Infosys Result Preview - CMP: Rs.2,918 / TP: Rs.3,312 / Upside: 9% - Angel Broking

Infosys is slated to announce its 4QFY2013 results today. We expect the company to post 4.2% qoq growth in USD revenue at US$1,990mn, aided by lodestone acquisition. In rupee terms, revenues are expected to come in at Rs.10,788cr, up 3.5% qoq. EBITDA margin is expected to decline by 91bp qoq 27.6%, impacted by moderate wage hikes given to its onsite employee base. PAT is expected to be at Rs.2,283cr.

Key points to watch out for are: a) USD revenue growth guidance for FY2014 which we expect it to be ~11% yoy, 2) client budget outlook, 3) indications on discretionary spending in CY2013, and 4) hiring plans for the year. We maintain our Accumulate rating on the stock with a target price of Rs.3,132.

Source : Equity Bulls

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