Essential Infosys Financial Facts
| Year | Net Profit (in ₹ Cr) | EPS (₹) | ROE (%) | Share Price (NSE/BSE) |
|---|---|---|---|---|
| 2023 | 24,407 | 58.77 | 32 | ₹1,612.75/₹1,612.20 |
Source: Screener.in, Value Research Online
1. Financial Fortitude of Infosys
Infosys has consistently demonstrated robust financial performance. Over the last ten years, the company has maintained a compounded profit growth of 10%, and its return on equity (ROE) has been impressive, reaching 32% in the last year. A look at the stock price Compound Annual Growth Rate (CAGR) reveals a stable growth trajectory, with a 13% growth over a decade and 7% in the last year.
2. Infosys in the Indian IT Sector
The S&P BSE IT Index shows that Infosys has outperformed its peers in the IT sector. With a significant market capitalisation of ₹6,64,072 Cr as of January 2024, Infosys is a heavyweight in its category. The company’s P/E ratio stands at 27.23 times, slightly above the median range of its peers, indicating investor confidence in its earnings potential.
3. Operational Excellence and Future Outlook
Infosys’ operational efficiency is reflected in its debtor days and cash conversion cycle, maintaining a consistent performance over the years. The company’s involvement in next-generation digital services and a strong foothold in various global markets position it favorably for future growth.
4. Strategic Investments and Corporate Governance
Infosys has shown prudence in its investments and asset management. The company’s total asset value as of December 2023 was ₹1,30,299 Cr, with a debt-to-equity ratio of zero, showcasing its strong solvency position. The shareholding pattern reflects a diversified and stable investor base, which includes prominent institutional investors.
In conclusion, Infosys stands out as a formidable player in the Indian IT sector, offering a promising investment opportunity. For those looking to dive deeper into stock analysis, Valuequity.in provides a comprehensive tool, Value Stocks with 6 Different Valuation Methods – Excel File. This tool, developed by IIM & IIT graduates, is perfect for analyzing companies like Infosys, especially considering the promising outlook for the Indian stock market in 2024.
