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As of 2026-08-25
On August 21, 2026, Kotak Institutional Equities turned cautious on Indian IT stocks, downgrading Infosys, TCS, and LTM, and expressed concerns about Infosys's exposure to application services in the current AI adoption phase. Kotak anticipates Infosys may underperform TCS, HCLTech, and Cognizant in organic growth for FY2027. Additionally, CLSA also downgraded five large-cap IT stocks, including Infosys, on August 19, 2026, with expectations that AI will constitute one-third of their revenue only by FY2031.
For the quarter ending June 30, 2026 (Q1 FY2026-27), Infosys reported a Profit Before Tax of ₹11,028 crore, an increase from ₹10,797 crore in the previous quarter (Q4 FY2025-26). Net Profit for the quarter was ₹7,775 crore, up from ₹8,509 crore in Q4 FY2025-26. The company's Net Profit Margin for Q1 FY2026-27 was 16.11%.
As of August 21, 2026, Infosys is in a weak downtrend on a daily timeframe, with its price below the 20-day and 50-day Simple Moving Averages (SMA). The weekly timeframe indicates a moderate downtrend, with the price below the 20-day and 50-day Exponential Moving Averages (EMA) and a bearish SuperTrend. The stock is currently trading at ₹1121.0, which is below its S1 support level of ₹1122.23.
Infosys is currently experiencing 'high risk' according to its technical outlook. A primary driver of this risk is that the price remains materially below a previous peak, with a current drawdown of -0.43. The annualized volatility is reported at 0.287, and the Average True Range (ATR) as a percentage of the price is 2.45%.
Looking at the quarterly shareholding pattern, Domestic Institutional Investors (DIIs) increased their stake from 35.62% in March 2024 to a projected 43.19% by March 2026. Conversely, Foreign Institutional Investors (FIIs) are projected to decrease their stake from 34.11% in March 2024 to 28.45% by March 2026. The promoter holding remained relatively stable, projected to be 14.38% by March 2026 from 14.71% in March 2024.
Recent drawdown or price variability is materially high and may lead to larger short-term outcomes.
Primary driver: Price remains materially below a previous peak
Trading activity was substantially higher than usual and the price closed lower.
This may reflect stronger-than-usual market participation; follow-through and relevant company or market news merit review.
The session opened materially below the previous close, indicating a sharp repricing at the open.
The price gap may increase short-term downside uncertainty and warrants review of the underlying context.
Trading activity was substantially higher than usual and the price closed higher.
This may reflect stronger-than-usual market participation; follow-through and relevant company or market news merit review.
Trading volume was unusually high, but the closing price did not show a clear directional move.
This indicates increased participation without a clear directional signal.
Latest complete financial results for Q1 FY2027 and comparative quarterly trends.
| Metric | Q1 FY2026-27(Latest) | Q4 FY2025-26 | Q3 FY2025-26 | Q2 FY2025-26 | Q1 FY2025-26 |
|---|---|---|---|---|---|
| Profit Before Tax | PEAK₹11,028 crore | ₹10,797 crore | ₹9,229 crore | ₹10,229 crore | ₹9,740 crore |
| Tax Expense | PEAK₹3,253 crore | ₹2,288 crore | ₹2,563 crore | ₹2,854 crore | ₹2,816 crore |
| Profit Loss For Period | ₹7,775 crore | PEAK₹8,509 crore | ₹6,666 crore | ₹7,375 crore | ₹6,924 crore |
| Segment Profit Before Tax | PEAK₹11,028 crore | ₹10,797 crore | ₹10,799 crore | ₹10,229 crore | ₹9,943 crore |
| Expenses | PEAK₹38,167 crore | ₹36,764 crore | ₹36,100 crore | ₹35,243 crore | ₹33,581 crore |
| Finance Costs | PEAK₹119 crore | ₹105 crore | ₹100 crore | ₹106 crore | ₹105 crore |
Infosys Limited reported year-on-year increases in both revenue and profit before tax for the quarter ended 30 June 2026. However, a large jump in income tax expense pushed net profit lower compared with the previous quarter, even as pre‑tax earnings improved.
Revenue from operations reached ₹48,211 crore, a 14.0% rise from ₹42,279 crore in the same quarter a year earlier. Sequentially, revenue grew 3.9% from ₹46,402 crore in the March 2026 quarter.
Total expenses were ₹38,167 crore, up 3.8% from the prior quarter and 13.7% higher than the year-ago quarter.
