Infosys shares plunged on Monday, continuing its second straight decline. Shares fell 9.40% to close at Rs 1,258.10 from yesterday’s close of Rs 1,388.60. After touching an intraday low of INR 1,219 (52 week low), it rose slightly higher today. A total of 16.98 million shares were traded on his BSE today. This is more than six times the two-week average turnover of 2.55 million shares. The counter sales were Rs 210.58 crore and commanded a market capitalization (m-cap) of Rs 5,21,930.34 crore.
At today’s closing price of Rs 1,258.10, the share has fallen 24.78% from the one-year high of Rs 1,672.45, the level seen on 1 December last year. The stock is down 17.46% in 2023 and 22.41% in one year so far.
Vinod Nair, head of research at Geojit Financial Services, said the market reacted negatively to a weak start to the earnings season by IT firms, namely Tata Consultancy Services (TCS) and Infosys, and their cautious outlook. said.
Infosys alone lowered the benchmark’s BSE by 414 points. Sensex closed today by 520 points, down 0.86% at 59,911. In the NSE, subindex Nifty IT plummeted his 4.71%. Nifty closed at 17,707 with 121 points or 0.68%.
Infosys’ outlook last week followed a disappointing quarterly report from bigger rival TCS, with concerns over a sector that makes more than 25% of its revenues from US and European banking, finance, services and insurance (BFSI) sectors. embossed.
The Bangalore-based company’s net profit was Rs 612.8 billion in the January-March quarter (FY2023 Q4).
On the technical side, analysts suggest that support at the counter could be seen at INR 1,200.
Jigar S Patel, Senior Manager – Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said: In addition, we are trying to make a classic hammer structure near the support of Rs 1,200. We will have to see if it keeps the Rs 1,200 level for the next few days.Now wait and see.”
Tips2trades’ AR Ramachandran said: There will be strong resistance in the coming days. “
The stock fell below the 5-, 20-, 50-, 100-, and 200-day moving averages. The 14-day Relative Strength Index (RSI) of the counter was 24.67. Levels below 30 are defined as oversold and values above 70 are considered overbought. The stock to stock price (P/E) ratio of the company’s stock is 24.98. The reserve price (P/B) value is 8.58.
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