Infosys Intrinsic Value

INFY • Information Technology
Current Stock Price
₹1639.00
Primary Intrinsic Value
₹852.48
Market Cap
₹3397.6K Cr
-48.0% Downside
Median Value
₹852.48
Value Range
₹464 - ₹2277
Assessment
Trading Above Calculated Value
Safety Margin
-92.3%

INFY Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹852.48 ₹681.98 - ₹1022.98 -48.0% EPS: ₹71.04, Sector P/E: 12x
Book Value Method asset ₹464.08 ₹417.67 - ₹510.49 -71.7% Book Value/Share: ₹464.08, P/B: 1.0x
Revenue Multiple Method revenue ₹701.93 ₹631.74 - ₹772.12 -57.2% Revenue/Share: ₹877.41, P/S: 0.8x
EBITDA Multiple Method earnings ₹1331.80 ₹1198.62 - ₹1464.98 -18.7% EBITDA: ₹46068.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹2039.64 ₹1631.71 - ₹2447.57 +24.4% CF Growth: 11.3%, Discount: 15%
PEG Ratio Method growth ₹491.70 ₹442.53 - ₹540.87 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹585.37 ₹526.83 - ₹643.91 -64.3% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹2276.89 ₹2049.20 - ₹2504.58 +38.9% ROE: 30.7%, P/E Multiple: 16x
Graham Defensive Method conservative ₹861.27 ₹775.14 - ₹947.40 -47.5% EPS: ₹71.04, BVPS: ₹464.08
Method Types: Earnings Asset DCF Growth Dividend Conservative

Want to compare with current market value? Check INFY share price latest .

Valuation Comparison Chart

INFY Intrinsic Value Analysis

What is the intrinsic value of INFY?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Infosys (INFY) is ₹852.48 (median value). With the current market price of ₹1639.00, this represents a -48.0% variance from our estimated fair value.

The valuation range spans from ₹464.08 to ₹2276.89, indicating ₹464.08 - ₹2276.89.

Is INFY undervalued or overvalued?

Based on our multi-method analysis, Infosys (INFY) appears to be trading above calculated value by approximately 48.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 9.86 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Debt to Equity Ratio 1.55 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 30.7% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 24.0% Industry Standard: 20%+ Above 20% Indicates operational efficiency level
Asset Turnover Ratio 1.22x Industry Standard: 1.0x+ Above 1.0x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹35,694 Cr ₹34,762 Cr Positive Free Cash Flow 8/10
March 2024 ₹25,210 Cr ₹22,664 Cr Positive Free Cash Flow 8/10
March 2023 ₹22,467 Cr ₹21,932 Cr Positive Free Cash Flow 8/10
March 2022 ₹23,885 Cr ₹20,643 Cr Positive Free Cash Flow 8/10
March 2021 ₹23,224 Cr ₹19,538 Cr Positive Free Cash Flow 8/10