Profit before tax (PBT) rose to ₹11,028 crore, a sequential gain of 2.1% from ₹10,797 crore and a year-on-year increase of 13.2% from ₹9,740 crore.
Segment profit before tax was also ₹11,028 crore, matching the statutory PBT figure for the quarter.
Income tax expense climbed to ₹3,253 crore from ₹2,288 crore in the previous quarter — a jump of 42.2%. The effective tax rate moved to 29.5%, up from 21.2% in the March quarter.
As a result, net profit fell to ₹7,775 crore from ₹8,509 crore sequentially, a decline of 8.6%. Compared with the same quarter last year (₹6,924 crore), net profit was 12.3% higher.
Basic earnings per share (EPS) were ₹19.19, down from ₹21.01 in the prior quarter but up from ₹16.70 a year earlier. Diluted EPS stood at ₹19.17, closely tracking the basic figure.
Other comprehensive income was ₹371 crore, lower than the ₹1,055 crore recorded in the March 2026 quarter and the ₹1,113 crore in the year-ago quarter.
Infosys reported Q1 revenues of $5,082 million, with year-on-year growth of 2.4% and sequential growth of 1.0% in constant currency. Operating margin was 21.1%, a sequential increase of 0.2%, and EPS grew 14.9% year on year in rupee terms. Total contract value of large deal wins was $3.6 billion, with 61% net new. The company revised its FY27 revenue guidance to 1.5%-3.0% in constant currency and retained operating margin guidance at 20%-22%.
Infosys grew revenue and profit before tax on both a sequential and a year‑on‑year basis. A sharp rise in the effective tax rate, however, caused net profit to contract from the prior quarter, entirely offsetting the pre‑tax improvement. The quarter’s earnings pattern highlights how tax expense swings can materially affect reported profitability even when the underlying business expands.
Exchange disclosures and regulatory announcements for Infosys.
On August 25, 2026, Infosys Limited released a press announcement for its research report titled 'The AI ROI Gap: Turning Bold AI Investments into Measurable Enterprise Value,' which surveyed over 1,000 U.S. senior executives regarding artificial intelligence adoption. The findings indicate that while 80% of executives view AI as critical for revenue growth, 25% report returns falling below expectations, with the strongest measurable gains occurring in operational efficiency and speed to market rather than direct revenue generation. Key barriers identified include difficulties in measuring success, with two-thirds of organizations struggling to track ROI, and scaling challenges where fewer than 25% of AI pilots successfully move to enterprise-wide deployment.
Infosys Limited announced a schedule of institutional investor meetings, including a Non-Deal Roadshow in Mumbai on August 31, 2026, at 12:00 PM and a BofA India IT Virtual Call Series on September 2, 2026, at 6:00 PM. The events will involve group and one-on-one sessions with multiple investors, coordinated by Sandeep Mahindroo, Financial Controller and Head-Investor Relations.
Infosys Limited announced that its management will participate in investor meetings: a Non-Deal Roadshow in Mumbai on August 31 and September 1, 2026, with group and one-on-one meetings, attended by CFO Jayesh Sanghrajka, Financial Controller and Head of Investor Relations Sandeep Mahindroo, and other IR representatives; and the BofA India IT Virtual Call Series on September 2, 2026, as a virtual group call, attended by Chief Delivery Officer Satish H.C., Chief Technology Officer Mohammed Rafee Tarafdar, and Sandeep Mahindroo. The disclosure was made on August 25, 2026, to stock exchanges and will be posted on the company's website.
On August 24, 2026, Infosys Limited's Board of Directors appointed Mitrankur Majumdar as Segment Head for Services Utilities Resources and Energy (SURE) and Senior Management Personnel with immediate effect. This appointment follows the recommendation of the Nomination and Remuneration Committee and coincides with the current SURE head, Ashiss Kumar Dash, transitioning to external training and CEO designate activities.
On August 24, 2026, Infosys Limited allotted equity shares under its ESOP/ESPS scheme following a Board decision on August 20, 2026. The allotment increased the paid-up share capital from INR 20,290,282,985 to INR 20,291,162,310 and raised the total number of shares from 4,058,056,597 to 4,058,232,462.
