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Infosys Technologies
Infy, Wipro, Satyam among Buffett-fit
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Infy_fan_alwaysTracked by: 0 Boarder
This is the value in infosys which is yet to be realized by market ....
In reply to:
Infy, Wipro, Satyam among Buffett-fit
Posted by :
sankarantpr
ndia is yet to make its debut on legendary investor Warren Buffett's portfolio, but there are at least three companies from the country -- technology majors Infosys, Wipro and Satyam -- that are fit to make the grade, according to Standard and Poor's.
The world's leading rating agency and investment services provider compiles a list of stocks meeting Buffett's investment criteria twice a year and the latest such portfolio includes the names of the three US-listed Indian IT firms.
Infosys, Wipro and Satyam have been named alongside global giants such as healthcare products major Johnson & Johnson, fast-food restaurant chain McDonald's, IT behemoths Microsoft, Oracle, Qualcomm and SAP as well as BlackBerry- maker Research in Motion in September update of S&P's Buffett Stock Screen.
In the previous edition of this portfolio, released in February, there were a total of 60 stocks, which has declined to 49 in the latest list.
While Satyam has made a comeback after exiting this portfolio in February, a number of big names such as technology major Apple, soft drink giants PepsiCo and Coca- Cola, industrial conglomerate 3M, tobacco major Altria Group, British American Tobacco, China Mobile, Cisco Systems, Diageo and GlaxoSmithKline have made an exit this time around.
Besides, Latin American telecom major America Movil, led by Mexican billionaire Carlos Slim who is ranked as second richest in the world after Buffett, has also moved out of S&P's Buffett screen.
The portfolio includes only those companies listed in the US market and Infosys, Wipro and Satyam have made to the list because of their listings in the country.
The list published in August 2007 has a total 55 stocks including three Indian names -- Infosys, Satyam and Wipro, while the February 2007 list had 56 stocks including two Indian names Infosys and Satyam.
S&P has been updating this Buffett portfolio on semi- annual basis -- in February and August/September -- since 1995 and it includes stocks meeting the criteria that Buffett has emphasised in the past, although these are not necessarily stocks that Buffett has bought or ever plans to buy.
"This screen, developed by Standard & Poor's, is based on criteria the legendary investor has emphasised over his long career. Only stocks with a market capitalization of at least USD 500 million are included," S&P said.
Source:Economic Times 
Infosys BPO Trains Focus on Indian Telcos
Posted by : Infy_fan_alwaysTracked by: 0 Boarder
Infosys BPO provides billing management, customer technical support, network performance and monitoring, mobile content provisioning, service activation and analytics services among others to Communication Service Providers (CSPs).
The recent changes in the Indian telecom market have major implications for Indian CSPs and Infosys BPO is well-placed to offer solutions to tackle these challenges, said Gopal Devanahalli, head of telecom solutions business unit of Infosys BPO.
Increased convergence of data, voice and video, and the emergence of Internet telephony will make voice communications very inexpensive or virtually free, said Devanahalli. Also, changes like introduction of mobile number portability (MNP) and 3G services will have implications for CSPs.
Devanahalli said that the following three factors will be the major deciders:
MNP may lead to a lot of customer churn, as customers will look for the best set of services on offer. Having a strong analytics capability will help CSPs predict issues with services and stop customer churn.
Competition may lead to lower rates; therefore the cost of customer service will have to be reduced to manage bottom lines. Things like scenario-based customer service (where a lot of typical customer issue scenarios are pre-stored) can help reduce diagnosing time. This can save time and cost.
The Mobile Virtual Network Operators (MVNOs) will soon come into play in India. These are service providers who do not have their own communications infrastructure but buy minutes from CSPs to brand and market them to users.
On the 3G services side, the introduction of these services will lead to generation of more digital content. However, to differentiate themselves from each other, CSPs will have to come up with newer products and customized campaigns for customers.
Assurance will be another key aspect in the future telecom scenario. Assured content and Internet availability will be a key determinant of popularity for 3G service providers. Issues with assurance will need to be tackled by CSPs.
Compliance issues such as keeping a tab on who is downloading what and finding ways of stopping illegal downloads will also be an important responsibility for CSPs in the 3G era, said Devanahalli.
