Shares of Infosys Ltd. witnessed a sharp decline in early trading on Friday, April 24, falling as much as 4% as investors reacted to the company’s March quarter results announced after market hours on Thursday. The Infosys Share Price has been under pressure, tracking weak sentiment in global markets as well.
The company’s US-listed shares also reflected negative sentiment, closing nearly 5% lower overnight after declining as much as 6.5% during the session. Over the last two trading sessions, the Infosys Share Price has already dropped 5.5%, highlighting investor concerns despite steady fundamentals.
Infosys Share Price: Nomura Reaffirms Bullish Stance, Sees 33% Upside Despite Recent Decline
Despite the recent fall in the Infosys Share Price, brokerage firm Nomura has maintained its bullish outlook on the stock. The firm reiterated its “buy” rating and slightly raised its price target to ₹1,640 from ₹1,630 earlier, implying a potential upside of 33% from Thursday’s closing levels. Nomura also continues to view Infosys as its top pick among large-cap Indian IT companies.
Nomura noted that Infosys’ FY27 revenue growth guidance of 1.5% to 3.5% is largely in line with expectations at the mid-point, with stronger prospects in the BFSI and EURS verticals. It also expects EBIT margins to remain stable at around 21%, within the company’s guided range of 20% to 22%.
Operational Highlights and Concerns
For the fourth quarter, Infosys reported a 1.6% decline in constant currency revenue, slightly worse than market estimates of a 0.6% decline. Deal wins came in at $3.2 billion, lower than the previous three-quarter average of $4.5 billion.
The management highlighted artificial intelligence (AI) as a significant growth opportunity, stating that its contribution to overall revenue has increased beyond the 5.5% level reported at the end of the third quarter.
Cautious Outlook from Other Brokerages
While some remain optimistic, several global brokerages have taken a more cautious view on the Infosys Share Price outlook.
Citi has cut its price target to ₹1,300 while maintaining a “neutral” rating, although it expects Infosys to outperform its peers in FY27.
Also read : Property Transfer to Son: Why Mutation Alone Is Not Proof of Ownership
Jefferies has also issued a “hold” recommendation with a price target of ₹1,235. The brokerage slightly raised its earnings estimates by 1% to 2% due to forex benefits and expects Infosys to deliver a 7% CAGR in earnings per share (EPS). However, it noted that while a 4% dividend yield may limit downside risks, a weak growth outlook could restrict upside potential.
DAM Capital downgraded the stock to “neutral” from “buy” and sharply cut its price target to ₹1,300 from ₹1,700 earlier. It cited weak guidance and uncertainty in the company’s medium-term outlook, along with continued impact from a European auto client that may weigh on growth through FY28.
Meanwhile, Morgan Stanley retained its “equalweight” rating but reduced its price target significantly to ₹1,380 from ₹1,760 earlier.
Market Sentiment and Analyst Consensus
Despite the recent correction in the Infosys Share Price, a majority of the 50 analysts covering the stock continue to maintain a “buy” recommendation. However, the stock has declined nearly 25% so far in 2026, reflecting broader concerns around growth visibility and global IT spending trends.