Infosys Ltd - Delivers on promise, retain BUY - Emkay

Reco: BUY
CMP: Rs 3551
Target Price: Rs 4200

- Dec'13 quarter revenue performance a tad lower however margins come in higher than expected. Better margins and forex gains drive net profit beat

- Raises FY14 rev guidance to 11.5-12% growth inline with expectations. Positive commentary on revenue growth trajectory citing firmer client budgets

- Stability (read: Predictability) continues to return to the company with improvement in client metrics and lower employee attrition

- Tweak FY15/16E EPS higher by 2/3% to Rs 227/261 driven by better margin assumptions. Retain BUY with a revised TP of Rs 4,200 (V/s Rs 3,800 earlier) based on 16xFY16 P/E.

Source : Equity Bulls

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