IT Stock Set To Consider Dividend Next Week, Sharekhan Upgrades To Buy

Board of directors of large cap IT Software sector, Infosys Ltd on September 14 announced that the company will consider declaration of interim dividend, if any on October 12, 2023 and approve financial results of the company for the quarter and half year ending September 30, 2023. Meanwhile, Sharekhan has assigned buy call to Infosys with target price of Rs 1690 per share. Current market price of Infosys Ltd stock is Rs 1435.05 per share on BSE as on September 29, 2023. Check details below:

Infosys To Consider Declaration of Interim Dividend and Approve Quarterly Results: According to the BSE filing dated September 14, 2023, "This is to inform you that a meeting of the Board of Directors of the Company will be held on Wednesday and Thursday, October 11 and 12, 2023 inter alia to:

1. Approve and take on record the audited consolidated financial results of the Company and its subsidiaries as per Indian Accounting Standards (INDAS) for the quarter and half year ending September 30, 2023;

2. Approve and take on record the audited standalone financial results of the Company as per INDAS for the quarter and half year ending September 30, 2023;

3. Approve and take on record the audited financial statements of the Company and its subsidiaries as per INDAS and IFRS for the quarter and half year ending September 30, 2023 and

4. Consider declaration of interim dividend, if any.

The financial results and proposal for interim dividend, if any, will be presented to the Board of Directors on October 12, 2023 for their approval."

Infosys Stock Outlook & Return Over Years: Last trading price of Infosys Ltd share is Rs 1435.05 apiece on BSE. Its 52-week high price is Rs 1672.45 per share and 52-week low price is Rs 1215.45 per share, respectively. The large cap IT Software company has a market capitalisation of Rs 5,95,597.10 crore. Infosys shares declined 5% in last 2-weeks, gained 11% in last 3-months, fell 6% YTD, gained 3% in last 1-year, witnessed decline of 15% in last 2-years, and soared 42% in last 3-years.

Infosys Recent Quarterly Results: The company on July 20, 2023 announced approximately 11% YoY surge in its consolidated net profit for the June quarter to Rs 5,945 crore. Its consolidated revenue soared by 10% YoY to Rs 37,933 crore.

Infosys Valuation: According to Sharekhan, "Despite the uncertain macro environment we believe Infosys remains well placed to win large deals, defend market share given its diversified presence across geographies, well-spread revenue streams across verticals and owing to its sharp focus on strategic clients. We have fine-tuned the earnings estimates for FY25E and introduced FY26 earnings estimates. We expect 8.6%/10.2% Sales and PAT CAGR over FY23-26E. Hence, we upgrade Infosys to Buy rating from Reduce with revised PT of Rs. 1,690 (reflects slightly better multiple and rollover of PE multiple to September 2025 EPS estimate). At CMP, the stock trades at 21.6x/19.1x its FY25/26E EPS."

Disclaimer:

The stock has been picked from the brokerage report of Sharekhan. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.