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Infosys Limited (INFY) Fair Value & Analysis

Technology · IN · Market cap ₹4.3T (≈ $45.8B) · ISIN INE009A01021

What is Infosys Limited really worth?

IL Infosys Limited INFY · NSE
Price₹1,130
Fair Value₹1,958
Upside+73.3%
Quality83/100

A strong business, trading 42% below our fair value of ₹1,958.

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Strengths

Healthy Growth (revenue 5y +8.3 %/yr)
Solidly profitable · 16.4% net margin
generates free cash flow
Ranks above peers (9/14)
Wide moat 82/100

Risks

!Weak on dividend: 1 out of 100
Evidence: High Range ₹1,184 – ₹2,447

Fair value as of: Sep 2, 2026

From 26 valuation models · updated 2 days ago

Fair value updated Sep 2, 2026, revised from ₹1,967 to ₹1,958 (−0.5%) since Aug 27, 2026. Share price −3.7% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The rarer combination: high quality (83/100) AND below fair value. That earns a closer look rather than a quick verdict.
  • The price is below even our cautious bear case (₹1,184). The market is more pessimistic than our downside scenario.
  • A fairly wide model range (₹1,184 to ₹2,447) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

₹1,901 ₹986.00 Fair Value ₹1,958 May 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 2, 2026.

How to read this chart

60‑month range ₹986.00 – ₹1,901 · fair‑value band ₹1,184 – ₹2,447 · the ₹1,130 price screens below the ₹1,958 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 2, 2026.

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Analysis

Infosys Limited (INFY) currently trades at ₹1,130, while our model-based Fair Value estimate is ₹1,958, implying the stock looks roughly 42.3% undervalued today. The Quality Score stands at 83/100 (high quality), in the Technology sector. Bull case: the DCF Models group reads highest at a median of ₹2,108 per share, and 18 of the 26 models we run sit above the ₹1,130 price. Bear case: the Economic Profit group reads lowest at ₹606.98, and 8 of the 26 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Infosys Limited generated revenue of ₹20.2B at a net margin of 16.4%. Revenue grew 6.6% year over year. It earns a return on equity of 31.4%. The balance sheet holds a net cash position of ₹1.4B. Fundamentals as of Sep 2, 2026

Our scenario range runs from ₹1,184 (bear case) to ₹2,447 (bull case); at ₹1,130, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 35% below its 52-week high and 4% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at 57% fair-value upside, at 73%, INFY screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2026 figures, and about 5 months have passed since. In that time the company retained roughly ₹32.85 per share, which is 1.7 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF best evidence ₹1,188 ₹2,108 ₹3,748 75
Growth DCF ₹1,189 ₹2,062 ₹3,613 73
Owner Earnings ₹1,135 ₹2,012 ₹3,575 71
All 26 models by family
DCF Models
FCF DCF best evidence ₹1,188 ₹2,108 ₹3,748 75
Owner Earnings ₹1,135 ₹2,012 ₹3,575 71
5Y Revenue Exit ₹982.07 ₹1,636 ₹2,510 69
5Y EBITDA Exit ₹1,311 ₹2,302 ₹3,535 71
5Y P/E Exit ₹1,412 ₹2,506 ₹3,746 67
10Y Revenue Exit ₹1,012 ₹1,660 ₹2,626 63
10Y EBITDA Exit ₹1,263 ₹2,155 ₹3,490 64
10Y P/E Exit ₹1,330 ₹2,307 ₹3,669 60
Earnings-Based
Graham-Dodd ₹513.67 ₹2,249 ₹3,076 64
Lynch FV ₹580.19 ₹828.71 ₹1,077 61
PEG = 1.0 ₹580.19 ₹828.71 ₹1,077 57
EPV ₹714.15 ₹830.55 ₹934.03 70
Dividend Discount
Gordon GGM ₹468.40 ₹1,022 ₹1,719 65
DDM Multi-Stage ₹468.40 ₹837.02 ₹1,065 66
Multiples
P/E Multiple ₹1,587 ₹2,117 ₹2,646 63
P/S Multiple ₹963.59 ₹1,285 ₹1,607 58
P/B Multiple ₹963.59 ₹1,285 ₹1,607 55
EV/EBIT ₹1,731 ₹2,290 ₹2,850 63
EV/EBITDA ₹1,482 ₹1,958 ₹2,434 64
EV/Revenue ₹901.69 ₹1,265 ₹1,629 51
Asset-Based
NCAV (Graham) ₹111.79 ₹149.67 ₹223.58 51
Growth DCF
Growth DCF ₹1,189 ₹2,062 ₹3,613 73
Rev-Margin DCF ₹982.07 ₹1,624 ₹2,440 69
Economic Profit
Residual Income ₹491.50 ₹606.98 ₹2,959 64
ROIC Compounder ₹783.44 ₹1,002 ₹1,268 70
Growth Earnings
Growth-Adj P/E ₹1,140 ₹1,629 ₹2,117 67

