Infosys' (INFY) Neutral Rating Reaffirmed at JPMorgan Chase & Co.

Key Points

• JPMorgan reaffirmed Infosys at “neutral” but cut its price target to $10.90 from $12.70, implying only modest upside from current levels.
• Other analysts remain cautious as well: the stock now carries a consensus rating of “Reduce” with an average target price of $12.19, and most ratings are Hold.
• Infosys recently reported earnings that missed expectations, with EPS of $0.20 versus $0.21 expected and revenue of $4.99 billion versus $5.09 billion forecast, though the company also highlighted AI-related revenue growth and strong deal wins.

Infosys (NYSE:INFY - Get Free Report)'s stock had its "neutral" rating reissued by JPMorgan Chase & Co. in a report released on Friday,Benzinga reports. They currently have a $10.90 price target on the technology company's stock, down from their previous price target of $12.70. JPMorgan Chase & Co.'s price target would indicate a potential upside of 1.82% from the stock's current price.

Several other equities research analysts have also commented on the company. Stifel Nicolaus set a $13.00 price objective on Infosys and gave the stock a "hold" rating in a research note on Thursday, July 16th. Wells Fargo & Company set a $11.00 price objective on shares of Infosys and gave the stock an "equal weight" rating in a research report on Friday, June 26th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Infosys in a report on Monday, June 8th. HSBC set a $11.47 price objective on Infosys in a research note on Friday. Finally, Susquehanna dropped their target price on Infosys from $14.00 to $12.00 and set a "neutral" rating on the stock in a report on Friday, July 10th. Eight investment analysts have rated the stock with a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company presently has a consensus rating of "Reduce" and an average target price of $12.19.

Infosys Stock Down 2.1%

Shares of INFY opened at $10.71 on Friday. The company has a market capitalization of $43.32 billion, a price-to-earnings ratio of 13.38, a PEG ratio of 1.43 and a beta of 0.90. Infosys has a 52 week low of $10.30 and a 52 week high of $30.00. The stock's 50-day moving average price is $11.64 and its 200-day moving average price is $13.73.

Infosys (NYSE:INFY - Get Free Report) last posted its earnings results on Thursday, July 23rd. The technology company reported $0.20 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.21 by ($0.01). Infosys had a net margin of 16.44% and a return on equity of 32.64%. The firm had revenue of $4.99 billion during the quarter, compared to analyst estimates of $5.09 billion. As a group, equities analysts anticipate that Infosys will post 0.82 EPS for the current fiscal year.

Hedge Funds Weigh In On Infosys

Hedge funds and other institutional investors have recently modified their holdings of the company. Oldfield Partners LLP lifted its holdings in Infosys by 41.3% in the 2nd quarter. Oldfield Partners LLP now owns 53,193 shares of the technology company's stock worth $558,000 after buying an additional 15,560 shares in the last quarter. E. Ohman J or Asset Management AB lifted its holdings in shares of Infosys by 3.7% in the 2nd quarter. E. Ohman J or Asset Management AB now owns 251,900 shares of the technology company's stock worth $2,642,000 after purchasing an additional 9,000 shares during the last quarter. Foster Group Inc. acquired a new position in shares of Infosys during the second quarter valued at $127,000. Confluence Investment Management LLC grew its position in Infosys by 19.1% in the 2nd quarter. Confluence Investment Management LLC now owns 17,636 shares of the technology company's stock worth $185,000 after purchasing an additional 2,826 shares during the last quarter. Finally, Glenmede Trust Co. NA increased its stake in shares of Infosys by 17.8% in the first quarter. Glenmede Trust Co. NA now owns 21,055 shares of the technology company's stock valued at $284,000 after purchasing an additional 3,179 shares during the period. 16.20% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Infosys

Here are the key news stories impacting Infosys this week:

• Positive Sentiment: Infosys said AI revenues reached 8.2% of sales in Q1, showing continued traction in higher-growth services. Infosys: AI Revenues at 8.2% in Q1; Resilient Operating Margin of 21.1%
• Positive Sentiment: The company highlighted $3.6 billion in large deal wins, with 61% net new, and strong free cash flow of $0.96 billion, which supports the investment case. Infosys: AI Revenues at 8.2% in Q1; Resilient Operating Margin of 21.1%

About Infosys

Infosys Ltd. is a digital services and consulting company, which engages in the provision of end-to-end business solutions. It operates through the following segments: Financial Services, Retail, Communication, Energy, Utilities, Resources, and Services, Manufacturing, Hi-Tech, Life Sciences, and All Other. The company was founded by Dinesh Krishnan Swamy, Senapathy Gopalakrishnan, Narayana Ramarao Nagavara Murthy, Raghavan N. S., Ashok Arora, Nandan M. Nilekani, and S. D. Shibulal on July 2, 1981 and is headquartered in Bangalore, India.

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