Infosys hit by slew of downgrades

Mon Apr 16, 2012 9:45am IST

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/Vivek Prakash/Files

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.

Credit: Reuters/Vivek Prakash/Files

Related Topics

Stocks

   

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)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Everest Tragedy

Everest Tragedy

Search ends for missing on Everest, some Sherpas call for shutdown.  Full Article 

Ukraine Crisis

Ukraine Crisis

Deadly gun attack in eastern Ukraine shakes fragile Geneva accord.  Full Article 

Hamilton Wins

Hamilton Wins

Lewis Hamilton wins Chinese GP in Mercedes one-two.  Full Article 

Monte Carlo Masters

Monte Carlo Masters

Wawrinka beats Federer to win Monte Carlo Masters.  Full Article 

Happy Easter

Happy Easter

Pope presides at Vatican Mass leading Catholics into Easter.  Full Article 

Box Office

Box Office

'Captain America' soars again, tops 'Rio 2' to win U.S. box office.  Full Article 

Bollywood

Bollywood

Movie Review: 2 States.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage