Infosys shares jump over 5% after Q3 results; brokerages upbeat on guidance hike, deal wins

Infosys Ltd Share Price Today

• Infosys shares rose over 4 percent after Q3 results and raised revenue outlook
• Large deal wins of $4.8 billion boost medium-term revenue visibility
• Brokerages maintain bullish views with higher target prices

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Shares of Infosys Ltd rallied sharply on Friday, rising over 5 percent, as investors reacted positively to the IT major’s Q3 FY26 results, a raised revenue growth outlook, and upbeat brokerage commentary following a strong rally in its US-listed ADRs.

Infosys stock climbed 5.14 percent to a high or Rs 1,682.1 in early trade, marking a firm rebound after the company’s earnings announcement earlier this week. The stock had ended the previous session at Rs 1,608.9 on the NSE.

The buying interest comes despite Infosys reporting a 2.2 percent year-on-year decline in consolidated net profit for the fiscal third quarter, which was weighed down by a one-time labour code-related charge. Investors appeared to look past the headline profit miss, focusing instead on steady constant-currency revenue growth, resilient adjusted margins, and robust large-deal momentum.

Infosys raised its FY26 revenue growth guidance to 3-3.5 percent in constant currency terms, citing improving demand visibility and strong execution, while maintaining its operating margin outlook. Large deal wins stood at $4.8 billion during the quarter, including two mega deals, supporting medium-term revenue visibility.

Sentiment was also supported by a sharp rally in Infosys’ American Depository Receipts, which jumped about 8 percent over two US trading sessions following the results, signalling a positive offshore investor response.

Brokerages reiterated bullish views on the stock after the earnings announcement. CLSA maintained an ‘Outperform’ rating on Infosys with a target price of Rs 1,779 per share, while HSBC reiterated its ‘Buy’ call with a higher target price of Rs 1,870 per share, citing improving demand commentary, greater clarity on AI-led spending, and stabilising US corporate sentiment.

Despite Friday’s sharp rebound, Infosys shares remain down about 13 percent over the past one year, underperforming the Nifty 50, which has risen more than 10 percent over the same period. Brokerages say that this has kept the stock firmly on investors' radar for a potential re-rating.

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