Besides interconnect billing will be another key issue. As telecom products get more complex, revenue leakage happens while voice, data and video is transferred from one network operator to another. Interconnect billing systems will have to be robust enough to handle these issues, he said. ...
Infosys shakes up SAP consultancy market with Axon bid
Posted by : Infy_fan_alwaysTracked by: 0 Boarder
UK firm Axon Group, the worlds biggest SAP implementation consultancy, is set to be acquired by Indian outsourcing giant Infosys for 7.1 million. The objective is to create a leading global SAP services provider, says Infosys CEO Kris Gopalakrishnan. There is strong demand for these services, and the deal will allow us to leverage the capabilities and strengths of both companies to have the global reach, the scale and the financial strength to participate in deals that are large.
The deal came after Axon declared better-than-expected results for the first six months of 2008, with revenues up 28% year-on-year to £123.9 million and operating profit up 19% to £16.5 million. The SAP implementation and consulting business of Axon is growing at a rate of 60-70%. Axon has a particular stronghold in the local government IT services market, with the city councils of Manchester, Birmingham and Wolverhamton among its customers.
Axon was founded by Mark Hunter in 1994 after resigning from SAP itself. He ran the firm for 13 years, overseeing its floatation in 1999. But in 2007 Hunter cut his ties with Axon, stepping down from its board. In its most recent financial half-year, Axon Group derived 42% of its £123.9 million revenues from the US market, thanks in part to its own acquisition of US-based SAP practice EnterSys earlier this year. In July it bought US-based SCM and Australias Consulting Principles. Those two deals followed the acquisition in May of EnterSys, a provider of SAP consulting services to the North American oil, gas and chemical sectors.
A giant leap forward
The acquisition comes at a time of high utilisation levels of SAP-centred services, says Alex Simkin, analyst with research firm Ovum. The demand for implementing upgrades, moving application management locations and other SAP-related consultative and delivery services is constrained by the available supply. The market is sufficiently buoyant that some end-users are struggling to control the cost of SAP-related services offered by major onshore S/ITS vendors. The answer to the question of mounting cost comes from offshoring. With Axon as part of Infosys, the Indian vendor will be better placed to generate recurring revenues from cost-conscious European end-users. The acquisition is yet another step towards greater convergence between on- and offshore providers.
Axons expertise in key industries - government, financial services and energy utilities - is also of interest to Infosys. In-depth vertical knowledge is crucial in being able to position and sell high-level consulting and application services, and this is something that even the leading Indian players are only slowly gaining in Europe. Axon is a significant boost to Infosys vertical credentials.
AMR Researchs Dana Stiffler agreed that this was an important deal. This is a watershed acquisition, taking Infosys a giant leap forward in its SAP capabilities and strengthening the company, she said. Some market observers have said that the 0 million offer for a 0 million company is too rich. We disagree. The market for SAP services is huge — we value it at more than billion — and growing fast. Furthermore, the acute shortage of skills makes establishing an industrial-strength SAP bench a necessity if Infosys intends to go head-to-head with the largest global service providers. It has the smallest SAP practice of the major Indian service providers going into the acquisition.
But she added that there were potential problems ahead. Axon is a strong midsize SAP partner globally and dominant SAP provider in the UK, she said. There are sensitivities associated with retaining consultants and serving public sector clients under a Bangalore brand. The problem is that outside the UK, Axon is not yet well-established, despite having made many smart acquisitions in North America and elsewhere. People outside the SAP universe haven’t heard of it. Infosys, on the other hand, has been the most successful of the Indian firms in establishing a transnational image, a cool brand that transcends industries and software packages. Most importantly, it’s a name that already appears on many global shortlists next to Accenture and IBM.
...
The Axon boost
Posted by : Infy_fan_alwaysTracked by: 0 Boarder
Outlook
Infosys derives 34 per cent of its revenue from the banking, financial services and insurance vertical and its exposure to the North American market stands at 63 per cent of its FY08 revenue.
Although the global macro environment is not very encouraging on account of delayed decisions by the customers, flat pricing and trouble in the banking and financial services sector, Infosys management and business model are better equipped than its peers to handle these issues.
In its annual analyst meet held last week, the management indicated that its hiring plans are on track and the company should meet the target of having about 25,000 gross additions in FY09.
