Buy Infosys, target price Rs 2160: Emkay Global

Emkay Global has buy call on Infosys with a target price of Rs 2160. The current market price of Infosys Ltd. is Rs 1878.4. Time period given by analyst is one year when Infosys Ltd. price can reach defined target.

Infosys Ltd., incorporated in the year 1981, is a Large Cap company (having a market cap of Rs 799172.55 Crore) operating in IT Software sector.

Infosys Ltd. key Products/Revenue Segments include Software Development Charges and Software Products for the year ending 31-Mar-2021.



Financials
For the quarter ended 31-12-2021, the company reported a Consolidated Total Income of Rs 32379.00 Crore, up 7.48 % from last quarter Total Income of Rs 30126.00 Crore and up 22.01 % from last year same quarter Total Income of Rs 26538.00 Crore. Company reported net profit after tax of Rs 5822.00 Crore in latest quarter.


Investment Rationale
The brokerage increases earnings estimates by 1.3%/1.5%/2.5% for FY22/FY23/FY24, factoring in the Q3 beat. It maintains Buy with a revised TP of Rs2,160 (earlier Rs 2,100) at 30x Dec’23E EPS, considering strong earnings momentum and a robust demand environment.

Promoter/FII Holdings
Promoters held 13.12 per cent stake in the company as of 30-Sep-2021, while FIIs owned 33.46 per cent, DIIs 15.65 per cent.