Infosys share price target after Q2 results: Brokerages have turned cautious on Infosys after its July-September results. The IT major has lowered its revenue growth forecast for the year, and analysts say weak pricing and slow demand could keep a lid on the stock.
On Friday, the company reported a 6.2 per cent rise in consolidated net profit to Rs 7,823 crore for the second quarter ended September 30, driven by an increasing share of AI-led projects in its revenue mix.
Here is what Nuvama, Emkay Global, DAM Capital and Equirus Securities recommend, along with their latest Infosys share price targets.
The company registered a net profit of Rs 7,364 crore a year ago. It reported a stable margin of 21 per cent year-over-year but reduced revenue guidance for the rest of the year in the 1-2 per cent range from 1.5 to 3 per cent projected earlier, mainly due to pricing pressure.
“This deal (USD 2 billion) is expected to contribute to over 1 per cent revenue growth in the coming financial year. Our AI revenue was 10.5 per cent and grew 29 per cent quarter-on-quarter. As enterprises move to AI adoption at scale, the strong growth in AI revenues is a recognition of our differentiated market positioning and client confidence,” he said.
Parekh said cybersecurity is a large opportunity for Infosys, and it is helping some clients build protection using frontier AI models.
The company’s operating margin was stable at 21 per cent YoY.
“Based on our Q2 performance and revised outlook for the rest of the year, our revenue growth guidance is 1 per cent to 2 per cent year-over-year in constant currency terms. Operating margin guidance remains at 20 per cent to 22 per cent for the year,” Parekh said.
The company announced an interim dividend of Rs 26 per share. “Declared an interim dividend of Rs 26 per equity share, fixed November 3, 2026, as a record date and November 11, 2026, as a payout date,” read an exchange filing.
Infosys share price target 2026
Following the Q2 results, brokerages Nuvama, Emkay, Dam Capitals and Equirus and shared their outlook on the stock.
Nuvama downgrades Infosys to Hold
Nuvama has downgraded Infosys to “Hold”, calling it a modest quarter with an underwhelming outlook. The brokerage has set a share price target of Rs 1,200, with the stock at Rs 1,155.
Dam Capital keeps Neutral on Infosys
Dam Capital has kept its Neutral rating on Infosys, saying the guidance cut and weak near-term outlook weigh on the stock.
It has a target price of Rs 1,190, which implies a 3 per cent upside from the current price of Rs 1,155.
Dam Capital expects growth to stay muted in the near to medium term, with earnings growth estimated at about 5 per cent a year. It values the company at 15 times its FY28 earnings, which gives the Rs 1,190 target.
Euirus Securities sets Infosys target price at Rs 1,245
Euirus Securities has a target price of Rs 1,245 on Infosys, with the stock at Rs 1,154. It has a “Long” rating on the stock, which is under review.
The company’s market cap is Rs 4,685 billion.
Emkay Global keeps Buy on Infosys
Emkay Global has kept its Buy rating on Infosys, showing confidence in the stock despite the results and the guidance cut. The brokerage has retained its target price of Rs 1,300, which implies a potential upside of 12.55 per cent from the current price of Rs 1,155.
Emkay believes that despite the weak performance and the guidance cut, the stock’s valuation has become quite undemanding. The brokerage praised the USD 5.2 billion in large deals won in the quarter and the USD 2 billion mega deal, which will add more than 1 per cent to growth in FY28. It values the stock at 16 times its September 2028 estimated earnings per share and sees AI growth as a long-term positive change.