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  4. /Infosys Ltd
MomentumDeep Value

Infosys Ltd: Is It a Deep Value Opportunity?

AverageSteady Growth

As of Jun 14, 2026, Infosys Ltd (IT - Software) has a deep value score of 60/100 (rated Average). Earnings are accelerating. 1Y return vs Nifty 500: -29%.

Infosys Ltd Key Facts

PE Ratio
15.1x
Market Cap
₹4,52,952 Cr
Value Score
60/100
Margin of Safety
5%
PAT Growth YoY
+21%
Revenue Growth YoY
+13%
OPM
24.0%
PE: Near TroughStrong Opportunity

What's Happening

💎PE falling while earnings hold — value emerging
🌐FII stake decreased 3.2% this quarter
🏛️DII accumulation — stake up 3.6%

Key Numbers

PAT Growth YoY
+21%
Stable
Revenue YoY
+13%
Accelerating
Operating Margin
24.0%
0 bps YoY
PE Ratio
15.1
PEG Ratio
1.79
Current Price
₹1,116
Dividend Yield
4.30%
3Y PAT CAGR
+7%
Market Cap
4.5L Cr
Valuation
Fairly Valued

How Fast Is Infosys Ltd Growing?

Revenue, profit and margin growth rates

MetricYoY3Y CAGRTrend
Revenue+13%+7%Accelerating
PAT (Net Profit)+21%+7%Stable
OPM24.0%0 bpsStable

Other Deep Value Stocks in IT - Software

Sahana Systems Ltd
Strong
67
Magellanic Cloud Ltd
Strong • Accelerating
66
R Systems International Ltd
Strong • Accelerating
65
Expleo Solutions Ltd
Strong
65
Saksoft Ltd
Strong • Accelerating
63
Coforge Ltd
Strong • Accelerating
62
Mastek Ltd
Strong
61
Aurionpro Solutions Ltd
Average • Accelerating
56
← Back to IT - SoftwareAll Deep Value SectorsDashboard

Frequently Asked Questions: Infosys Ltd

Based on publicly available financial data. This is educational research, not investment advice.

What is Infosys Ltd's deep value score?

Infosys Ltd has a deep value score of 60/100 (rated Average). This score is calculated from three components

  • Earnings Score: 21/40 — measures PAT growth momentum across quarters
  • Underperformance Score: 17/35 — how much the stock trails Nifty 500 (deeper underperformance = higher contrarian signal)
  • Quality Score: 6/25 — operational quality (margins, revenue growth, valuation)

Is Infosys Ltd fundamentally improving?

Infosys Ltd's quarterly profit (PAT) growth trajectory

  • Latest Quarter PAT Growth (QoQ): +28%
  • Previous Quarter PAT Growth (QoQ): -10%
  • 2 Quarters Ago PAT Growth (QoQ): +7%
  • PAT Acceleration: +10.6pp (profits are accelerating)
  • 1 consecutive quarters of positive PAT growth

Why is Infosys Ltd underperforming despite good earnings?

Infosys Ltd is underperforming the market despite improving earnings — this is the core deep value thesis

  • 1-Year Return vs Nifty 500: -29%
  • 6-Month Return vs Nifty 500: -25%
  • 3-Month Return vs Nifty 500: -15%
  • Yet average quarterly PAT growth is +8% — earnings are improving
  • The market often takes time to re-rate stocks with improving fundamentals. This gap between price performance and earnings improvement is what deep value research seeks to identify.

What is the earnings momentum for Infosys Ltd?

Infosys Ltd's earnings momentum is Steady — consistent growth.

  • PAT QoQ progression: +7% → -10% → +28% (2Q ago → 1Q ago → latest)
  • Acceleration: +10.6pp
  • PAT YoY Growth: +21%

Is Infosys Ltd undervalued?

Infosys Ltd's valuation metrics

  • Price-to-Earnings (PE): 15.6x
  • Price-to-Book (PB): 5.2x
  • PEG Ratio: 1.8x
  • Margin of Safety: +5% (appears fairly valued)

What are the revenue and margin trends for Infosys Ltd?

Infosys Ltd's revenue and margin trends

  • Latest Quarter Revenue Growth (QoQ): +2%
  • Average Quarterly Revenue Growth: +3%
  • Revenue Acceleration: -1.6pp
  • Latest OPM Change: +0.7pp (margins expanding)
  • Average OPM Change: +0.2pp
  • Revenue YoY: +13%

What is Infosys Ltd's trailing twelve month (TTM) performance?

Infosys Ltd's trailing twelve month (TTM) performance

  • TTM PAT: ₹29,000 Cr
  • TTM PAT Growth: +10.2% YoY
  • TTM Revenue: ₹1.8 Lakh Cr
  • TTM Revenue Growth: +9.6% YoY
  • TTM Operating Margin: 23.8%

What sector does Infosys Ltd belong to?

Infosys Ltd key facts

  • Sector: IT - Software
  • Market Cap: ₹4.5 Lakh Cr
  • Rank in IT - Software: #9 by value score
  • Overall rank among all deep value stocks: #91

Is Infosys Ltd a good deep value opportunity to study?

Infosys Ltd shows strong deep value signals — good score (60/100), accelerating earnings, and significant underperformance vs Nifty.

  • Value Score: 60/100 (Average)
  • Earnings: Accelerating
  • 1Y Underperformance: -29% vs Nifty 500

What is the bull and bear case for Infosys Ltd?

Research Signals (Bull Case)

  • Earnings accelerating — profit growth speeding up
  • Operating margins expanding

Which other IT - Software stocks are deep value opportunities?

Other deep value stocks in IT - Software

  • Sahana Systems Ltd — Score 67/100, Strong
  • Magellanic Cloud Ltd — Score 66/100, Strong, earnings accelerating
  • R Systems International Ltd — Score 65/100, Strong, earnings accelerating
  • Expleo Solutions Ltd — Score 65/100, Strong
  • Saksoft Ltd — Score 63/100, Strong, earnings accelerating
  • Coforge Ltd — Score 62/100, Strong, earnings accelerating

How does the IT - Software sector look for deep value?

IT - Software deep value sector overview

  • 14 deep value stocks in this sector
  • Average value score: 55/100
  • Avg PAT acceleration: +13.5pp
  • Top pick: Magellanic Cloud Ltd

What is deep value investing?

Deep value investing studies stocks that are underperforming the market despite showing improving fundamentals. The thesis is that the market has not yet recognized the earnings recovery, creating a potential valuation gap. It requires patience — recovery can take several quarters.

How is the deep value score calculated?

The deep value score (0-100) combines three factors:

- Earnings (0-40 pts): PAT growth across last 3 quarters, acceleration, and consecutive growth - Underperformance (0-35 pts): How much the stock trails Nifty 500 over 1Y, 6M, 3M (deeper underperformance = higher score) - Quality (0-25 pts): Revenue growth, margin trends, and valuation metrics (PEG, P/B)

Higher score indicates a stronger contrarian research signal.

The above FAQs are generated from publicly available earnings data. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.