Down 1.16% to ₹1,556.20 Despite Q1 Profit Rise

1. Why did Infosys share price fall on July 24, 2025?
Infosys share price fell 1.16% to ₹1,556.20 on July 24 due to a downward revision in its FY26 revenue guidance to 1–3%. Despite strong Q1 results, including a net profit of ₹6,921 crore, investors reacted negatively to lower free cash flow and macroeconomic headwinds impacting future growth projections.
2. Is Infosys a good stock to buy after Q1 FY26 results?
Infosys posted strong Q1 earnings and healthy deal wins, but its cautious guidance has spooked investors. Brokerages like Choice Broking still recommend a “Buy” with a target of ₹1,810 due to its positioning in AI-led digital transformation. Long-term investors may view this dip as a buying opportunity.
3. What is the Infosys stock target price for 2025 and 2026?
Brokerages have mixed targets for Infosys. Choice Broking has set a target of ₹1,810, citing long-term digital potential. Jefferies maintains a “Buy” with a more conservative target of ₹1,660. These reflect optimism for AI growth, tempered by near-term revenue concerns.
4. What were Infosys Q1 FY26 earnings highlights?
Infosys reported a Q1 FY26 net profit of ₹6,921 crore, up from ₹5,945 crore YoY. Revenue stood at ₹39,275 crore, while EPS rose 8.6%. However, free cash flow dropped by 17.7%, and the company revised its revenue growth guidance downward, which affected investor sentiment.
5. How is Infosys positioned in the AI and digital transformation space?
Infosys is leveraging AI and automation to drive digital transformation across sectors. The company has secured strong deal wins in this area, positioning itself as a key player. Brokerages see this as a growth engine, despite near-term revenue caution impacting the stock.