Infosys fell 3.15% to Rs 3,064.45 on BSE after a foreign brokerage downgraded the stock to 'sell' from 'buy'.
Meanwhile, the BSE Sensex fell 184.52 points, or 0.82%, to 22,323.90.
On BSE, 1.04 lakh shares were traded in the counter, compared with an average volume of 72,312 shares in the past one quarter.
The stock hit a high of Rs 3,165 and a low of Rs 3,051.65 during the day. The stock hit a 52-week high of Rs 3,847.20 on 3 March 2014. The stock hit a 52-week low of Rs 2,315.35 on 16 May 2013.
The stock had underperformed the market over the past one month till 6 May 2014, sliding 4.56% compared with the Sensex's 0.67% rise. The scrip had also underperformed the market in past one quarter, falling 11.21% as against Sensex's 10.82% rise.
The large-cap company has an equity capital of Rs 287.12 crore. Face value per share is Rs 5.
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The brokerage also cut its target price on the Infosys stock by 32.10% to Rs 2,750 from Rs 4,050, saying a turnaround at the IT outsourcer could take longer than expected.
The brokerage added that it expects the next wave of growth for the sector to be led by infrastructure services and business process outsourcing, which account for less of Infosys' revenue than competitors such as Tata Consultancy Services or HCL Technologies.
The brokerage also cited Infosys high staff attrition and its focus on boosting margins at the expense of stabilising revenue and market share as other risk factors.
Infosys' consolidated net profit rose 4.1% to Rs 2992 crore on 1.2% decline in revenue to Rs 12875 crore in Q4 March 2014 over Q3 December 2013. Infosys' non-operational income jumped 16.4% to Rs 851 crore in Q4 March 2014 over Q3 December 2013. The results are as per International Financial Reporting Standards.
Infosys has forecast revenue growth of 7% to 9% in dollar terms for the year ending 31 March 2015 (FY 2015). The company has forecast revenue growth of 5.6% to 7.6% in rupee terms for FY 2015. The guidance in rupee terms is based on rupee dollar conversion rate of 60.
Infosys had liquid assets including cash and cash equivalents, available-for-sale financial assets, certificates of deposits and government bonds at Rs 30251 crore as on 31 March 2014, higher than Rs 27440 crore as on 31 December 2013.
Infosys said that the company's current policy is to pay dividends up to 30% of post-tax profits. The board has decided to increase the dividend pay-out ratio to up to 40% of post-tax profits with effect from FY 2014. The board of directors recommended a final dividend of Rs 43 per share for FY 2014.
Infosys and its subsidiaries added 50 clients in Q4 March 2014 and 238 clients in FY 2014.
There was gross addition of 10,997 employees during the quarter and 39,985 during the year by Infosys and its subsidiaries.
Infosys is a global leader in consulting, technology and outsourcing solutions.
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