AI Summary
✦ ClarthaInfosys is a global IT services company providing consulting, technology, outsourcing, and digital services. Revenue drivers include Topaz and applied AI, cloud platforms such as Infosys Cobalt and Microsoft Cloud, plus application modernization, cybersecurity, and engineering services. Recent sector-wide IT sell-offs and broker downgrades pressure sentiment, but do not indicate a company-specific margin change; revenue and profit grew 4.6% and 4.9%. Stable margins and 32% ROE indicate efficient capital use, though debt-equity of 9.54 amplifies leverage’s effect on shareholder returns. Profit growth modestly exceeds revenue growth, suggesting limited operating leverage rather than material margin expansion. At 15.2 times earnings, valuation appears fair relative to moderate growth and large-cap IT peers. The key open question is whether Topaz, cloud, and modernization demand can accelerate growth amid cautious enterprise spending and sector-wide valuation pressure.
Price Forecast
Probabilistic Range
Probabilistic lognormal cone using 1Y realized volatility and analyst-target drift when available.
Revenue Forecast
₹ CrEPS Forecast
₹ / shareMulti-factor synthesis of 5 key dimensions
From 42 analysts
Fundamentals
Fundamentals institutional score is 91 using EVA spread proxy 20.0%; growth durability 76.7.
Valuation
Valuation institutional score is 80 using relative multiple z-scores where peer dispersion is available.
Analyst Consensus
Analyst View institutional score is 41 using mean target upside 2.1%; dispersion penalty 22.3; recommendation breadth from available consensus.
Technical Structure
Technicals institutional score is 76 using EMA-20 continuation within 5% tolerance; VCP range/volume contraction proxy.
Market Sentiment
Recent news flow is balanced or not decisive enough to tilt the tape. Based on 11 recent ticker-linked news items.
Signal Summary
Market intelligence remains Neutral. fundamentals and valuation provide support, while analyst consensus and market sentiment remain considerations.
Composite weights: Fundamentals 25%, Valuation 20%, Analyst Consensus 20%, Technical Structure 20%, Market Sentiment 15%.
Key Data Points
Important Note: This is market intelligence, not investment advice. Always conduct your own research and consider your financial goals and risk tolerance.
Valuation Metrics
Trading 19.1% below historical median. Valuation is declining — currently in the strongly undervalued zone (z-score: -1.4). Confidence: 86%.
Live forward EPS implies next-12-month EPS of ₹79.94. Applying the stock's normalized valuation corridor produces a fair range of ₹1,372.57 to ₹1,661.95, with base value near ₹1,506.87 (+28.1% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹79.94
Forward P/E
14.7x
Base Fair Value
₹1,506.87
Fair Range
₹1,372.57 - ₹1,661.95
Upside To Base
+28.1%
Estimate Source
Live forward EPS
Growth Estimate
+5.3%
5Y Average
18.44
Current
15.24
Overvalued
20.79
Undervalued
17.17
5Y Average
—
Current
234.66
Overvalued
269.86
Undervalued
199.46
5Y Average
—
Current
1075.36
Overvalued
1236.67
Undervalued
914.06
Peers & Comparison
Sector: Information Technology · Theme: IT Services & Consulting
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
TATA CONSULTANCY SERV LT TCSIT Services & Consulting | +13.9% | 18.1% | 17.1x Fair | -15% vs avg | -19.4% |
WIPRO LTD WIPROIT Services & Consulting | +10.6% | 13.9% | 14.6x Undervalued | -28% vs avg | -23.6% |
TECH MAHINDRA LIMITED TECHMIT Services & Consulting | +17.7% | 8.7% | 28.1x Premium | +39% vs avg | +9.1% |
HCL TECHNOLOGIES LTD HCLTECHIT Services & Consulting | +3.0% | 13.0% | 21.2x Fair | +5% vs avg | -9.0% |
INFOSYS LIMITED trades at a discount (15.2x vs peer avg 20.2x), suggesting potential undervaluation relative to the It Services & Consulting cohort. Peers include TATA CONSULTANCY SERV LT, WIPRO LTD, TECH MAHINDRA LIMITED — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Real statement data for revenue, earnings quality, conversion, and balance-sheet coverage. Monetary values are shown in Rs crore.
Latest revenue
₹39.96K CrJun 2026Latest net profit
₹7.25K CrJun 2026Latest EPS
₹17.87Jun 2026Net margin
25.0%Jun 2026Performance
Bars show revenue and net profit. The line shows net margin.
