Infosys stock likely to open up 5% today

Infosys' shares could jump on Thursday as investors are likely to cheer it's better-than-expected profits for the September quarter and stronger revenue guidance for FY21. The IT major now expects revenue to grow 2-3% in the ongoing financial year, higher than 0-2% growth it had guided for earlier.

"Infosys posted strong numbers with extremely positive guidance, can expect 4-5% gap up opening and options data shows that the highest open interest is at 1200 call," said Abhilash Pagaria, Senior Manager, Edelweiss Alternative Research.

Infosys' October futures open interest has jumped 43% in the current series along with over 16% jump in futures price which indicates build up of long positions. The stock ended down 1.9% at Rs 1136.10 on the BSE on Wednesday.


Phillip Capital said in a note post results that the company beat expectations on all fronts.

Angel Broking said the raising of the guidance was a big positive.

"Post the second Q2 FY21 numbers we expect big earnings upgrades for FY21 and FY22," said Angel Broking's Deputy VP-Equity Strategist Jyoti Roy.