Also, pricing for the company has been stable and instances of larger-scale price renegotiations have not been many. On account of depriciation in rupee, Infosys revised its FY09 revenue and earnings guidance in July. While the company expects revenues to grow by about 27.5-29.5 per cent to Rs 21,278 - Rs 21,622 crore, growth in earnings per share is forecasted to grow between 24.4-26.6 per cent to Rs 97.8-100.5.
The Axon-deal is positive for Infosys. Trading at Rs 1,748.50, expect the stock to deliver returns of 15-20 per cent
...
In reply to:
The Axon boost
Posted by : Infy_fan_always
Multiple benefits
Focus on high growth segment: Consulting and Enterprise Solutions segment has grown at a CAGR of 65 per cent over the last three years and amounted to nearly $1 billion in FY08; nearly 24 per cent to Infosys total revenue. Axons complete business comes from this segment and its CY07 topline is about 42 per cent of Infosys FY08 revenue from this field, thus making a substantial addition to Infosys. Axon could well prove to be an important growth engine for Infosys in the years to follow.
Enhanced capabilities: Axon brings on board close to 2,000 SAP consultants with high-end consulting capabilities, required in verticals like aeronautics and oil and gas. “Adding quality consultants organically would have been the biggest challenge for Infosys. Doubling its consultants in one-shot is one of the biggest positive of this deal for Infosys, opines Anil Advani, head of research, SBICAP Securities. Infosys can now leverage its size and global presence along with Axons consulting expertise to win big transformational deals with multi-year values of $50-100 million in the US and Europe. This makes sense for Axon too, given the stiff competition from bigger players like Capgemini and Accenture in these markets.
Diversification: As per the Forrester Research estimates, the deal now brings over a hundred new clients including British Telecom, Xerox, Vodafone and Barclays Bank along with industry verticals such as public sector to Infosys fold.
“Historically, Indian companies have struggled to find a foothold in Europe, as the market is not only fragmented but protectionist in nature, adds an analyst. The acquisition will reduce exposure from US (currently 63 per cent) by 3 per cent and increase the share from Europe by the same proportion (currently 27 per cent).
Things to watch
Improving Axon’s margins and cultural integration are the two biggest issues that Infosys faces, apart from the possibility of a counterbid from another suitor.
Even as Axon garners one of the best margins among its peers, the blended margins of Infosys (post acquisition) will be lower as Axon’s operating margins at 15 per cent are half that of Infosys; the difference is due to a varied business models (onshore v/s offshore).
Infosys would now have to work on improving Axon’s margin by offshoring part of the incremental business (of Axon) to its SEZ based in India. And while Infosys has no experience of managing such a large acquisition and integrating two diverse culture firms, given that the current Axon management is committed to stay for a period over two years, there is fair possibility of a reasonably smooth integration.
The deal is expected to be consummated by the year-end and would add to Infosys’ financials from January 2009. The next 30 days will be critical for Infosys as this is the period during which a competing bid could be tabled. In the event that Axon accepts a competing bid Infosys is entitled to a break fee of £4 million.
The Axon boost
Posted by : Infy_fan_alwaysTracked by: 0 Boarder
Multiple benefits
Focus on high growth segment: Consulting and Enterprise Solutions segment has grown at a CAGR of 65 per cent over the last three years and amounted to nearly $1 billion in FY08; nearly 24 per cent to Infosys total revenue. Axons complete business comes from this segment and its CY07 topline is about 42 per cent of Infosys FY08 revenue from this field, thus making a substantial addition to Infosys. Axon could well prove to be an important growth engine for Infosys in the years to follow.
Enhanced capabilities: Axon brings on board close to 2,000 SAP consultants with high-end consulting capabilities, required in verticals like aeronautics and oil and gas. “Adding quality consultants organically would have been the biggest challenge for Infosys. Doubling its consultants in one-shot is one of the biggest positive of this deal for Infosys, opines Anil Advani, head of research, SBICAP Securities. Infosys can now leverage its size and global presence along with Axons consulting expertise to win big transformational deals with multi-year values of $50-100 million in the US and Europe. This makes sense for Axon too, given the stiff competition from bigger players like Capgemini and Accenture in these markets.
