Moneycontrol
Jul 17, 2017 04:59 PM IST | Source: Moneycontrol.com

Buy Infosys; target of Rs 1158: KR Choksey

KR Choksey recommended buy rating on Infosys with a target price of Rs 1158 in its research report dated July 14, 2017.

Buy Infosys; target of Rs 1158: KR Choksey

KR Choksey's research report on Infosys


Revenue in dollar terms stood at $2,651 Mn, up 3.2% qoq and 6% yoy. Dollar revenue was above our estimate of $2,642 Mn, which was due to 1.8 qoq improvement in realizations and 1.7% volumes growth qoq.  •By Geography: India outperformed with a 15.7% qoq growth, followed by ROW at 7.4% qoq growth and Europe at 4.6% qoq growth  •By Industry: Telecom led the pack with a 8.4% qoq growth, followed by Energy & Utilities which grew 7.3% qoq. Growth in the BFSI and Manufacturing segment was soft at 2.6% 2.3% respectively.  •By Services: Testing services led the growth pack with a 6.6% qoq growth, followed by Product Engineering Services at 5.8% qoq growth and Application Development at 3.9% qoq growth.


Outlook


We believe that the company’s deployment of automation amongst other disruptive technologies, both internally and externally, should lead to profitability outpacing revenue growth. We have “BUY” rating on the stock and as we assign multiple of 15x to its FY19E EPS of INR. 77 to arrive at a price target of INR 1,158.


For all recommendations report, click here


Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

X
Sections
Follow us on
Available On