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Analysts reduced Infosys target price amid slower global enterprise technology spending concerns.
Infosys shares closed lower despite brokerages maintaining positive long-term growth expectations.
Artificial intelligence opportunities continue supporting bullish outlooks across major analyst coverage reports.
Infosys shares remained under pressure on Wednesday, even as analysts maintained a broadly positive long-term outlook for the IT major. The stock closed at Rs. 1,159.90 on the NSE, down 0.67%, according to TradingView market data shared in the latest session screenshot.
The decline comes amid a broader reassessment of growth expectations across India’s information technology sector, especially as global enterprises continue to delay discretionary technology spending and remain cautious on large digital transformation budgets.
Despite that cautious backdrop, consensus analyst sentiment on Infosys has stayed firmly constructive. According to data compiled from 47 analysts, the company’s average 12-month target price has been revised lower to Rs. 1,455.74 from Rs. 1,464.37 earlier. Even after the cut, the revised estimate still implies nearly 26% upside from current levels.
The latest revisions highlight a trend emerging across global brokerages covering Indian IT stocks. Analysts are trimming near-term earnings expectations and target prices, but are not abandoning their long-term bullish stance on high-quality technology exporters such as Infosys.
Consensus ratings tracked across brokerages continue to classify the stock as a ‘Buy.’ Out of 51 analysts covering the company, 32 maintain Buy ratings, 17 suggest Hold, while only 2 recommend Sell.
Brokerages believe Infosys remains better positioned than several peers because of its scale, large enterprise relationships, strong cash generation, and growing artificial intelligence portfolio.
Trendlyne data also shows analyst targets continuing to hover in the mid-Rs. 1,400 range, reinforcing expectations that the stock may recover once global technology spending stabilizes.
The pressure on Infosys reflects wider concerns surrounding the global technology services industry. Several brokerages have warned that slower economic activity in the United States and Europe may reduce enterprise technology budgets over the next few quarters.
Earlier reports from brokerages, including Jefferies and Motilal Oswal, suggested that discretionary spending is a bit soft, with geopolitical uncertainty and clients taking longer to decide. It’s basically that.
The sector is also seeing some concerns about delayed deal conversions, hiring that’s not picking up as fast as expected, and pricing pressure, as customers seem to focus more on cost optimization than on aggressive digital expansion.
Meanwhile, Infosys shares have corrected quite sharply from the prior highs over the last year. The weakness in the stock also looks like broader investor hesitation toward export-led technology firms, tied to fears of a global recession and tariff-related uncertainty in some key overseas markets.
Also Read: Infosys Share Price Reaches Rs. 1,190 on IT Stocks Rally: Should You Buy?
Even as short-term growth concerns persist, analysts continue to identify artificial intelligence as one of Infosys’ strongest long-term growth opportunities. The company has aggressively expanded its AI capabilities through generative AI services, enterprise automation offerings, cloud partnerships, and industry-specific digital transformation solutions.
Several brokerages noted that Infosys’ healthy large-deal pipeline and rising AI-led enterprise demand could help improve revenue visibility over the next few years. Analysts also believe the company’s investments in AI platforms and talent development may strengthen its competitive positioning against global technology consulting firms.
Market watchers say enterprises are increasingly looking for AI integration partners capable of delivering productivity gains, automation efficiencies, and cloud modernization at scale. In these areas, Infosys already has significant operational experience.
Also Read: Infosys Share Price Tanks 5.66% to Rs. 1,170; HDFC Securities ‘Buy’, Jefferies ‘Hold’
From a market perspective, Infosys remains technically weak after failing to sustain rebounds above the Rs. 1,300 mark in recent months. The TradingView chart indicates the stock continues to trade below major medium-term resistance zones, while selling pressure has persisted during recovery attempts. Current trading volumes also suggest investors remain cautious despite the recent correction.
However, analysts tracking valuation metrics argue that much of the near-term pessimism may already be priced into the stock. With consensus targets still implying double-digit upside potential, long-term investors may continue to monitor Infosys as a recovery play within the Indian IT sector.
For now, the market appears caught between two narratives: near-term macro uncertainty and the longer-term promise of AI-driven enterprise spending growth. Infosys sits directly at the center of that transition.
Analysts lowered targets due to weaker global IT spending, delayed enterprise decisions, cautious client budgets, and slower discretionary technology demand across major international markets, especially in the United States and Europe.
Infosys shares closed at Rs 1,159.90 on the NSE, down 0.67% in the latest trading session, according to the TradingView market snapshot shared alongside the report.
Yes. Most analysts continue to maintain Buy ratings on Infosys despite reduced targets, citing strong fundamentals, AI opportunities, enterprise relationships, and long-term digital transformation demand across global industries.
The revised average 12-month target price of Rs 1,455.74 suggests nearly 26% upside potential from the current market price of Rs 1,159.90, despite recent sector-wide weakness.
Artificial intelligence services, cloud transformation projects, automation demand, large enterprise deals, and global digital modernisation initiatives are expected to remain key long-term growth drivers for Infosys.
