Zacks Investment Research downgraded shares of Infosys Ltd (INFY) from NEUTRAL to UNDERPERFORM on June 13, 2013, with a target price of $38.00.
Infosys is a leading provider of business consulting, technology, engineering and outsourcing services worldwide. We have downgraded our Neutral recommendation to Underperform on Infosys with a $38.00 target price. Profits during the reported quarter were impacted by delayed decisions by customers, some cancellations of the projects and Hurricane Sandy (as the company primarily has operations in the East Coast). The company, nevertheless, has a strong, large-deal pipeline. However, INFY's conservative approach to commodity work (low-margin work) had an impact on the guidance, but this is not necessarily a negative since there should be a positive impact on profitability. Further, the appointment of Narayana Murthy is also expected to bring in positive news for the company, going forward.
Get all Zacks Research Reports and be alerted to fast-breaking buy and sell opportunities every trading day.
To get a free copy of the research report on Infosys Ltd (INFY),
click here.
For more information about research offerings from Zacks Investment Research, visit
Zacks.com .
Be the first to comment