Widest divergence: DCF Models (₹2,108) versus Asset-Based (₹149.67). Highest evidence: FCF DCF (75).

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Key figures & financial health

P/E ratio 14.7
P/S ratio 2.42 P/E × margin
EPS (TTM) ₹76.68 price ÷ EPS = P/E 14.7
Dividend yield 0.0% payout 0.7%
Net margin 16.4% FY2026
Return on equity 31.4% TTM
More key figures
Profitability
Return on assets (EBIT) 24.1% avg 5y
Operating margin 20.9% TTM
Growth
Revenue (TTM) ₹20.2B TTM
Revenue growth (YoY) +6.6% 3y avg +3.4%
EPS growth (YoY) +11.8%
Balance sheet & cash flow
Free cash flow ₹3.7B FY2026
Net cash ₹1.4B FY2026

Figures from reported company fundamentals · as of Sep 2, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 83/100

Of which business quality 81 · Market factors (momentum, volatility) 41

Profitability 86
Margins and returns on capital today
Quality Growth 65
Are margins and returns improving?
Cashflow 73
Earnings quality: real cash, not paper profit
Fin. Strength 88
Balance sheet, leverage, solvency risk
Investment 92
Disciplined investing over empire-building
Low Volatility 84
Calm price path (market factor)
Momentum 28
Price trend over the last 3–12 months (market factor)
52W Momentum 16
Distance to the 52-week high (market factor)
Net Issuance 85
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Infosys Limited provides consulting, technology, outsourcing, and digital services worldwide. It provides digital marketing and digital workplace, digital commerce, digital experience and interactions, and metaverse; data analytics and AI, applied AI, generative AI, and sustainability; blockchain, engineering, and Internet of Things; enterprise agile …

Full company description

Infosys Limited provides consulting, technology, outsourcing, and digital services worldwide. It provides digital marketing and digital workplace, digital commerce, digital experience and interactions, and metaverse; data analytics and AI, applied AI, generative AI, and sustainability; blockchain, engineering, and Internet of Things; enterprise agile DevOps, API economy and microservices, application modernization, cloud, digital process automation, digital supply chain, Microsoft business application and cloud business, service experience transformation, energy transition, Network Transformation Services, Infrastructure Services cyber security, and quality engineering solutions; Oracle, SAP, and Saleforce solutions; Topaz, an AI-first set of services, solutions, and platforms using generative AI technologies; and Aster, a set of AI-amplified marketing services, solutions, and platforms. The company also offers Finacle, a core banking solution; Edge suite of products; Panaya platform, Infosys Equinox, Infosys Live Enterprise Suite, Infosys Wingspan, Infosys Helix, Infosys Meridian, Infosys Polycloud, Infosys Cortex, and Stater digital platforms; and Infosys McCamish, an insurance platform. It serves aerospace and defense, agriculture, automotive, chemical manufacturing, communication, consumer packaged goods, education, engineering procurement and construction, financial, healthcare, high technology, industrial manufacturing, information services and publishing, insurance, life science, logistics and distribution, media, entertainment, mining, oil and gas, private equity, professional, public, retail, semiconductor, travel, hospitality, utilities, and waste management industries. It has a strategic collaboration with Anthropic PBC, Intel, and Harness Inc. The company was formerly known as Infosys Technologies Limited and changed its name to Infosys Limited in June 2011. Infosys Limited was incorporated in 1981 and is headquartered in Bengaluru, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Infosys Limited reported revenue of $20.2B in FY2026 versus $16.3B in FY2022, a compound +5.4%/yr. Reported net income was $3.3B in FY2026, compounding +2.8%/yr from FY2022.

