Infosys is one of India’s biggest IT companies after TCS. Infosys offers consulting, technology, outsourcing, and digital services to clients.
Let’s discuss Infosys’ share target price by 2030 in detail.
Infosys Share Price Target by 2030
Infosys’ share price is currently trading around Rs 1370-80. The IT giant stock has given a negative return of -15% in the last one year.
Infosys reported that its net profit of Rs 5,350 crore for the June 2023 quarter declined by 5.7% compared to Rs 5,685 crore made in the March 2023 quarter. The reason for this dip in profit is mainly because they gave wage hikes to their employees.
However, Infosys’s revenues have increased by 6.79% compared to the March 2023 quarter. So, it earned Rs 34,450 crore in revenues during this period.
In a nutshell, Infosys faced a decline in profit due to wage hikes, but its revenues showed healthy growth which shows Infy’s resilience in challenging times.
But according to research analysts, Infosys could give you better returns of up to 28-30% in the long run and you can expect Infosys to trade around Rs 2100 by 2030 and its EPS can also cross Rs 80.
Let’s explore the Infosys future price target for different years.
#1. Infosys Share Price Target for 2024
According to market experts, Infosys’s stock price fell recently because of investor worries about the upcoming US economic recession that created selling pressure.
Experts are expecting a further correction in the IT stock price in the upcoming months and you can expect Infosys could be trading around Rs 1250-1300 by the end of this quarter and that can be a good time for investing in this IT stock.
However, Infosys is still generating good revenues and profit growth is also there, 65% of the research analysts have a buy call for Infoys with a target price of up to Rs 1500 by the end of the 2024 year.
#2. Infosys Share Price Target for 2025
CNBC’s Research analysts have a positive view of Infosys from a long-term investment perspective. They expect a comeback from Infosys and other IT stocks in the long run when the winter will be over.
According to Business Today experts, Infosys has the potential to give up to 21% returns by 2025 and you can expect it at a price range of Rs 1,550-1650.
#3. Infosys Share Price Target by 2030
As I have mentioned earlier, all investing experts consider Infosys to be a good buy from a long-term perspective. If you have a goal of keeping the IT stock by 2030, then you can expect a handsome return of around 28%-30%, as per the Business Today analysis.
In the year 2026-27, the share price can touch the Rs 1650-1750 range and you can expect Infosys stock to trade around Rs 2100 by 2030.
You can also read our analysis of the Wipro share price target for 2025, another IT stock that you can also analyze for investment purposes.
Fundamental Analysis of Infosys
Do you know? Infosys’s annual revenue in 2022-23 surged by 20.7% compared to the fiscal year 2021-22, showcasing its resilience and adaptability even amidst challenging times.
Revenue growth: Infosys has shown consistent growth in its revenues on a yearly basis from the past years.
|Revenue (in crores)
There’s no doubt that revenue growth in the year 2022-23 is 0.8% less than the revenue growth in the previous year (snapshot below). But that is due to the slowdown in the US market which is the major contributor to Infosys’s total business.
Profit growth: Infosys has shown a positive trend in profit growth over the last 3 years despite the slowdown in the US economy,
|Net Profit (in crores)
The Earning per share (EPS) is also in the uptrend at 57% in 2023 as compared to 51% in the 2022 year. You can also see Infosys’ Return on Equity (ROE) is also rising with around 2% growth on a YoY basis.
Technical Analysis of Infosys
If you check out the moving averages of Infosys, you can see the technicals are showing a strong buy for a 1-month view. 6 out of 8 moving averages are giving a buy signal.
The 200MA is showing a bearish sign as the current price of the stock falls below the 200-day moving average because of the selling pressure in the market.
The momentum oscillators also show a buy signal for Infosys but if you see RSI it is at 55 which is a neutral signal. That is because the selling pressure and the price is expected to correct further in the upcoming days.
You can learn about the technical analysis from our guide on how to trade on morning star candlestick pattern to enhance your trading skills.
Infosys’s Business Prospects
Infosys serves around 185 companies from the prestigious Fortune 500 companies, which shows its significant presence in the global IT industry.
Some of Infosys’s notable clients are –
- ICICI Bank
- Daimler Mercedes-Benz
- HSBC Bank
- Goldman Sachs
- Johnson & Johnson (J&J) and many more.
The major chunk of Infosys’s business comes from the United States followed by Europe. The revenue breakup geography-wise is shown below.
Infosys has recently bagged a deal from German auto parts maker ZF to transform its supply chain with its business planning solutions such as SAP.
Similarly, Infosys also has some other Billion dollar deals related to AI and end-to-end application services.
Infosys is on a mission to strengthen its expertise in data, analytics, AI, cybersecurity, and IoT which would help it stay ahead of its competition.
Infy is making solid partnerships with major global cloud hyper scalers like AWS, GCP, and Microsoft Azure to achieve its goal.
The tech giant is investing heavily in developing the necessary skills and capabilities to meet customer demands effectively.
Major Risks of Investing in Infosys
- Industry Competition: Infosys faces intense competition from other global IT companies such as TCS, and Cognizant, which may impact its market share and pricing power.
- Currency Fluctuations: Infosys offers its services to clients in various countries and deals in US dollars. Currency fluctuations can affect its revenues and profitability, especially when INR is stronger than USD.
- Economic Uncertainty: You can’t ignore macroeconomic factors such as economic downturns or geopolitical events which may lead to reduced IT spending by clients and can impact Infosys’s business.
- Dependency on Key Clients: Infosys heavily depends on its US-based clients, which makes the company vulnerable to the impact of a potential US recession. In the event of a recession, there could be a decrease in IT spending by US clients, affecting Infosys’s business significantly.
- Talent Retention: Attracting and retaining skilled talent is critical for Infosys’s success. Competition for top talent in the IT industry can pose challenges in maintaining a strong workforce.
Despite the concerns of an approaching global economic slowdown, especially the US recession, Infosys has managed to hold steady, maintaining its revenues and profits positively.
Considering the expert’s analysis, you can estimate approximately 28-30% returns in the long run. By 2030, it is projected that Infosys may trade at around Rs 2100.
You can also read about other stocks’ target prices –
- Suzlon Share Price Target
- Tata Motors Share Price Target
- Tata Power Share Price Target
- Adani Power Shares Target Price
In the last 3 years, Infosys has shown 20% revenue growth and 13% profit growth. The company’s financial stability is reflected in its healthy EPS and increasing ROE.
Market sentiment (positive or negative) plays a significant role in stock price movements. For example, News of the US recession resulted in Infosys’s price fall in the past one year.
You can invest in both individual stocks and mutual funds. Investing small amounts in stocks and initiating SIPs will not only help you diversify your funds to balance risk but will also give you decent returns in the long run.
Infosys’s clear vision to adopt new technologies, leverage its expertise, and expand its global footprint using its close ties with top players in the world can help Infy accelerate its future growth.