Bernstein has reiterated its Outperform rating on Infosys with a target price of ₹2,330, highlighting that the company delivered an all-round beat in Q3FY25 across revenue, margin, and earnings. Infosys also raised its FY25 revenue growth guidance to 4.5–5% YoY in constant currency, exceeding street estimates.
The deal momentum remained robust, with total contract value (TCV) of $2.5 billion and nearly 60% of it being net-new. Bernstein notes a recovery in discretionary spending as a key driver of Q3 performance and sees Infosys delivering the best earnings of the season among large-cap IT services players. The brokerage continues to view an upcycle in the sector as beneficial for Infosys.
Infosys Q3FY25 Performance:
- Net Profit: ₹6,806 crore (+4.6% QoQ)
- Revenue: ₹41,764 crore (+2% QoQ)
- EBIT: ₹8,912 crore (+3% QoQ), Margin: 21.3% vs. 21.1% QoQ
- FY25 revenue guidance raised to 4.5–5% from 3.75–4.5%.