Growth Quality 87/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
₹20.2B
Latest YoY
+4.6%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.4%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.3%
Avg. revenue growth/yr (27Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+20.9%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+5.6% (5.6 + 0.0)
Revenue +5.4%/yr
FY22 $16.3B
FY23 $18.2B
FY24 $18.6B
FY25 $19.3B
FY26 $20.2B
Net income +2.8%/yr
FY22 $3.0B
FY23 $3.0B
FY24 $3.2B
FY25 $3.2B
FY26 $3.3B
Character of growth · EPS growth decomposed (2015-2026) +6.2 % p.a.
Revenue per share +9.4 %

of which total revenue +8.2 % · buybacks/dilution +1.1 %

EBIT margin −2.2 %
Tax rate +0.1 %
Residual (interest, one-offs) −1.0 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "Infosys Limited Fair Value". https://www.fairvalue-calculator.com/stock/INFY

Earlier news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Information Technology Services · 486 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 83 · Top 25%
Fair Value upside +73% · Top 25%
Return on equity (TTM) 31% · Top 25%
Return on assets 15% · Top 25%
Net margin (TTM) 16% · Top 25%
Operating margin (TTM) 21% · Top 25%
Revenue growth 7% · Above median
Dividend yield (TTM) 0.0% · Bottom 25%

Valuation Multiples vs Information Technology Services median · lower = cheaper

P/E (TTM) 14.7× · Cheaper than median
P/B 4.68× · Pricier than 75% of peers
P/S (TTM) 2.27× · Pricier than 75% of peers
P/FCF 12.3× · Pricier than 75% of peers
EV/EBITDA 9.8× · Cheaper than median
PEG 1.96× · Pricier than median

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE100 · sector 34
FUTURE33 · sector 31
PAST100 · sector 33
HEALTH0 · sector 97
DIVIDEND1 · sector 36

Insider activity: 28/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Information Technology Services stocks, each showing price versus our Fair Value estimate (as of Sep 2, 2026).

Stock Price Fair Value vs Fair Value
International Business Machines Corporation IBM $235.59 $175.76 −25%
Accenture plc ACN $189.61 $334.27 +76%
Tata Consultancy Services Limited TCS ₹2,302 ₹3,473 +51%
HCL Technologies Limited HCLTECH ₹1,282 ₹1,722 +34%
Fiserv, Inc FI C$5.13 C$8.07 +57%
Wipro Limited WIT $1.83 $3.51 +92%
Fidelity National Information Services, Inc FIS $41.34 $19.28 −53%
Cognizant Technology Solutions Corporation CTSH $64.04 $132.01 +106%
Capgemini SE CAP €109.45 €222.79 +104%
CDW Corporation CDW $153.92 $179.36 +17%

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Frequently asked questions

Is Infosys Limited (INFY) overvalued or undervalued?
As of Sep 2, 2026, our model estimates a fair value of ₹1,958 versus a price of ₹1,130, about +73% upside (undervalued).
What is the fair value of INFY?
Our model-based fair value for Infosys Limited is ₹1,958 (as of Sep 2, 2026), built from audited fundamentals. The current price: ₹1,130.
What is the quality score of INFY?
Infosys Limited has a Quality Score of 83/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Infosys Limited (INFY)?
Infosys Limited reported trailing-twelve-month revenue of about ₹20.2B (latest available figure, as of Sep 2, 2026).
What is the net profit margin of INFY?
The net profit margin of Infosys Limited is about 16.4%, meaning it keeps roughly 16.4% of revenue as net income. Based on the latest reported figures.
Does Infosys Limited pay a dividend?
Infosys Limited currently shows a dividend yield of about 0.05% relative to its recent price (as of Sep 2, 2026).
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