On August 24, 2026, Infosys Limited allotted 175,865 equity shares with a face value of ₹5 each to eligible employees following the exercise of Restricted Stock Units, pursuant to a Board resolution dated August 20, 2026. The allotment comprised 18,228 shares under the 2015 Incentive Compensation Plan and 157,637 shares under the Infosys Expanded Stock Ownership Program 2019. Consequently, effective August 24, 2026, the company's issued and subscribed share capital increased to ₹20,29,11,62,310 divided into 4,05,82,32,462 equity shares.
On August 19, 2026, the Infosys Employee Benefits Trust sold 2,292 equity shares of Infosys Limited via an off-market transaction for a total value of INR 2,566,582. Following this disposal, the Trust's holding decreased from 7,924,254 shares to 7,921,962 shares, maintaining a shareholding percentage of 0.0019%. The company secretary and compliance officer, Manikantha A.G.S, filed this disclosure under Regulation 7(2) on August 20, 2026.
On August 19, 2026, Infosys announced that its AI-amplified marketing suite, Infosys Aster, was recognized as a Leader in Everest Group's Marketing Transformation Services PEAK Matrix® Assessment 2026. The assessment evaluated 29 service providers based on vision, capabilities, and market impact, highlighting Infosys Aster's proprietary IP, AI-first capabilities, and Adobe-led transformation proposition. This recognition underscores the company's ability to deliver scalable, AI-powered marketing transformation and agentic commerce solutions for global enterprises.
Infosys announced a strategic, long-term collaboration with Knorr-Bremse AG on August 18, 2026, to accelerate AI-enabled enterprise transformation. Infosys will deliver end-to-end managed services across Knorr-Bremse's global SAP and PLM application landscape as part of Knorr-Bremse's Tech4Value (T4V) IT transformation program, leveraging Infosys Topaz with generative and agentic AI technologies. The scope covers the full enterprise application stack for both Rail and Commercial Vehicle divisions, aiming to modernize IT systems, improve operational efficiency, and enhance service quality.
Infosys Limited announced a schedule of analyst and institutional investor meetings to be held between August 21 and August 27, 2026. The events include sessions in Chicago on August 21 at 19:00, Hong Kong on August 24 at 09:30, New York on August 25 at 18:30, Kuala Lumpur on August 26 at 07:00, Boston on August 27 at 18:00, and Singapore on August 27 at 06:00.
Infosys Limited announced institutional investor meetings scheduled for August 14, 2026, at the Equirus Annual India Conference in Mumbai and August 17, 2026, at the Motilal Oswal 22nd Annual Global Investor Conference 2026, both in Mumbai. The meetings will feature group and one-on-one sessions with multiple investors in person, coordinated by Sandeep Mahindroo, Financial Controller and Head-Investor Relations.
Infosys Limited announced that its management representatives will attend the Equirus Annual India Conference in Mumbai on August 14, 2026, and the Motilal Oswal 22nd Annual Global Investor Conference in Mumbai on August 17, 2026. Participants for these investor meetings include Sweta Sheth (Principal – Investor Relations), Sandeep Mahindroo (Financial Controller and Head – Investor Relations), and Ganesh Ramasubramanian (AVP – Investor Relations). The notice was issued by Company Secretary A.G.S. Manikantha on August 10, 2026.
Infosys and Crocs, Inc. entered into a ten-year strategic agreement on August 6, 2026, to accelerate Crocs' IT system transformation and optimize global operational capabilities. This collaboration will leverage Infosys' AI-first platforms to modernize Crocs' core business and IT systems, aiming to simplify operations, reduce costs, and enable scalable growth across its retail footprint.
Infosys and Metsä Group have expanded their multi-year strategic collaboration to drive AI-led IT transformation, with Infosys supporting Metsä Group's IT landscape modernization using Infosys Topaz Fabric. This expanded engagement, effective August 5, 2026, will cover application management, cloud operations, workplace services, and IT/OT interface support across Metsä Group's global operations.
On August 4, 2026, HDFC Bank announced the successful deployment of Infosys Finacle's Wealth Management Solution to modernize its wealth operations. This deployment replaces legacy systems with a modern, API-driven platform integrating domestic and offshore wealth operations across 12 asset classes, aiming to enhance client experience and operational efficiency.
Infosys Limited has informed the Exchange about Copy of Newspaper Publication |SUBJECT: Copy of Newspaper Publication
Investec has selected Infosys Finacle SaaS Platform on Microsoft Azure for a digital banking transformation across South Africa, the UK, Mauritius, and the Channel Islands. This multi-country program involves migrating from legacy platforms to Finacle's Deposits, Lending, Virtual Accounts Management, and Liquidity Management solutions on a SaaS platform. The goal is to enhance agility, operational efficiency, and meet regulatory compliance, enabling more intelligent banking experiences and accelerated lending growth.
