Infosys (NYSE:INFY) Shares Gap Down – Time to Sell?

Infosys Limited (NYSE:INFY)’s share price gapped down prior to trading on Friday . The stock had previously closed at $22.74, but opened at $22.14. Infosys shares last traded at $22.01, with a volume of 1,184,180 shares changing hands.

Analysts Set New Price Targets

A number of research firms have recently commented on INFY. Erste Group Bank raised shares of Infosys from a “hold” rating to a “buy” rating in a report on Wednesday, September 11th. Investec cut shares of Infosys from a “hold” rating to a “sell” rating in a research note on Thursday, October 3rd. StockNews.com lowered Infosys from a “buy” rating to a “hold” rating in a research note on Wednesday, November 20th. Finally, BMO Capital Markets raised their target price on Infosys from $23.00 to $25.00 and gave the stock a “market perform” rating in a research report on Friday, October 18th. Two equities research analysts have rated the stock with a sell rating, five have issued a hold rating and six have issued a buy rating to the stock. According to MarketBeat, Infosys has an average rating of “Hold” and an average price target of $20.85.

Infosys Stock Performance

The stock has a market cap of $91.70 billion, a P/E ratio of 28.35, a P/E/G ratio of 3.67 and a beta of 1.00. The company has a 50-day simple moving average of $22.24 and a 200-day simple moving average of $20.90.

Infosys (NYSE:INFY) last released its quarterly earnings results on Thursday, October 17th. The technology company reported $0.19 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.19. Infosys had a return on equity of 31.43% and a net margin of 17.15%. The business had revenue of $4.89 billion during the quarter, compared to analysts’ expectations of $4.89 billion. During the same period in the previous year, the business posted $0.18 earnings per share. As a group, sell-side analysts expect that Infosys Limited will post 0.75 earnings per share for the current fiscal year.

Infosys Increases Dividend

The business also recently declared a semi-annual dividend, which was paid on Tuesday, October 29th. Stockholders of record on Friday, January 1st were paid a dividend of $0.2126 per share. This is a boost from Infosys’s previous semi-annual dividend of $0.20. This represents a dividend yield of 1.1%. The ex-dividend date of this dividend was Tuesday, October 29th. Infosys’s dividend payout ratio is 53.85%.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Tidal Investments LLC acquired a new position in shares of Infosys during the first quarter valued at $371,000. Virtu Financial LLC bought a new position in shares of Infosys in the 1st quarter valued at about $244,000. Cetera Advisors LLC acquired a new stake in shares of Infosys during the 1st quarter worth approximately $210,000. Soltis Investment Advisors LLC bought a new stake in shares of Infosys during the first quarter worth approximately $710,000. Finally, SRN Advisors LLC lifted its holdings in Infosys by 20.4% in the first quarter. SRN Advisors LLC now owns 68,312 shares of the technology company’s stock valued at $1,225,000 after buying an additional 11,593 shares during the period. Institutional investors and hedge funds own 10.89% of the company’s stock.

About Infosys

Infosys Limited, together with its subsidiaries, provides consulting, technology, outsourcing, and next-generation digital services in North America, Europe, India, and internationally. It provides digital marketing and digital workplace, digital commerce, digital experience and interactions, metaverse, data analytics and AI, applied AI, generative AI, sustainability, blockchain, engineering, Internet of Things, enterprise agile DevOps, application modernization, cloud, digital process automation, digital supply chain, Microsoft business application and cloud business, service experience transformation, energy transition, cyber security, and quality engineering solutions; Oracle, SAP, and Saleforce solutions; API economy and microservices; and Topaz, an AI-first set of services, solutions, and platforms using generative AI technologies.