1. Home
  2. Business
  3. Infosys becomes 4th Company to hit $100-billion m-cap, share hit fresh record high

Infosys becomes 4th Company to hit $100-billion m-cap, share hit fresh record high

By Priyanka Verma 
Updated Date

MUMBAI: Shares of Infosys Ltd hit a fresh record high on Tuesday, helping the stock cross $100 billion in market capitalisation – the fourth Indian company to have achieved milestone.

Also Read :- Gold price today in India falls to 7-month lows, silver rates drop

Shares hit a new record high of Rs1,755.60 apiece on the BSE, pushing the market cap to Rs7.44 trillion, or $100 billion. At 0925am, the scrip was at Rs1,752.45, up 0.% from its previous close.

Reliance Industries Ltd has a mcap of $140 billion, followed by Tata Consultancy Services Ltd at $115 billion, and HDFC Bank at $100.1 billion.

Over the past few years, Infosys has among the fastest growing companies in India, having witnessed broad-based traction in cloud, customer experience, cyber security, among others, analysts say.

The company has winning market share and investments in customer experience and cyber security have helped it increase the total addressable market and target a bigger chunk of a client’s IT budget. The endeavour is to increase pricing in new age technologies and take client specific hikes in areas where Infosys has much better negotiation power during the next 12-24 months, analysts added.

Also Read :- Air India unveils 5-point plan to re-establish itself in next 5 years

The stock has been on an upswing after the company management raised revenue growth to 14-16% for fiscal 2022 in constant currency terms from 12-14%. It has maintained its operating margins guidance at 22-24%.

Revenue in the June quarter rose 18% year-on-year to Rs27,896 crore, aided by strong growth across segments. EBITDA grew 21.4% year-on-year due to increase in revenue and decline in employee expense. EBITDA margin expanded 70bps to 26.6%. Net profit was at Rs5,195 crore, up 22.7% from a year ago.

“Infosys is witnessing strong demand from clients across segments as clients are looking to aggressively invest in IT to cut their cost in legacy operation and redirect those savings in new areas of growth. Despite supply-side pressure, Infosys is targeting to deliver margins in a similar range like FY21 (if we exclude one-time cost benefit impact from FY21) as it benefits from higher offshoring and automation,” said Edelweiss Research in a note to its investors.

Further reading:
For the latest news and reviews, follow us on Facebook, YouTube and Twitter पर फॉलो करे...