INFY - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.2
| Stock Code | INFY | Market Cap | 6,71,071 Cr. | Current Price | 1,654 ₹ | High / Low | 1,924 ₹ |
| Stock P/E | 23.4 | Book Value | 179 ₹ | Dividend Yield | 2.60 % | ROCE | 40.6 % |
| ROE | 30.3 % | Face Value | 5.00 ₹ | DMA 50 | 1,615 ₹ | DMA 200 | 1,588 ₹ |
| Chg in FII Hold | 0.19 % | Chg in DII Hold | -0.38 % | PAT Qtr | 8,202 Cr. | PAT Prev Qtr | 7,718 Cr. |
| RSI | 53.7 | MACD | 13.2 | Volume | 67,30,007 | Avg Vol 1Wk | 83,21,174 |
| Low price | 1,307 ₹ | High price | 1,924 ₹ | PEG Ratio | 3.67 | Debt to equity | 0.05 |
| 52w Index | 56.3 % | Qtr Profit Var | 29.0 % | EPS | 67.5 ₹ | Industry PE | 23.9 |
📈 Chart & Trend Analysis: INFY is trading at ₹1,654, above both its 50 DMA (₹1,615) and 200 DMA (₹1,588), indicating a positive medium-term trend. The RSI at 53.7 suggests neutral momentum, neither overbought nor oversold. MACD at 13.2 shows mild bullish crossover, supporting short-term upward bias. Bollinger Bands indicate price is near mid-band, suggesting consolidation with potential breakout. Current volume (67.3L) is below 1-week average (83.2L), showing reduced participation.
🔑 Momentum Signals: Short-term momentum is mildly bullish with support at ₹1,615 (DMA50) and ₹1,588 (DMA200). Resistance lies at ₹1,700–₹1,720 zone, followed by ₹1,800. Optimal entry zone: ₹1,620–₹1,640. Exit zone: ₹1,700–₹1,720 for short-term traders. Trend status: Consolidating with bullish bias.
Positive ✅
- Strong ROCE (40.6%) and ROE (30.3%) indicate efficient capital use.
- Low debt-to-equity (0.05) ensures financial stability.
- Quarterly PAT growth (₹8,202 Cr vs ₹7,718 Cr) shows earnings momentum.
- Dividend yield of 2.6% adds investor appeal.
Limitation ⚠️
- PEG ratio of 3.67 indicates valuation is stretched relative to growth.
- Volume trend weaker than average, showing reduced trader interest.
- Stock P/E (23.4) is slightly below industry PE (23.9), limiting upside re-rating potential.
Company Negative News 📉
- Decline in DII holding (-0.38%) suggests reduced domestic institutional confidence.
- Global IT demand slowdown concerns may weigh on near-term growth.
Company Positive News 📊
- FII holding increased (+0.19%), showing foreign investor confidence.
- Quarterly profit variation of 29% highlights strong operational performance.
Industry 🌐
- IT sector trading at PE of 23.9, in line with INFY’s valuation.
- Global digital transformation and cloud adoption continue to support sector demand.
Conclusion 📝
INFY is currently consolidating with a bullish bias, supported by strong fundamentals and technical positioning above key moving averages. Entry near ₹1,620–₹1,640 offers favorable risk-reward, with exits around ₹1,700–₹1,720. Long-term investors may hold given strong ROE/ROCE and low debt, while short-term traders should watch volume trends for confirmation of breakout momentum.
Would you like me to also prepare a peer benchmarking overlay (e.g., comparing INFY with TCS, Wipro, HCL Tech) so you can see relative strength across the IT sector?