Shares of Info Edge (India) Ltd were under pressure on Thursday, November 13, slipping close to 2% in morning trade after the company posted its September quarter (Q2 FY26) performance. The stock dropped as much as 3.26% intraday to ₹1,332, before recovering slightly. At around 11:30 AM, shares were trading 1.19% lower at ₹1,360.60, even as the broader market moved higher.
Info Edge Q2 results: What the numbers show
The company reported 12.1% year-on-year growth in standalone billings for Q2FY26, totalling ₹729 crore.
- Recruitment vertical billings rose 10.8% YoY, showing mild improvement compared with Q1.
- The non-recruitment portfolio — 99acres, Jeevansathi, Shiksha — posted 16.3% growth, aided by stabilisation in real estate and continued momentum in the education and matrimony segments.
Standalone revenue from operations stood at ₹746 crore, compared with ₹656.1 crore a year earlier.
Info Edge also reported an operating profit of ₹267.5 crore, delivering a healthy 35.9% operating margin.
Cash from operations (before tax) came in at ₹292.5 crore, indicating strong cash generation despite subdued hiring sentiment in the IT sector.
Brokerage recommendations: Should you buy, sell or hold Info Edge?
Nomura on Info Edge
Rating: Buy
Target Price: ₹1,585 per share
Nomura believes Info Edge remains well-positioned despite muted hiring outlook:
- Recruitment billings show steady but subdued growth.
- 99acres continues to deliver stable real-estate–driven momentum.
- Jeevansathi and Shiksha remain in growth mode.
- However, a sharp improvement in IT hiring remains unlikely in the near term, which may keep recruitment growth moderate for a few quarters.
HSBC on Info Edge
Rating: Buy
Target Price: ₹1,670 per share
HSBC maintains a bullish stance, citing:
- Macro pressure and weak IT spending still weigh on recruitment growth.
- But some pickup in Q2 is encouraging.
- Growth is expected to remain steady and rise to mid-teens in the medium term.
- Margins should recover gradually, supported by better cash flow discipline.
- Valuations remain attractive given the company’s strong cash profile and diversified business structure.
So, what should investors do now?
Brokerages remain largely positive, highlighting:
- steady billing growth,
- improving profitability,
- and strong balance sheet strength.
But investors should be mindful that the IT hiring slowdown continues, which may cap near-term upside.
Disclaimer
The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Brokerage recommendations mentioned belong solely to the respective firms and not the author or Business Upturn.