Infosys Limited has disclosed the transcripts for its earnings call held on July 23, 2026. The call concluded at 18:30:00. These transcripts were uploaded to the company's website on July 28, 2026, at 20:33:00, following a prior intimation to the exchange on July 14, 2026.
Infosys announced the successful migration of NTN Corporation's e-commerce platform, e-WINGS, from on-premise SAP Commerce to SAP Commerce Cloud 2211 on July 28, 2026. This collaboration, powered by Infosys Cobalt, aims to enhance platform reliability, improve IT operations, and streamline maintenance for NTN Corporation, a leading manufacturer of precision equipment.
Infosys announced Ashiss Dash will succeed Salil Parekh as CEO on April 1, 2027, following Parekh's term ending March 31, 2027. The company reported Q1 revenue growth of 2.4% year-on-year, with AI services at 8.2% of revenue. Guidance for the fiscal year was revised to 1.5%-3% constant currency growth, with operating margin guidance remaining at 20%-22%.
On July 24, 2026, DRIEETS Île-de-France imposed a fine of €175,000 on Infosys Limited due to non-compliance of its working time recording system with French legal requirements. The authority cited shortcomings in reliability, auditability, and monitoring capabilities for certain employee categories. Infosys stated there is no material impact on its financials, operations, or other activities.
Infosys Limited received a communication on July 24, 2026, from DRIEETS Île-de-France regarding a total fine of €175,000. The authority alleged non-compliance with French working time recording system requirements for certain employee categories, citing issues with reliability, auditability, and monitoring. The company stated there is no material impact on its financials, operations, or other activities.
Infosys Limited published newspaper advertisements on July 24, 2026, announcing its financial results for the quarter ended June 30, 2026, in compliance with SEBI regulations. The advertisements appeared in English and Kannada newspapers and will also be available on the company's website.
Recent market and company developments associated with Infosys.
Kris Gopalakrishnan emphasizes India's rise as a global hub for R&D and innovation during a Foundation Day address in Coimbatore.
Despite weak operating leverage and higher investments, IT services companies maintained stable profitability, supported by effective cost-control measures and favourable currency movements, according to a Systemix report.
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The TCS-Porsche deal is the latest of at least nine transactions in which IT firms acquired clients’ technology businesses alongside large outsourcing mandates, as organic growth slows.
Infosys Bonus Payouts: For PL4 employees, payouts stand at 80 per cent for outstanding performers, while PL5 employees see 78 per cent.
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Over the past five years, six prominent Nifty companies have reported negative returns. Tata Consultancy Services and Infosys struggle under the strain of evolving IT service landscapes. Hindustan Unilever has seen a dip in stock value driven by weak rural demand and intensified competition. Meanwhile, HDFC Life Insurance is grappling with slower growth and profitability challenges, and both Asian Paints and HDFC Bank have also faced considerable declines.
Infosys, TCS, HCL Tech, Wipro and other IT stocks are in focus after the US Department of Homeland Security proposed a $103,265 fee on H-1B cap-subject petitions. The charge would be additional to existing fees and could generate $8.8 billion annually, based on 85,000 petitions. The proposal is not final and will undergo a 30-day public comment period.
Indian technology companies have historically been among the biggest users of the H-1B programme, making any sharp increase in visa-related costs an important monitorable for the sector.
India Business News: Infosys, India’s second largest IT services major, has reportedly awarded its eligible employees an average performance bonus of 70% for the April-Jun.
During the April-June quarter, Infosys maintained an average performance bonus of 70%, consistent with the previous quarter but lower than the previous year. Notably, employees in job levels four and five received marginally higher bonuses. The broader technology sector is currently grappling with reduced spending and economic uncertainty, creating apprehension among employees who are now seeking clarification on annual salary hikes.
At 9:16 am, the BSE Sensex was up 205 points, or 0.26%, at 77,746.06, while the NSE Nifty rose 0.20% to 24,301.40, compared with its previous close of 24,252.
Indian CEOs must build real AI products and solutions, moving beyond simple chatbot experiments. Companies are accelerating AI adoption and need to identify complex problems for dedicated task forces. Anthropic India is collaborating with major banks and institutions on various AI initiatives. McKinsey estimates AI's economic value at $4.4 trillion, with India investing billions.
