Current Report: Infosys
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Infosys (INFY) is a leading global IT services provider, with nearly 250,000 employees. The Indian IT services firm leverages its offshore outsourcing model to derive 60% of its revenue from North America.
The company offers traditional IT services: consulting, managed services, cloud infrastructure services, and business process outsourcing as a service.
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.
Three key data points gauge
Infosys or any dividend paying firm.
The key three are:
(1) Price
(2) Dividends
(3) Returns
Those three keys also best tell whether any company has made, is making, and will make money.
INFY Price
Over the past year, Infosys’s share price declined 5.4% as of Tuesday’s market close.
In the past 10 years the company’s share price has rarely been less than $7.00 nor higher than $26.39, its all time high reached in January, 2022.
If shares trade in the range of $15.00 to $25.00 this next year, the recent $22.14 Evertz share price might grow to $23.15. Of course, INFY price could also drop about the same $1.01 estimated amount, or more.
My $1.01 price upside estimate is based on median of one year target prices form thirteen analysts tracking Infosys stock.
INFY Dividend
Infosys Ltd has paid variable semi-annual dividends since June 2004. The company’s most recent SA dividend of $0.3350 was declared May 2nd for shareholders of record May 31st and the payout was made July 3rd. The next INFY dividend is likely to be paid in November.
The $0.335 SA dividend equates to $0.67 annually and yields 3.03%,
INFY Returns
Putting it all together, a $1.68 estimated annual gross gain per share shows up by adding INFY’s annual $0.67 dividend to the estimated price upside of $1.01, totaling that $1.68 gross gain.
Slightly under $1000 buys 45 shares at Mondays $22.14 price.
A $10 broker fee (if charged), taken half at purchase and half at sale, could take about $0.23 per share out of the $1.68 gross-gain to give us a net gain of $1.46 X 45 shares = $65.70 for about a 6.5% estimated net gain for the year.
Furthermore, the $30.30 annual dividend paid from $1k invested is almost 1.5 times more than the $22.14 single share price. By these numbers, INFY might be an ideal dividend dog.
Thus, you might choose to pounce on Infosys Ltd. It is a 43 year-old SA dividend-paying India-based information technology services provider with a 20-year SA dividend record.
The exact track of INFY’s future price and dividend will entirely be determined by market action and company finances.
Remember the true value of any stock is best realized through personal ownership of shares.
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Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...
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