Diversification: As per the Forrester Research estimates, the deal now brings over a hundred new clients including British Telecom, Xerox, Vodafone and Barclays Bank along with industry verticals such as public sector to Infosys fold.
“Historically, Indian companies have struggled to find a foothold in Europe, as the market is not only fragmented but protectionist in nature, adds an analyst. The acquisition will reduce exposure from US (currently 63 per cent) by 3 per cent and increase the share from Europe by the same proportion (currently 27 per cent).
Things to watch
Improving Axon’s margins and cultural integration are the two biggest issues that Infosys faces, apart from the possibility of a counterbid from another suitor.
Even as Axon garners one of the best margins among its peers, the blended margins of Infosys (post acquisition) will be lower as Axon’s operating margins at 15 per cent are half that of Infosys; the difference is due to a varied business models (onshore v/s offshore).
Infosys would now have to work on improving Axon’s margin by offshoring part of the incremental business (of Axon) to its SEZ based in India. And while Infosys has no experience of managing such a large acquisition and integrating two diverse culture firms, given that the current Axon management is committed to stay for a period over two years, there is fair possibility of a reasonably smooth integration.
The deal is expected to be consummated by the year-end and would add to Infosys’ financials from January 2009. The next 30 days will be critical for Infosys as this is the period during which a competing bid could be tabled. In the event that Axon accepts a competing bid Infosys is entitled to a break fee of £4 million.
...
In reply to:
The Axon boost
Posted by : Infy_fan_always
The strategic buyout of Axon will increase Infosys share in the high-growth SAP segment and consolidate its position in Europe.
Infosys Technologies chose to finally break the shackles of conservatism last Monday, by making an offer to acquire UK-based SAP consultancy services firm Axon Group for £407.1 million ($753 million or Rs 3,310 crore).
This all-cash deal would make the acquisition the largest overseas acquisition by an Indian IT company, surpassing Wipros buyout of US-based Infocrossing last year for $600 million. This is Infosys second acquisition of an entire company. The first came in December 2003 when it acquired Australian company Expert Information Services for $22.9 million.
The move marks a clear attempt by Indias second largest software services exporter to move up the value chain in the services spectrum and focus on the high-growth business of consulting.
Quite a find
Axon is one of the largest consultancy company in the world, focused exclusively on the provision of SAP services and solutions.
The company has clients spread across diverse sectors including aerospace, retail, manufacturing and utilities in about 30 countries.
The company has a sound track record, with zero-debt on its book and having registered CAGR of 42.7 per cent in revenues and 68.2 per cent in profits over CY2003-07, although a part of the growth has been fueled by the 11 acquisitions that the company has made in the last few years.
For H1 CY08, Axon declared better than expected results, with revenues up 28 per cent year-on-year (y-o-y) to £123.9 million (Rs 1,007 crore) and EBITDA up 17.2 per cent y-o-y to £18.1 million (Rs 147 crore). Consensus research estimates for Axon peg full-year revenues at £244 million and recurring EBITDA at £40.7 million.
Based on these forecasts, the acquisition price represents a multiple of 1.67 times its 2008 revenues and 10 times it’s EBITDA, which is very reasonable, considering that consulting firms are generally valued two to three times their revenue. Though not strictly comparable, Infocrossing acquisition by Wipro was made at 2.6x revenue.
Cashing in on the opportunity
It is probably not a bad time for a buyout because share prices have come off sharply. Axon’s price has corrected by 46 per cent from its 52-week high of £9.28 made in September 2007.
The buy also removes some amount of money from Infosys cash-laden balance sheet. Infosys had $1.7 billion of cash at the end of June 2008, which would come down to about $1 billion, adjusting for the acquisition.
On the earnings front, the acquisition is expected to be largely earnings-neutral. The loss of interest income on the free cash would largely be made up by the earnings from Axon in 2009. The synergies that Infosys derives from the acquisition can thus be considered as an added benefit that the cash would generate in the long run.
The Axon boost
Posted by : Infy_fan_alwaysTracked by: 0 Boarder
The strategic buyout of Axon will increase Infosys share in the high-growth SAP segment and consolidate its position in Europe.
Infosys Technologies chose to finally break the shackles of conservatism last Monday, by making an offer to acquire UK-based SAP consultancy services firm Axon Group for £407.1 million ($753 million or Rs 3,310 crore).
