Infosys shares rose more than 2% in early trade after global brokerage firm Investec upgraded the stock to a “Buy” rating, setting a target price of ₹1,655. The upgrade reflects a more favorable outlook for India’s IT sector, with the risk-reward profile improving over the past month. As of 9:36 AM, the shares were trading 2.39% higher at Rs 1,523.00.
Investec noted that Tier-1 IT companies now offer potential one-year returns in the range of 10–15% or more. The brokerage highlighted that a possible rate cut in the US, along with the ramp-up of recent vendor consolidation deals, is expected to support an improving growth trajectory for Indian IT firms.
Within the Tier-1 basket, Investec said it prefers Tech Mahindra, Infosys, and Tata Consultancy Services (TCS). Among Tier-2 IT players, it favored Mphasis, Zensar Technologies, and KPIT Technologies, citing their growth potential.
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