Why is Infosys shares falling?
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Phillip Capital said Infosys looks set to report mid-teen growth in FY22, after a strong performance in covid impacted FY21. “While the stock might remain a bit weak in the near term due to expectations coming down and relatively expensive valuations.
Revealing the reason for rise in Infosys and TCS shares Ravi Singhal, Vice Chairman at GCL Securities said, “The intraday rise in Infosys and TCS stocks can be attributed to the Infy’s share buyback starting from tomorrow. This Infosys announcement is expected to put pressure on other IT giants like TCS.
Why are Infosys stocks rising?
Speaking on the day trading guide for Wednesday, stock market experts said that rise in IT stocks is due to the expected changes taking place in the EPS (earning per share) and private earning or PE ratio in other IT stocks post-Infosys results.
Why Infosys stock price has been halved?
Infosys issued bonus share 1:1 and that came into effect and hence the price halved. This simply doubles the number of shares and halves the price. (since it is 1:1, for other proportions, this would differ). Subsequent to that there is a drop pf 5\% or so due sale by the founders. None of this has any implications on business…..
Will Infosys’ share buyback protect downside for the stock?
Beating expectations every time isn’t easy,” said analysts, who believe the Rs 9,200 crore share buyback announced by the IT major should protect the downside for the stock. The stock fell 5.59 per cent to hit a low of Rs 1,320.35 on BSE on Thursday. In overnight trade, Infosys ADRs fell 5.98 per cent to close at $17.31.
Why are Infosys and Wipro falling despite a strong quarter?
Shares of both the companies have recovered since then, but they’re still below their closing price on January 13. However, the question remains – despite a strong quarter, why are Infosys and Wipro falling? One of the reasons could be profit booking.
Infosys shares may drastically fall again if SEC or SEBI finds any wilful accounting jugglery. Therefore, in spite of stellar results in Jul-September quarter and current low share prices, we suggest wait and watch.