Beats market expectation on operating & net profit margin basis
Q2FY23 Earning Key Highlights
Management Takeaways: (FY’23 Guidance)
As per the management, its strong large deal wins and steady all-round growth in Q2 reflect the deep relevance and differentiation of its digital and cloud solutions for clients as they navigate their business transformation.
Guidance: The Company revised its FY23 revenue guidance to 15-16 per cent growth, tighter than 14-16% it had projected earlier. The operating margin guidance has been revised to 21-22%.
Valuation & View
As per the management its bookings and pipeline continue to be very strong that augurs well for its future growth. As the management has approved buy back of shares upto Rs. 1850 from open market hence I am expecting down is cushioned in Infosys. Hence, at the CMP of Rs 1450, the stock is trading at annualised P/E multiple of 24.6 times with the annualised EPS of Rs 57.24, which is fairly valued.
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