Moneycontrol Be a Pro
Get App
Last Updated : Apr 16, 2019 04:37 PM IST | Source: Moneycontrol.com

Hold Infosys; target of Rs 761: KR Choksey

KR Choksey recommended hold rating on Infosys with a target price of Rs 761 in its research report dated April 15, 2019.

Broker Research @moneycontrolcom
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

KR Choksey's research report on Infosys


Revenue in constant currency terms grew 11.7% yoy to USD 3,060mn in Q4 FY19 (up 2.1% qoq) which was above our estimates of $3,031 mn. The revenue growth was supported by improvement in global IT spending environment across key verticals, especially Communications and Healthcare. Operating margin of 21.4% in Q4 FY19 was down 113 bps qoq (down 191 bps yoy) impacted by higher direct cost % of revenue.


Outlook


Infosys is currently trading at a P/E multiple of 19.5x/18.5x on FY20E/FY21E earnings. We conservatively apply a P/E multiple of 19.8x to the FY20 estimated EPS of INR 38.4 to arrive at a revised target price of INR 761 per share, an upside of 2% over the CMP. Accordingly, we reiterate our HOLD rating.


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.




The Great Diwali Discount!
Unlock 75% more savings this festive season. Get Moneycontrol Pro for a year for Rs 289 only.
Coupon code: DIWALI. Offer valid till 10th November, 2019 .
First Published on Apr 16, 2019 04:37 pm
Loading...
Sections
Follow us on
Available On
PCI DSS Compliant