Infosys (NYSE:INFY) Shares Break Above 200-Day Moving Average – Should You Sell?

Infosys Ltd. (NYSE:INFY) shares passed above its two hundred day moving average during trading on Thursday. The stock has a two hundred day moving average of $12.77 and traded as high as $12.85. Infosys shares last traded at $12.8350, with a volume of 27,400,695 shares traded.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on INFY shares. TD Cowen reaffirmed a “hold” rating and set a $11.00 price objective (up from $9.00) on shares of Infosys in a research report on Monday, October 26th. CLSA downgraded shares of Infosys from an “outperform” rating to a “hold” rating in a report on Wednesday, August 19th. JPMorgan Chase & Co. lowered shares of Infosys from an “overweight” rating to a “neutral” rating and decreased their price target for the company from $12.70 to $10.90 in a research report on Friday, July 24th. BMO Capital Markets reissued a “market perform” rating and set a $13.00 price target (up from $12.00) on shares of Infosys in a research report on Monday, October 26th. Finally, HSBC set a $11.47 price target on shares of Infosys and gave the company a “hold” rating in a report on Friday, July 24th. Ten research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Reduce” and a consensus target price of $11.79.

Infosys Trading Down 2.5%

The stock has a market capitalization of $50.56 billion, a PE ratio of 15.41, a price-to-earnings-growth ratio of 3.13 and a beta of 0.87. The company’s 50-day moving average is $11.55 and its 200 day moving average is $12.74.

Infosys (NYSE:INFY) last released its earnings results on Friday, October 23rd. The technology company reported $0.20 earnings per share for the quarter, missing the consensus estimate of $0.21 by ($0.01). The company had revenue of $5.19 billion for the quarter, compared to analysts’ expectations of $5.12 billion. Infosys had a return on equity of 34.81% and a net margin of 16.21%. Sell-side analysts forecast that Infosys Ltd. will post 0.81 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of INFY. Lazard Asset Management LLC lifted its holdings in shares of Infosys by 17.0% during the first quarter. Lazard Asset Management LLC now owns 26,776,494 shares of the technology company’s stock worth $361,750,000 after purchasing an additional 3,893,801 shares during the period. Public Employees Retirement System of Ohio acquired a new position in Infosys in the 2nd quarter worth approximately $23,235,000. RWC Asset Advisors US LLC acquired a new position in Infosys in the 2nd quarter worth approximately $21,758,000. Russell Investments Group Ltd. raised its position in Infosys by 94.8% during the 3rd quarter. Russell Investments Group Ltd. now owns 3,424,050 shares of the technology company’s stock worth $36,569,000 after buying an additional 1,666,200 shares during the last quarter. Finally, Nykredit A S purchased a new position in Infosys during the 2nd quarter worth approximately $11,160,000. 16.20% of the stock is owned by institutional investors and hedge funds.

Infosys Company Profile

Infosys Ltd. is a digital services and consulting company, which engages in the provision of end-to-end business solutions. It operates through the following segments: Financial Services, Retail, Communication, Energy, Utilities, Resources, and Services, Manufacturing, Hi-Tech, Life Sciences, and All Other. The company was founded by Dinesh Krishnan Swamy, Senapathy Gopalakrishnan, Narayana Ramarao Nagavara Murthy, Raghavan N. S., Ashok Arora, Nandan M. Nilekani, and S. D. Shibulal on July 2, 1981 and is headquartered in Bangalore, India.