Should you buy sell or hold Infosys stock after Q4 results

 Infosys Q4 Result Analysis 2023:

Infosys declared its Q4 2023 results and It was really very disappointing performance by the company and Future guidance also looks very slow as per management commentary in media. Let’s have a look on the Infosys Q4 results then we will decide that what we should do in Infosys stock.

Revenues guidance of Infosys in Q4 2023 results:

Infosys Company is expecting constant currency revenues growth only 4% to 7% in FY24 as compared with expectations of 6% to 8% for FY 24. It is clear from this percentage that company is projecting single digital revenues growth instead of double digits revenues growth. Company reported decline in constant currency i.e 3.2% revenues against the market expectations of 0.4% to .054% increase, which worst performance if compare with last 10 years. Dollar revenues 2.2% declined in this Q4 which is also not as per the market expectations who was expecting 1.33% increase in it.  

Financial Performance of Infosys in Q4 results 2023: 

Profit after tax of Infosys in Q4 results 2023:

PAT rises 8% YOY to 6,130cr against the street expectation of 6553cr., Fy24 revenues growth at 4.7%. Also, there some orders cancellations from the order book of company. It looks like; company management wants to play FY24 very carefully.  

Company has also given margin guidance 20% to 22% which is also low as compared with stock market expectation of 21% to 23%. Total income generated by company i.e 37.441cr against the expectations of 38,830 cr. EBIT margins declared at 7877cr against the market expectations of 8370cr. For this Quarter company declared EBIT margins 21% which is very closer to market expectations of 21.5%

Company Declared Dividend:

Infosys declared the final dividend of 17.5 per share.

What investors & traders should do in Infosys stock after such a week revenues guidance by company management?

As per our analysis, Infosys has declared very disappointing results. We had already given alert to our website viewers that we may see some slow down into the Indian stock market as well as world stock markets. 

Read it: can world economic recession come in the year 2023

In the Q3 results of Infosys, we had given buy call on this stock and all targets met in this stock and all our website viewers had earned profit in this stock. You can read previous view on Infosys stock after Q3 results 2023. 

Read it: Infosys stock buy, sell or hold after Q3 results

Should you hold, sell or buy Infosys stock after Q4 results in 2023?

Infosys stock had given close at 1383.40rs on 13/04/2023 which was already a weak closing on technical charts. In case, we see gap down opening in Infosys stock on Monday (17/04/2023) then we should not sell any stock in this panic situation. After gap down opening ( If does) let the stock settle down then make your decision.

Short term trading strategy in Infosys Stock after Q4 results:

Sell Infosys stock:

If Infosys stock breaks the price level of 1369rs 7 trade below this level then we may see price levels of 1352rs. 1340rs, 1328rs, 1310r, 1290rs to 1260rs.

In any worst situation of market, If Infosys stock breaks price levels of 1252rs and gives close below these levels in coming days then we may see deep down side in this stock which can drag Infosys stock price to 1200rs to 1150rs or more down side up to 1050rs levels or will open doors for the stock price levels during covid19 time of march 2020. But mind it; this can only be happen in worst situation.

Buy Infosys stock:

If market does not give panic reacting on Infosys Q4 results then traders can keep an eye on 1398rs if Stock trade above this level then keep strict stoploss of 1385rs and price targets may give some kick to stock price upto the levels of 1425rs to 1485rs+ but trade with strict stoploss only.

Recommendation on Infosys stock for long term investors after Q4 results 2023:

Long term investors should not be panic in Infosys stock even after Q4 results.Company management is good but global factors cannot be ignored. For us, more worry point is that cancellation of orders. It will be good to see what will be the order book of the company for FY24. Long term Investors should keep stoploss of 1118rs. If Infosys stock gives close below 1118rs on closing basis then long term investors may take exit from the stock and try to re-enter at lower levels.

 Disclaimer: We are not holding this stock. Before taking decision for buying or selling Infosys stock. Also please take advice from your investment advisor.