Infosys hit by slew of downgrades

An employees walks past a signage board in the Infosys campus at the Electronics City IT district in Bangalore, February 28, 2012. Picture taken on February 28, 2012.

Reuters Market Eye - Infosys lost 0.3 percent to 2,394.50 rupees, extending losses from a 13 percent plunge on Friday after a slew of analysts downgraded the stock following its lower-than-expected revenue growth outlook on Friday.

CLSA downgraded India's No.2 software services exporter to 'Underperform' from 'Outperform,' with a 12-month target price of 2,630 rupees.

Meanwhile, Deutsche Bank cut the stock to 'Hold' from 'Buy', with a revised target price of 2,400 rupees, while Macquarie also downgraded the stock to "Neutral", but with a target price of 2,450 rupees.

"Mishaps on the HR front, a protracted re-organisation and continued operational slip-ups, all in the past 18 months has invariably raised the bogey of Infosys is losing its magical operational excellence," said CLSA in its report.

Deutsche Bank said Infosys' rivals Tata Consultancy Services (TCS.NS) and Wipro (WIPR.NS) were "best positioned to deliver value" given clients in the sector are facing budget constraints on their spending.

(Reporting by Abhishek Vishnoi; Editing by Rafael Nam)