Buy Infosys Ltd. target Rs 1196 : Cholamandalam Securities Limited

Cholamandalam Securities Limited has a buy call on Infosys Ltd. with a target price of Rs 1196 .The current market price of Infosys Ltd. is 1022.05 Time period given by analyst is a year when Infosys Ltd. price can reach defined target. Cholamandalam Securities said the Q2FY17 results were in-line with ex pectations but the guidance disappointed. The broker age said the cut in revenue guidance was wayahead of Street expectation. It said the stock is trading at 16.2x FY17 and 14.6x FY18 estimated earnings, which is below its 5-year and 10-year historical average. It said that given the healthy deal wins it maintains a positive view by assigning PE multiple of 17x FY18E EPS.