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Infosys Limited (INFY) Fair Value & Analysis

Technology · US · Market cap $42.8B

IL Infosys Limited logo Infosys Limited INFY · US
Price$12.03
Fair Value$15.23
Upside+26.6%
Quality70/100
Healthy Growth
Solidly profitable · 16.4% net margin
Low debt · generates free cash flow
4.90% dividend yield
Ranks above peers (11/15)
Wide moat 85/100
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Evidence: High Range $11.51 – $18.95 Share as image

Fair value as of: Jul 18, 2026

From 24 valuation models · updated 15 days ago

Share price +13.0% over the past month.

A solid business, screening 27% undervalued on our models.

What matters now

  • The rarer combination: high quality (70/100) AND below fair value. That earns a closer look rather than a quick verdict.
  • Our model range runs from $11.51 (bear) to $18.95 (bull), base $15.23. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 70/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

$23.00 $10.49 Fair Value $15.23 Apr 2021 Jul 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range $10.49 – $23.00 · fair‑value band $11.51 – $18.95 · the $12.03 price screens below the $15.23 fair value. Dashed = 300-day average. As of Jul 18, 2026.

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Analysis

Infosys Limited (INFY) currently trades at $12.03, while our model-based Fair Value estimate is $15.23, implying the stock looks roughly 26.6% undervalued today. We read business quality at 70/100 (solid quality), in the Technology sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

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 Jul 18, 2026

Our scenario range runs from $11.51 (bear case) to $18.95 (bull case); at $12.03, the current price sits within that range. The share trades about 59% below its 52-week high and 15% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at -25% fair-value upside, at 27%, INFY screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted 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.

Model BearBaseBull Evidence
Highest evidence
Growth DCF $12.17 $20.46 $34.27 80
Residual Income $5.89 $8.38 $75.08 76
Rev-Margin DCF $10.13 $16.63 $24.87 74
All 24 models by family
DCF Models
FCF DCF $12.21 $21.09 $36.20 38
Owner Earnings $11.66 $20.13 $34.54 31
5Y Revenue Exit $10.13 $16.73 $25.53 39
5Y EBITDA Exit $11.27 $19.03 $28.59 41
5Y P/E Exit $11.95 $20.42 $29.94 38
10Y Revenue Exit $10.45 $16.90 $26.48 36
10Y EBITDA Exit $11.49 $18.57 $29.00 37
10Y P/E Exit $11.94 $19.58 $30.11 35
Earnings-Based
Graham-Dodd $5.56 $24.34 $33.30 54
Lynch FV $6.28 $8.97 $11.66 50
PEG = 1.0 $6.28 $8.97 $11.66 46
EPV $7.39 $8.52 $9.52 59
Multiples
P/E Multiple $12.27 $16.37 $20.46 63
P/S Multiple $9.34 $12.45 $15.56 58
P/B Multiple $5.44 $7.25 $9.06 55
EV/EBIT $14.20 $18.74 $23.28 53
EV/EBITDA $11.75 $15.47 $19.19 54
EV/Revenue $9.29 $13.03 $16.76 43
Asset-Based
NCAV (Graham) $1.21 $1.62 $2.42 50
Growth DCF
Growth DCF $12.17 $20.46 $34.27 80
Rev-Margin DCF $10.13 $16.63 $24.87 74
Economic Profit
Residual Income $5.89 $8.38 $75.08 76
ROIC Compounder $8.07 $10.20 $12.72 72
Growth Earnings
Growth-Adj P/E $10.11 $14.44 $18.77 68

Widest divergence: DCF Models ($19.03) versus Asset-Based ($1.62). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) $20.2B
Revenue growth (YoY) +6.6%
Net margin 16.4%
Return on equity 31.4%
Free cash flow $3.7B FY2026
P/E ratio 13.2
More key figures
Operating margin 20.9%
EPS (TTM) $0.8000
Dividend yield 4.9%
EPS growth (YoY) +11.8%
Net cash $1.4B FY2026

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 70/100

Of which business quality 82 · Market factors (momentum, volatility) 31

Profitability 86
Margins and returns on capital today
Quality Growth 58
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 74
Calm price path (market factor)
Momentum 17
Price trend over the last 3–12 months (market factor)
52W Momentum 5
Distance to the 52-week high (market factor)
Net Issuance 99
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.

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. growth/yr (3Y)
+3.4%
Avg. growth/yr (5Y)
+8.3%
Avg. growth/yr (27Y)
+20.9%
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

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

Recent news

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

Peer Group

Information Technology Services · 514 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 70 · Top 25%
Fair Value upside +27% · Above median
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) 4.9% · Top 25%

Valuation Multiples vs Information Technology Services median · lower = cheaper

P/E (TTM) 13.2× · Cheaper than 75% of peers
P/B 4.37× · Pricier than 75% of peers
P/S (TTM) 2.12× · Pricier than median
P/FCF 11.5× · Pricier than 75% of peers
EV/EBITDA 9.1× · Cheaper than median
PEG 1.87× · Pricier than median

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.

VALUE 69 · sector 19
FUTURE 33 · sector 29
PAST 100 · sector 32
HEALTH 100 · sector 97
DIVIDEND 98 · sector 36

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

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Information Technology Services stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).

Stock Price Fair Value vs Fair Value
International Business Machines Corporation IBM $211.20 $146.77 -31%
Accenture plc ACNN 2,460 MXN 250.95 MXN -90%
HCL Technologies Limited HCLTECH ₹1,204 ₹1,230 +2%
Wipro Limited WIPRO ₹178.43 ₹226.81 +27%
Tech Mahindra Limited TECHM ₹1,455 ₹1,086 -25%
Samsung SDS Co 018260 199,300 KRW 196,390 KRW -1%
Persistent Systems Limited PERSISTENT ₹5,059 ₹2,364 -53%
Hyundai Autoever Corporation 307950 393,000 KRW 133,088 KRW -66%
Coforge Limited COFORGE ₹1,541 ₹702.84 -54%
LG CNS Co 064400 71,100 KRW 116,932 KRW +64%

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Frequently asked questions

Is Infosys Limited (INFY) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of $15.23 versus a price of $12.03, about +27% (undervalued).
What is the fair value of INFY?
Our model-based fair value for Infosys Limited is $15.23 (as of Jul 18, 2026), built from audited fundamentals. The current price is $12.03.
What is the quality score of INFY?
Infosys Limited has a Quality Score of 70/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of Infosys Limited (INFY)?
Infosys Limited reported trailing-twelve-month revenue of about $20.2B (latest available figure, as of Jul 18, 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 4.90% relative to its recent price (as of Jul 18, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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