Good set of numbers for Infosys; may lead to revision in valuations: Omkar Tanksale

"But it is very premature to say that the demand scenario has changed completely, maybe in a couple of quarters, we need to understand from the management how the engagements are going and how the deals have been ramping up," says Omkar Tanksale, Axis Securities.

First quick word on Infosys, beat on all parameters, what kind of upgrades do you expect and what is the overall expectation as to how the pecking order within IT changes with these kind of numbers and also will it follow an earnings upgrade cycle that Sandip was talking about?
Omkar Tanksale: There is definitely some pickup in the demand scenario especially from the Northern American side. Even LTIMindtree also said that there is a pickup for BFSI vertical and also Infy has demonstrated good.
But it is very premature to say that the demand scenario has changed completely, maybe in a couple of quarters, we need to understand from the management how the engagements are going and how the deals have been ramping up.
The headcount is still on the negative side, so they are not hiring aggressively as during the COVID times and the attrition is still being moderated.


So, it is premature to say there is a strong pickup in the demand side. But I definitely believe there are some green shoots in some pockets, maybe on verticals like BFSI, manufacturing, and also the other verticals. But yes, I mean definitely it is a good set of numbers and will likely have a positive impact and maybe there will be a revision on the valuation part.