Infosys Intrinsic Value
INFY Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹852.48 | ₹681.98 - ₹1022.98 | -37.0% | EPS: ₹71.04, Sector P/E: 12x |
| Book Value Method | asset | ₹464.08 | ₹417.67 - ₹510.49 | -65.7% | Book Value/Share: ₹464.08, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹701.93 | ₹631.74 - ₹772.12 | -48.1% | Revenue/Share: ₹877.41, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹1331.80 | ₹1198.62 - ₹1464.98 | -1.6% | EBITDA: ₹46068.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹2039.64 | ₹1631.71 - ₹2447.57 | +50.7% | CF Growth: 11.3%, Discount: 15% |
| PEG Ratio Method | growth | ₹454.66 | ₹409.19 - ₹500.13 | -66.4% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹585.37 | ₹526.83 - ₹643.91 | -56.7% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹2276.89 | ₹2049.20 - ₹2504.58 | +68.3% | ROE: 30.7%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹861.27 | ₹775.14 - ₹947.40 | -36.4% | EPS: ₹71.04, BVPS: ₹464.08 |
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 ₹1353.20, this represents a -37.0% variance from our estimated fair value.
The valuation range spans from ₹454.66 to ₹2276.89, indicating ₹454.66 - ₹2276.89.
Is INFY undervalued or overvalued?
Based on our multi-method analysis, Infosys (INFY) appears to be trading above calculated value by approximately 37.0%.
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 |
Related Pages for Infosys
Additional stock information and data for INFY
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 |