Home > PB Ratio > INFOSYS

INFOSYS
PB (Price/Book ) Ratio

The Current P/B Ratio of INFOSYS is 8.69.

Share Price ₹1,825.6Nov 19,2024
Market Cap ₹758,004.9 Cr
Book Value₹87,203.0 CrMar2024 - Consolidated Results
Price/Book 8.69xCalculated as MarketCap/Book Value
Explore Stock Analytics
COMMUNITY POLL
for INFOSYS
Please provide your vote to see the results
INFOSYS is part of below Screeners ↓
Top Large Cap Stocks with Best Fundamentals
Best Quarterly Growth Large Cap Stocks

Definition & Calculation of PB (Price/Book ) ratio of INFOSYS

Price-to-Book ratio, P/B Multiple, or P/B Ratio is an important valuation multiple that is defined as:

P/B = Market Capitalization / Book Value

or, using per-share numbers:

P/B = Stock Price / Book Value Per Share

Applying the above formula, P/B ratio of INFOSYS is calculated as :

Current Market Cap [ ₹758,004.9 Cr] as on Nov 19,2024

(/) Book Value [ ₹87,203.0 Cr] based on Mar2024 - Consolidated Results

(=) P/B Ratio [ 8.69x ]

P/B Ratio indicates 'the multiple of book value' investors are willing to pay to own one share of the company.

Thus, for INFOSYS , the investors are currently willing to pay '8.69 times book value' to own 1 share of the company.

PB Multiples are one of the most widely used valuation multiple in industry.

Since P/B ratio uses Book Value in the calculation, P/B multiples are not always reliable for valuing companies with negative book value.

In such cases, you may consider using Price to Earnings ratio or Price to Sales ratio of INFOSYS !

The chart below summarizes the trend in P/B Ratio of INFOSYS over the last five years.

Historical PB (Price/Book ) ratio chart of INFOSYS


PB Ratio Performance Analysis for INFOSYS

- INFOSYS 's latest p/b ratio is 8.69x.

- INFOSYS 's p/b ratio for fiscal years ending Mar2024 to Mar2020 averaged 7.51x.

- INFOSYS 's operated at median p/b ratio of 7.65x from fiscal years ending March 2018 to 2022.

- Looking back at the last 5 fiscal years, INFOSYS 's p/b ratio peaked in Mar2022 at 10.7x.

- INFOSYS 's p/b ratio hit its five-year low in Mar2020 of 4.17x.


How does INFOSYS 's P/B Ratio benchmark against top 10 peers in IT - Software Industry?

Peer Comparison (IT - Software Industry)Book ValuePB RatioMarket Cap
INFOSYS 87,203.008.69758,004.9
TATA CONSULTANCY SERVICES LTD90,489.0016.151,461,450.0
HCL TECHNOLOGIES LTD67,624.007.30493,941.0
WIPRO LTD73,894.603.98293,842.0
LTIMINDTREE LTD19,673.808.85174,055.0
TECH MAHINDRA LTD26,364.906.31166,287.0
ORACLE FINANCIAL SERVICES SOFTWARE LTD7,725.9312.5396,841.7
PERSISTENT SYSTEMS LTD4,720.8718.6187,870.1
L&T TECHNOLOGY SERVICES LTD5,231.0010.3954,325.2
TATA ELXSI LTD2,490.6316.3840,788.1
MPHASIS LTD8,541.346.1852,826.1

IT - Software Industry Benchmark (Top 10) PB Analysis vs INFOSYS 's P/B Ratio

Top 10 Industry PeersPB Ratio
Min industry PB 3.98x
Max industry PB 18.61x
Median industry PB 8.85x
Average industry PB 10.49x



You may also like the below Video Courses