Indian IT stocks, Nifty IT, Kotak on Indian IT, IT stocks calls, TCS stock rating, infosys stock outlook, Coforge share price target, IT analyst review
For Infosys, Kotak Institutional Equities noted that it is at a slight disadvantage in the current phase of enterprise AI adoption due to a marginally higher exposure towards application services. The brokerage has warned that it is set to underperform on organic growth compared to TCS, HCLTech and Cognizant in financial year 2027.
Muted open follows Thursday’s rebound, when the Nifty gained 154 points and the Sensex rose 628 points, snapping a seven-session losing streak
At 9:14 am, the BSE Sensex trades at 77,395.70, up 486.02 points, or 0.63%, while the NSE Nifty is at 24,205.05, up 126.75 points, or 0.53%.
Leaders still have to raise the sails. That is the real shift: from optimiser to navigator. Optimising assumes conditions are stable enough to fine-tune around. Navigating assumes disruption will arrive without warning and the job is to hold course regardless.
In this assessment, Everest Group evaluated and categorized 29 service providers based on their vision, capabilities, and market impact. Infosys Aster is recognized for bringing strong proprietary IP, AI-first capabilities, and integrated ecosystem partnerships to drive measurable business outcomes. The assessment also highlights Infosys' strengths in agentic commerce capabilities, enabling AI-powered discovery, selection, purchase, and commerce experience optimization, alongside its Adobe-led marketing transformation proposition.
Sensex falls 326 points and Nifty slips 77 points on August 19. Check why Indian markets fell, sector performance and top gainers and losers.
For TCS, Infosys and HCLTech, CLSA expects AI to become one-third of their overall revenue only by financial year 2031, a figure which currently stands at 10%, 9%, 6% respectively for these three companies. It is only then, that they will be able to deliver 6.1%, 5.6% and 6.4% growth respectively during financial year 2031, the brokerage added.
Leaders still have to raise the sails. That is the real shift: from optimiser to navigator. Optimising assumes conditions are stable enough to fine-tune around. Navigating assumes disruption will arrive without warning and the job is to hold course regardless.
July was a busy month for HDFC Mutual Fund, which ramped up its investments by increasing its stakes in about 422 stocks. Simultaneously, the fund reduced its involvement in 164 stocks, affecting numerous prominent companies. They integrated five new stocks and fully exited from J.B. Chemicals and Nilkamal. HDFC Mutual Fund now manages a total of around 703 stocks, heavily weighted towards financial services.
IT stocks, crude oil
Indian equity markets extended losses on Tuesday as the expiry of the temporary US-Iran ceasefire revived concerns over Middle East tensions and higher crude prices. The Sensex fell 261 points, while the Nifty declined 0.23% in early trade. Weak IT stocks and rising US bond yields further pressured sentiment
Comprehensive Section Breakdown for Infosys
Strategic Vision: IT services and consulting for digital transformation.
Category: B2B Services
Assists clients in defining their digital transformation strategy, business case, and target operating models.
Category: B2B Services
Implements defined systems, integrating software platforms and migrating workloads to the cloud.
Category: B2B Services
Manages ongoing back-office operations and customer-facing processes, collecting feedback to drive further systems optimization.
Category: B2B Services
Develops, licenses, and supports software products, offering platforms in automation and artificial intelligence.
Key Products & Services: AssistEdge
Category: Financial Services
An API-first, cloud-native banking platform supporting retail banking, wealth management, corporate cash management, and payments infrastructure.
Key Products & Services: Finacle
Core Thesis: Infosys integrates specialized consulting, software implementation, and operations management capabilities to support clients throughout the digital lifecycle.
• Client Lifecycle Loop: Engagement begins with consulting to define strategy, followed by IT services for implementation, and BPM for ongoing operations and feedback. • Sector and Capability Matrix: Operations are aligned using a matrix structure with industry business units interfacing directly with clients and collaborating with technology hubs. • Product Strategy via EdgeVerve: EdgeVerve focuses on developing and licensing software products like automation and AI platforms, distinct from the IT services model. • Strategic Role of Finacle: Finacle, a banking solution, is embedded as the transactional engine, facilitating downstream IT service opportunities.
• Integration of consulting, IT services, and business process management.
• Matrix structure aligning industry expertise with technology hubs.
• Product offerings in automation and AI through EdgeVerve.
• Embedded banking solutions through the Finacle platform.