INFOSYS
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The Current P/E Ratio of INFOSYS is 22.84.
Share Price | ₹1,444.1 | May 17,2024 |
Market Cap | ₹599,497.4 Cr | |
Earnings-TTM | ₹26,248.0 Cr | TTM-Consolidated Results |
Price/Earnings | 22.84x | Calculated as Market Cap/Earnings |
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Explore Stock Analytics |
Definition & Calculation of PE (Price/Earnings) ratio of INFOSYS
P/E =
Market Capitalization
/ Net Income
or, using per-share numbers:
P/E = Stock Price /
Earnings Per Share (EPS)
Current Market Cap [ ₹599,497.4 Cr] as on May 17,2024
(/) Earnings [ ₹26,248.0 Cr] based on TTM-Consolidated Results
(=) P/E Ratio [ 22.84x ]
Thus, for INFOSYS , the investors are currently willing to pay 22.84 times earnings to own 1 share of the company.
PE Multiples are the most widely used valuation multiple in practice.
Since P/E ratio uses Net Income in the calculation, P/E multiples are not always reliable for valuing companies with negative earnings.
In such cases, you may consider using Price to Book ratio or Price to Sales ratio of INFOSYS !
P/E ratios, also, would not adjust for differences in the capital structure between companies.
The chart below summarizes the trend in P/E Ratio of INFOSYS over the last five years.
Historical PE (Price/Earnings) ratio chart of INFOSYS
PE Ratio Performance Analysis for INFOSYS
- INFOSYS 's p/e ratio for fiscal years ending Mar2024 to Mar2020 averaged 26.15x.
- INFOSYS 's operated at median p/e ratio of 24.52x from fiscal years ending March 2018 to 2022.
- Looking back at the last 5 fiscal years, INFOSYS 's p/e ratio peaked in Mar2022 at 36.16x.
- INFOSYS 's p/e ratio hit its five-year low in Mar2020 of 16.36x.
How does INFOSYS 's P/E Ratio benchmark against top 10 peers in IT - Software Industry?
Peer Comparison (IT - Software Industry) | Earnings-TTM (Cr) | PE Ratio | Market Cap |
---|---|---|---|
INFOSYS | 26,248.00 | 22.84 | 599,497.4 |
TATA CONSULTANCY SERVICES LTD | 46,099.00 | 30.09 | 1,387,160.0 |
HCL TECHNOLOGIES LTD | 15,710.00 | 23.02 | 361,718.0 |
WIPRO LTD | 11,135.40 | 21.65 | 241,040.0 |
LTIMINDTREE LTD | 4,584.60 | 30.79 | 141,137.0 |
TECH MAHINDRA LTD | 2,386.30 | 53.42 | 127,469.0 |
ORACLE FINANCIAL SERVICES SOFTWARE LTD | 2,219.36 | 30.40 | 67,474.2 |
PERSISTENT SYSTEMS LTD | 1,093.49 | 49.84 | 54,501.4 |
L&T TECHNOLOGY SERVICES LTD | 1,306.20 | 36.08 | 47,123.4 |
TATA ELXSI LTD | 792.24 | 57.85 | 45,831.4 |
MPHASIS LTD | 1,554.82 | 28.09 | 43,680.7 |
IT - Software Industry Benchmark (Top 10) PE Analysis vs INFOSYS 's P/E Ratio
Top 10 Industry Peers | PE Ratio |
---|---|
Min industry PE | 21.65x |
Max industry PE | 57.85x |
Median industry PE | 30.40x |
Average industry PE | 34.92x |
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