- Revenue
- Net income
- Net margin %
Earnings
Revenue is shown in crores. EPS is rupees per share.
- Revenue
- EPS
Revenue to profit conversion
Bridge from operating numbers to profit for the latest reported period.
Latest reported period: Jun 2026
Debt level and coverage
Debt, cash and free cash flow compared on the same crore scale.
- Debt
- Free cash flow
- Cash & equivalents
Results
| Metric | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales + | 31,811 | 32,629 | 32,491 | 32,001 | 33,283 | 34,257 | 34,915 | 34,136 | 35,275 | 36,907 | 37,996 | 38,641 | 39,957 |
| Expenses + | 23,877 | 24,635 | 24,377 | 24,286 | 25,119 | 25,856 | 26,361 | 25,757 | 26,829 | 28,059 | 28,826 | 29,093 | 29,996 |
| Operating Profit | 7,934 | 7,994 | 8,114 | 7,715 | 8,164 | 8,401 | 8,554 | 8,379 | 8,446 | 8,848 | 9,170 | 9,548 | 9,961 |
| OPM % | 25% | 24% | 25% | 24% | 25% | 25% | 24% | 25% | 24% | 24% | 24% | 25% | 25% |
| Other Income + | 1,001 | 1,350 | 1,582 | 3,483 | 721 | 1,737 | 1,001 | 1,323 | 882 | 2,268 | 1,131 | 1,063 | 874 |
| Interest | 43 | 89 | 82 | 62 | 59 | 61 | 50 | 51 | 55 | 52 | 45 | 54 | 61 |
| Depreciation | 746 | 738 | 738 | 722 | 698 | 670 | 661 | 590 | 613 | 595 | 585 | 601 | 613 |
| Profit before tax | 8,146 | 8,517 | 8,876 | 10,414 | 8,128 | 9,407 | 8,844 | 9,061 | 8,660 | 10,469 | 9,671 | 9,956 | 10,161 |
| Tax % | 27% | 27% | 26% | 19% | 29% | 28% | 28% | 27% | 29% | 26% | 24% | 20% | 29% |
| Net Profit + | 5,956 | 6,245 | 6,552 | 8,480 | 5,768 | 6,813 | 6,358 | 6,628 | 6,114 | 7,759 | 7,363 | 7,975 | 7,249 |
| EPS in Rs | 14.35 | 15.05 | 15.79 | 20.43 | 13.89 | 16.41 | 15.31 | 15.96 | 14.72 | 18.68 | 18.16 | 19.66 | 17.87 |
| Raw PDF | |||||||||||||
| YOY Sales Growth % | 7.74% | 3.36% | 0.31% | 4.81% | 4.63% | 4.99% | 7.46% | 6.67% | 5.99% | 7.74% | 8.82% | 13.20% | 13.27% |
| Employee Cost % | 51.41% | 50.37% | 50.18% | 50.15% | 49.56% | 49.23% | 48.26% | 50.56% | 50.10% | 48.97% | 48.97% | 48.88% | 47.10% |
| Exceptional items | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 57 | -1,146 | 0 | 0 |
| Other income normal | 1,001 | 1,350 | 1,582 | 3,483 | 721 | 1,737 | 1,001 | 1,323 | 882 | 2,211 | 2,277 | 1,063 | 874 |
| Exceptional items AT | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 41 | -839 | 0 | 0 |
| Profit excl Excep | 5,956 | 6,245 | 6,552 | 8,480 | 5,768 | 6,813 | 6,358 | 6,628 | 6,114 | 7,718 | 8,202 | 7,975 | 7,249 |
| Profit for PE | 5,956 | 6,245 | 6,552 | 8,480 | 5,768 | 6,813 | 6,358 | 6,628 | 6,114 | 7,718 | 8,202 | 7,975 | 7,249 |
| Profit for EPS | 5,956 | 6,245 | 6,552 | 8,480 | 5,768 | 6,813 | 6,358 | 6,628 | 6,114 | 7,759 | 7,363 | 7,975 | 7,249 |
| YOY Profit Growth % | 23% | -0% | 6% | 44% | -3% | 9% | -3% | -22% | 6% | 13% | 29% | 20% | 19% |
All values in ₹ Crores unless otherwise stated. Source: Screener Master (Standalone).
Events Timeline
Infosys To Accelerate IT System Transformation For Crocs, Inc., Optimizing Global Operational Capabilities To Scale For Future Growth
Infosys And Metsä Group Expand Strategic Collaboration To Drive AI-Led IT Transformation