This all-cash deal would make the acquisition the largest overseas acquisition by an Indian IT company, surpassing Wipros buyout of US-based Infocrossing last year for $600 million. This is Infosys second acquisition of an entire company. The first came in December 2003 when it acquired Australian company Expert Information Services for $22.9 million.
The move marks a clear attempt by Indias second largest software services exporter to move up the value chain in the services spectrum and focus on the high-growth business of consulting.
Quite a find
Axon is one of the largest consultancy company in the world, focused exclusively on the provision of SAP services and solutions.
The company has clients spread across diverse sectors including aerospace, retail, manufacturing and utilities in about 30 countries.
The company has a sound track record, with zero-debt on its book and having registered CAGR of 42.7 per cent in revenues and 68.2 per cent in profits over CY2003-07, although a part of the growth has been fueled by the 11 acquisitions that the company has made in the last few years.
For H1 CY08, Axon declared better than expected results, with revenues up 28 per cent year-on-year (y-o-y) to £123.9 million (Rs 1,007 crore) and EBITDA up 17.2 per cent y-o-y to £18.1 million (Rs 147 crore). Consensus research estimates for Axon peg full-year revenues at £244 million and recurring EBITDA at £40.7 million.
Based on these forecasts, the acquisition price represents a multiple of 1.67 times its 2008 revenues and 10 times it’s EBITDA, which is very reasonable, considering that consulting firms are generally valued two to three times their revenue. Though not strictly comparable, Infocrossing acquisition by Wipro was made at 2.6x revenue.
Cashing in on the opportunity
It is probably not a bad time for a buyout because share prices have come off sharply. Axon’s price has corrected by 46 per cent from its 52-week high of £9.28 made in September 2007.
The buy also removes some amount of money from Infosys cash-laden balance sheet. Infosys had $1.7 billion of cash at the end of June 2008, which would come down to about $1 billion, adjusting for the acquisition.
On the earnings front, the acquisition is expected to be largely earnings-neutral. The loss of interest income on the free cash would largely be made up by the earnings from Axon in 2009. The synergies that Infosys derives from the acquisition can thus be considered as an added benefit that the cash would generate in the long run....
Road ahead: Infosys says it will continue to shoot for best margins
Posted by : Infy_fan_alwaysTracked by: 0 Boarder
S. Kris Gopalakrishnan is the quiet self-confessed technology geek who took over the mantle of CEO and MD of Infosys Technologies Ltd in June 2007. Unlike his two predecessors, N.R. Narayana Murthy, who has moved effortlessly into the role of an elder statesman for the IT industry and industry as a whole, and Nandan M. Nilekani, the articulate quintessential big-picture man, Gopalakrishnan is more of a back-room doer. And even now he exudes a sense of having been thrust into the spotlight.
Under his leadership, however, Infosys has made the boldest move in its 27-year existence when, on 25 August, it announced an offer to acquire UK-based IT consulting firm Axon Group Plc. for $753 million, or Rs3,310 crore. In the past, Infosys has preferred to make small, niche acquisitions and has done only two of these—Expert Information Systems Pvt. Ltd and the back-office services assets of Royal Philips Electronics.
The Axon deal bears Gopalakrishnan’s imprimatur although, characteristically, he claims it is a collective decision. Having observed Axon over the last three-four years, Gopalakrishnan says the deal was consummated in just a few weeks.
...
Infosys: Buy
Posted by : Infy_fan_alwaysTracked by: 0 Boarder
Apart from enhancing its consulting and package implementation offerings, the Axon buyout could also strengthen Infosys’ geographic footprint.
With bulging cash coffers and inorganic growth aspirations, Infosys Technologies has for long been scouting for suitable acquisitions. It seems to have finally found an ideal candidate in the Axon Group.
Axon has been a consulting and solutions implementation partner of SAP for the past 14 years. Implementation of SAP, Microsoft or Oracle software packages, is usually an enterprise-wide exercise for most clients. These services also command higher billing rates compared to application development and maintenance services. Axons strength in consulting and solutions implementation is evident from the fact that the company derives 19 and 69 per cent revenues respectively from these two services.
