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Infosys hits eight-month low, stock tanks 24% in two days

Infosys' Dollar revenue growth guidance of 6-10% for FY14 - which is lower than Nasscom forecast of 12-14% growth for the industry.

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SI Reporter Mumbai
Last Updated : Apr 15 2013 | 12:55 PM IST
Infosys has dipped almost 4% to Rs 2,206, its lowest price since August 2012 on BSE, after reporting a lower-than-expected revenue and operating margin for the quarter ended March 2013 and disappointing Dollar revenue guidance for the current fiscal.

Infosys’ Dollar revenue growth guidance of 6-10% for FY14 – which is lower than Nasscom forecast of 12-14% growth for the industry.

 “The range of the guidance is wide which indicates the volatility foreseen by the management. Also, the company has not put out any EPS guidance for FY2014 which could signify that there is risk towards the operating margin profile going ahead,” says analyst at Angel Broking in its report.

Meanwhile, the stock has underperformed the market by falling 24% in past two trading sessions compared to 2% fall in the benchmark Sensex.

Today, the stock opened at Rs 2,290 and hit a high of Rs 2,304 on BSE. A combined 2.74 million shares already changed hands on the counter so far against an average 2.42 million shares that were traded daily in past two weeks on BSE and NSE.
 

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First Published: Apr 15 2013 | 11:01 AM IST

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