Infosys double-upgraded to buy from hold by HSBC; target price raised by Rs 325
Infosys shares made it to positive territory in the last hour of trade on Monday after foreign brokerage HSBC revised its rating for the IT giants stock to buy from hold while raising its target price by Rs 325.
Infosys shares turned positive in the fag-end of Monday's session on Dalal Street, shrugging off overall negative moves in the market, after foreign brokerage HSBC reportedly revised its rating for the IT major's stock to 'buy' from 'hold.
The foreign brokerage also revised its target price to Rs 1,795 from Rs 2,120 per share, Zee Business reported.
The target implies a potential upside of 18.1 per cent in the Infosys stock from its previous close.
Infosys shares ended higher by Rs 2.1, or 0.1 per cent, at Rs 1,925.3 apiece on BSE, trading in the positive zone only for the final 20-odd minutes of the session.
In intraday trade, the stock moved between a Rs 33 range between Rs 1,897.5 and Rs 1,930.9 after starting the day on a muted note at Rs 1,923.2 apiece.
Research analyst Kunal Saraogi expects Infosys to gain momentum after the stock takes out key resistance at Rs 1,950.
The entire IT pack is outperforming the overall market and a breakout past the key resistance closeby will take the Infosys shares to higher levels, he told Zee Business.
Infosys Q2 FY25 Results
In October, Infosys reported 3.1 per cent sequential growth in revenue in constant currency and a 2.1 per cent rise in its net profit to Rs 6,506 crore for the quarter ended September 30.
The IT gian's margin—a key measure of profitability—remained steady at 21.1 per cent on a quarter-on-quarter basis.
According to Zee Business research, Infosys's second-quarter net profit was estimated at Rs 6,720 crore, constant currency revenue growth at 3.0 per cent, and margin at 20.9 per cent.
The IT firm declared a dividend of Rs 21 per share with a record date of October 29.
Infosys Shares: Past performance
As of December 9, Infosys shares have grown 29.5 per cent in the past year, outperforming a 17.3 per cent rise in the headline Nifty50 index but underperforming a 34.3 per cent rally in the Nifty IT gauge.
Catch all the latest stock market updates here. For all other news, visit Zeebiz.com.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.