Strengthening its package implementation (enterprise solutions) and consulting services practice, penetration into a client segment where Infosys does not have a big presence (for instance, government clients) and expanding its EMEA (Europe and Middle-East Area) footprint may be key payoffs for Infosys from this proposed acquisition. The acquisition may also add to Infosys strengths in providing enterprise solutions to the BFSI and manufacturing segments. It may, however, be a few years before Axon may add significantly to Infosys EPS.
Reasonable valuation?
At £407 million (Rs 3,258 crore), the buyout consideration is approximately twice Axons 2007 revenues. Its current market capitalisation is £391.6 million (Rs 3,135 crore). The company has grown its revenues at a compounded annual rate of 53 per cent over the past three years. The valuation may, therefore, not be too expensive. With nearly billion (over Rs 8000 crore)cash in its kitty, funding this acquisition may not be a problem for Infosys.
Lower margin profile
This could have set the tone for the creation of a high-margin business for Infosys. But the (net profit) margin profiles for the two companies are quite different; Axons 10 per cent being much lower than Infosys 27 per cent levels due to the formers different cost structure and higher tax rates. A wage cost structure that is 48 per cent of revenues and a tax incidence of 31.5 per cent means that Axon has much lower margins compared to Indian players. Only 350 of its 2,000-odd employees are working offshore (low-cost destinations), that too on application management services. Infosys derived 3 or 24 per cent of its 2007-08 revenues from consulting and package implementation services. Within this, 33 per cent was from SAP package implementation and related services.
Newer verticals
Over the next few years, Infosys could look at creating a larger offshore component and leverage its global delivery model in the enterprise solutions services line to include Axons clients, thus optimising costs. Axons clients comprise those in segments such as government and oil and gas, areas where Infosys is yet to make significant headway. These offerings may turn out to be complementary. The other benefits that Axon bring are strong business process consulting expertise — an area that is not yet a key strength of Indian players — and a substantial presence in the Europe and the fast growing West Asian region (61 per cent of revenues for Axon).
With enterprises in the Americas and Europe looking to expand in the Asia-Pacific region and West Asia, replication of business processes becomes critical. That could well provide considerable business opportunities for Infosys, with added enterprise solutions expertise to tap. Other opportunities for Infosys include the possibility of up-selling and cross-selling services to Axons clients.
In its own business, Infosys has embarked on a series of initiatives for achieving non-linear growth.
Growth initiatives
Its latest version of Finacle tries to offer the entire gamut of banking services and includes features such as Islamic Banking and Wealth Management.
With the investment phase nearly over for this product, this may pave the way for multiple revenue streams in the form of licensing, implementation (with minimum customisation) and maintenance revenues.
Finacle also has substantial domestic presence. Delivering services through a different platform such as Software as a Service (SaaS) is also an initiative.
Together, these initiatives might see a growth in revenues without a proportional growth in manpower recruited, thus enabling margin expansion over a two-three year period.
The acquisition is not a done deal yet. Axon may have counter offers from other suitors that may better Infosys offer, hurting the acquisition or escalating the price.
A prolonged slowdown in the US and Europe would mean lowering or postponing spends on enterprise solutions implementation.
The sunset clause on STPI in 2010, may increase tax incidence for Infosys.
However, apart from changing its service mix in favour of high-margin services and initiatives on achieving non-headcount-linked growth, Infosys has headroom to steer key operating metrics and manage margins.
This makes Infosys one of the best placed Tier-1 IT services player in countering the current challenging macro environment and achieving growth. In this light, investors with a two-year horizon can consider buying the stock.
At Rs 1,740, the stock trades at 17 times its likely 2008-09 earnings.
...
Infy, Wipro, Satyam among Buffett-fit
Posted by : sankarantprTracked by: 0 Boarder
ndia is yet to make its debut on legendary investor Warren Buffett's portfolio, but there are at least three companies from the country -- technology majors Infosys, Wipro and Satyam -- that are fit to make the grade, according to Standard and Poor's.
The world's leading rating agency and investment services provider compiles a list of stocks meeting Buffett's investment criteria twice a year and the latest such portfolio includes the names of the three US-listed Indian IT firms.
