Infosys hit by slew of downgrades
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)
- Tweet this
- Share this
- Digg this
- Maker of U.S. highway guardrails stops shipments over safety concerns
- São Paulo running out of water as rain-making Amazon vanishes
- Woman isolated in NJ under Ebola rules tests negative
- Google's Pichai to oversee major products and services
- India picks Israel's Spike anti-tank missile over U.S. Javelin - source
Finance Minister Arun Jaitley favours a cut in interest rates to trigger demand in the construction sector, a newspaper report said on Saturday, but the Reserve Bank of India (RBI) has signalled it will not ease policy until it is confident of lower inflation. Full Article
Euro zone risks "relapse into recession" without structural reforms - Draghi. Full Article
Kalki Koechlin on her role as a disabled girl in “Margarita, With a Straw” Full Article