Analyst ratings for Infosys
A number of US equity research firms have issued research reports and ratings for India’s (INDA) Infosys (INFY). Societe Generale raised its rating of the firm from a “sell” to “hold” in September 2015, whereas research firm Susquehanna raised its target price from $19 to $20 and gave Infosys a rating of “neutral” in October 2015.
Meanwhile, Needham & Company reiterated a “hold” rating of Infosys while Zacks Investment Research downgraded Infosys from a “buy” to a “hold” rating in October 2015. Cantor Fitzgerald started coverage of the firm in the same month and provided a “hold” rating with a 12-month price target of $18.
Other analyst recommendations
Out of 13 analysts covering the stock, two have issued “buy” recommendations, and 11 have issued “hold” recommendations. The analyst stock price target for the company is $18.70, with a median target estimate of $18.50. Infosys has a high target estimate of $20.50 and a low target estimate of $16.25. It is trading at a discount of 13.9% to median analyst estimates.
Peer companies in the IT services space such as Accenture (ACN), Wipro (WIT) and Cognizant Technology Solutions Corporation (CTSH) are trading at a discount of 13.9%, 0.5%, and 35.4%, respectively, to median analyst estimates.
In the next and last part of this series, we’ll look at Infosys’s shareholder returns and recent stock trends.