the PE ratio for INFY vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average33.7x
HCLTECH HCL Technologies
30.4x9.0%₹5.2t
TCS Tata Consultancy Services
31.8x10.2%₹15.1t
507685 Wipro
27.2x8.1%₹3.2t
TECHM Tech Mahindra
45.6x24.9%₹1.5t
INFY Infosys
29x8.1%₹8.0t

Price-To-Earnings vs Peers: INFY is good value based on its Price-To-Earnings Ratio (29x) compared to the peer average (33.7x).

Price to Earnings Ratio vs Industry

How does INFY's PE Ratio compare vs other companies in the IN IT Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
GTL GTL
1.2xn/aUS$23.44m
517429 Athena Global Technologies
0.7xn/aUS$16.96m
509040 Netlink Solutions (India)
3.6xn/aUS$5.66m
512341 CES
0.05xn/aUS$130.33k
No more companies available in this PE range
INFY 29.0xIndustry Avg. 36.7xNo. of Companies14PE020406080100+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: INFY is good value based on its Price-To-Earnings Ratio (29x) compared to the Indian IT industry average (36.7x).

Price to Earnings Ratio vs Fair Ratio

What is INFY's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

INFY PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio29x
Fair PE Ratio55.2x

Price-To-Earnings vs Fair Ratio: INFY is good value based on its Price-To-Earnings Ratio (29x) compared to the estimated Fair Price-To-Earnings Ratio (55.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst INFY forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,922.15
₹2,049.27
+6.6%
9.2%₹2,330.00₹1,530.00n/a41
Dec ’25₹1,857.85
₹2,040.60
+9.8%
9.7%₹2,330.00₹1,530.00n/a42
Nov ’25₹1,760.85
₹2,028.09
+15.2%
10.4%₹2,330.00₹1,503.00n/a43
Oct ’25₹1,904.35
₹1,918.12
+0.7%
11.2%₹2,320.00₹1,503.00n/a43
Sep ’25₹1,943.70
₹1,861.81
-4.2%
10.0%₹2,140.00₹1,445.00n/a43
Aug ’25₹1,852.60
₹1,858.83
+0.3%
10.1%₹2,140.00₹1,445.00n/a42
Jul ’25₹1,590.80
₹1,615.83
+1.6%
8.7%₹1,920.00₹1,160.00n/a42
Jun ’25₹1,406.90
₹1,594.17
+13.3%
8.4%₹1,920.00₹1,160.00n/a42
May ’25₹1,420.55
₹1,592.84
+12.1%
8.4%₹1,920.00₹1,160.00n/a43
Apr ’25₹1,495.45
₹1,687.53
+12.8%
9.0%₹1,985.00₹1,160.00n/a38
Mar ’25₹1,654.70
₹1,686.13
+1.9%
9.2%₹2,000.00₹1,160.00n/a38
Feb ’25₹1,657.05
₹1,669.26
+0.7%
9.5%₹2,000.00₹1,160.00n/a38
Jan ’25₹1,551.35
₹1,546.66
-0.3%
9.9%₹1,870.00₹1,160.00n/a38
Dec ’24₹1,452.30
₹1,524.82
+5.0%
8.4%₹1,760.00₹1,160.00₹1,857.8538
Nov ’24₹1,354.15
₹1,522.97
+12.5%
8.4%₹1,760.00₹1,160.00₹1,760.8538
Oct ’24₹1,435.45
₹1,484.45
+3.4%
9.9%₹1,760.00₹1,150.00₹1,904.3538
Sep ’24₹1,443.85
₹1,443.13
-0.05%
9.5%₹1,760.00₹1,130.00₹1,943.7039
Aug ’24₹1,365.20
₹1,440.20
+5.5%
9.3%₹1,760.00₹1,130.00₹1,852.6041
Jul ’24₹1,335.50
₹1,489.55
+11.5%
9.9%₹1,800.00₹1,150.00₹1,590.8040
Jun ’24₹1,319.50
₹1,501.79
+13.8%
10.1%₹1,900.00₹1,150.00₹1,406.9039
May ’24₹1,252.75
₹1,517.64
+21.1%
11.1%₹1,950.00₹1,200.00₹1,420.5539
Apr ’24₹1,427.95
₹1,721.26
+20.5%
7.2%₹2,075.00₹1,460.00₹1,495.4539
Mar ’24₹1,496.05
₹1,745.85
+16.7%
7.2%₹2,075.00₹1,500.00₹1,654.7040
Feb ’24₹1,551.10
₹1,743.40
+12.4%
7.0%₹2,075.00₹1,500.00₹1,657.0543
Jan ’24₹1,508.20
₹1,723.03
+14.2%
8.9%₹2,080.00₹1,475.00₹1,551.3539
Dec ’23₹1,657.10
₹1,709.95
+3.2%
8.7%₹2,080.00₹1,475.00₹1,452.3039

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/20 23:57
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Infosys Limited is covered by 98 analysts. 51 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ashwin MehtaAmbit Capital
Mohit JainAnand Rathi Shares and Stock Brokers Limited
Hitesh AgrawalAngel Broking Private Limited