Infosys, Wipro and Satyam have been named alongside global giants such as healthcare products major Johnson & Johnson, fast-food restaurant chain McDonald's, IT behemoths Microsoft, Oracle, Qualcomm and SAP as well as BlackBerry- maker Research in Motion in September update of S&P's Buffett Stock Screen.
In the previous edition of this portfolio, released in February, there were a total of 60 stocks, which has declined to 49 in the latest list.
While Satyam has made a comeback after exiting this portfolio in February, a number of big names such as technology major Apple, soft drink giants PepsiCo and Coca- Cola, industrial conglomerate 3M, tobacco major Altria Group, British American Tobacco, China Mobile, Cisco Systems, Diageo and GlaxoSmithKline have made an exit this time around.
Besides, Latin American telecom major America Movil, led by Mexican billionaire Carlos Slim who is ranked as second richest in the world after Buffett, has also moved out of S&P's Buffett screen.
The portfolio includes only those companies listed in the US market and Infosys, Wipro and Satyam have made to the list because of their listings in the country.
The list published in August 2007 has a total 55 stocks including three Indian names -- Infosys, Satyam and Wipro, while the February 2007 list had 56 stocks including two Indian names Infosys and Satyam.
S&P has been updating this Buffett portfolio on semi- annual basis -- in February and August/September -- since 1995 and it includes stocks meeting the criteria that Buffett has emphasised in the past, although these are not necessarily stocks that Buffett has bought or ever plans to buy.
"This screen, developed by Standard & Poor's, is based on criteria the legendary investor has emphasised over his long career. Only stocks with a market capitalization of at least USD 500 million are included," S&P said.
Source:Economic Times...
It will touch 1550.
Posted by : GuestTracked by: 0 Boarder
Keep shaking and waiting .. Infy will not come to 1500 Rs level ..
...
In reply to:
It will touch 1550.
Posted by : Guest
any time frame for this stock to touch 1550/- as i am waiting to buy the stock at that lavel.
deepak
Axon EGM in Oct likely for shareholder OK to Infosys\' buyout offer
Posted by : 9975797577Tracked by: 0 Boarder
Axon Group of UK, which Infosys Technologies Ltd plans to acquire, will likely hold an extraordinary general meeting in October to seek shareholders\' approval for the buyout. ...
infosys trend is looking bullish
Posted by :
TradeMoreTracked by: 0 Boarder
The short term trend is looking bullish and it can go 1900 in near term it needs to sustain above 1700. if 1700 breaks then it may slide towards 1610.
TradeMore...
Infy may not fall below 1500 in 2008....
Posted by : marketmanTracked by: 0 Boarder
Dear novice,infy will continue to maintain its topline figure in another few years even though there is shut down of many financial companies in US.... now the company is concentrating on outside US,that is very positive signal.... yes, as you said the bottomline growth may not be possible as the company has to go for aggressive marketing methods to penetrate into new markets.... so the margins will be under pressure,it has to stic to 15-20% margins in coming terms....
The main advantage for indian IT or export companies is weaker rupee,if the rupee srenghtens to its fair value of 30 against dollar in coming years.... as long as rupee presses down to lower levels intentionally,these IT companies will continue to enjoy by paying higher salaries.......
In reply to:
Infy may not fall below 1500 in 2008....
Posted by : novice1000
dear marketman,
Axon deal adds to the topline... but its effect on the bottomline is very limited atleast in the foreseeable future.
So as far as the bottmline is concerned, hardly can it counter the effect of a US slow down.
However the depreciating Rupee is a definite advantage for Infy in the coming quarters and it can propel the stock to better levels.
As you rightly mentioned downside is very limited in the immediate future.
But from a LT perspective of 3 to 5 years... one has to be very careful with these IT counters.
regards
It will touch 1550.
Posted by : GuestTracked by: 0 Boarder
any time frame for this stock to touch 1550/- as i am waiting to buy the stock at that lavel.
deepak...
In reply to:
It will touch 1550.
Posted by : fekamfaak
It will touch 1550 soon but difficult to go below that 1500.
It will touch 1550.
Posted by : GuestTracked by: 0 Boarder
Impossible to go to 1550. 1700 Rs is strong support. Next target id 1876 Rs by next weekend. Happy Investing....
In reply to:
It will touch 1550.
Posted by : fekamfaak
It will touch 1550 soon but difficult to go below that 1500.
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