Stocks to buy: JM Financial expects soft Q2 season for IT majors; check target prices for Infosys, TCS, others
Infosys moved higher in a quarterly results development.
29 Sept 2026 · ET Stocks, Economic Times Markets, LiveMint Markets
JM Financial predicts a lackluster Q2 earnings season for leading IT companies. Despite obstacles, firms like TCS and Infosys exhibit target prices suggesting room for growth. The brokerage foresees ongoing competitive challenges and macroeconomic instability. However, with wage hikes coming to an end for certain companies, margins are expected to improve.
The analysis
Against that, the stock is -2.0% on the day at ₹993.20, and has returned -7.4% over three months. It sits 41% below its 52-week high, which means a good deal of bad news was already in the price. The it sector has moved -3.2% over the same period, so Infosys is running 4.2 points behind its peers.
For Infosys, the question is how much of this is already reflected in the price and how much re-rates the it peer set alongside it.
Why it matters
- Earnings versus expectations is what actually re-rates a stock; the surprise matters more than the absolute number.
Market context
- The company directly in focus is INFY.
- Sector exposure: IT.
In this story
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