Infosys share price at its peak, analysts expect further 13% upside
1 min read.Updated: 27 Dec 2020, 09:27 AM ISTAvneet Kaur
Kotak Securities maintains a buy rating with a target price of ₹1,400. It expects company's earnings to grow by 12.0% in FY22E and 13.2% in FY23E.
The IT major Infosys share price has hit its all time high during the Christmas week. Infosys share price touched ₹1,258.85 for the first time on Wednesday. The shares climbed 4% during the week gone by. Year to date, the share has risen by over 69%. The share gained on its announcement of a long-term strategic partnership with Daimler AG for a technology-driven IT infrastructure transformation. Analysts are bullish about the stock and expect a further high of around 13% from the current level soon.
"Focus on large deal wins was a key CEO agenda. Strong deal wins provide visibility of double-digit revenue growth for FY2022E," says Kotak Securities. The brokerage maintains a buy rating with a target price of ₹1,400. It expects company's earnings to grow by 12.0% in FY22E and 13.2% in FY23E.
ICICI Securities recommends Infosys as one of its top mid cap picks for 2021. The brokerage has set a target price of ₹1,410 per share. Another brokerage house, Anad Rathi has a buy call on Infosys with a target price of ₹1,385.
"We expect the company to continue to make a steady improvement in financials in coming quarters. Digital acceleration, large deal wins vendor consolidation and cost rationalisation remain key long term drivers," says ICICI Securities.
Infosys Ltd entered the₹5 trillion market capitalization club this year, joining Reliance Industries Ltd, Tata Consultancy Services Ltd and HDFC Bank Ltd. Another company to cross ₹5 trillion market cap this year was Hindustan Unilever Ltd.