Infosys Share Price: IT stock falls 25% from 52-week high, but brokerages see upto 35% upside — Here’s why

Brokerages have maintained a positive stance on Infosys Limited after it announced a strategic partnership with US-based artificial intelligence firm Anthropic to develop and deploy advanced enterprise AI solutions across industries such as telecommunications, financial services, manufacturing and software development.

As part of the collaboration, the companies will establish a dedicated Anthropic Centre of Excellence for the telecom sector. The centre will focus on building and deploying AI agents designed for industry-specific operations. Infosys said the initiative will later be expanded to other regulated sectors.

Infosys Share Price

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Shares of Infosys closed at Rs 1,391 on Tuesday. At the current price of Rs 1,390.90, the stock is trading about 25.3 per cent below its 52-week high of Rs 1,861.65 touched on February 18, 2025.

Despite the recent correction, analysts see meaningful upside from current levels. Based on target prices given by major global brokerages, the stock has a potential upside of around 30–35 per cent, which translates to an upside of roughly Rs 449–Rs 489 from current levels.

Infosys Share Price History

Infosys shares have seen significant volatility in recent months. The stock is down 5.48 per cent over the past week and has fallen 17.66 per cent in the past month. So far in 2026, it has declined 14.63 per cent.

Over the past year, the stock has dropped 24.87 per cent. Over three years, it is down 12.15 per cent. However, on a five-year basis, the stock has delivered a modest gain of 7.65 per cent.

The correction reflects broader weakness in IT stocks amid concerns over global demand, pricing pressure and the impact of AI-led productivity gains.

What Brokerages Say

Global brokerage Jefferies has maintained a “Buy” rating on Infosys with a target price of Rs 1,880. At current levels, this implies an upside of roughly 35 per cent.

Jefferies said that IT services companies will continue to play a central role in enterprise AI implementation. According to the brokerage, AI adoption by businesses is not a plug-and-play process and requires system integration, consulting and ongoing support — areas where established IT services firms like Infosys are well positioned.

Jefferies highlighted that Infosys has built its own AI platform, Infosys Topaz Fabric, and is going to market jointly with AI ecosystem partners. The brokerage said the company has adopted a two-pronged talent strategy — one to capture new AI-led demand and another to strengthen its existing service lines.

It also noted that client AI adoption is steadily rising. New AI services contributed around 5.5 per cent of revenues in the third quarter of FY26. Around 90 per cent of Infosys’ top 200 large clients are currently using its AI services, Jefferies said.

Another global brokerage, Bank of America (BofA), has also maintained a “Buy” rating with a target price of Rs 1,840, implying an upside of around 32 per cent.

BofA said Infosys has several positives in terms of AI positioning. However, it added that while the net opportunity from AI could be large, the path to monetisation is still evolving.

According to BofA, enterprise AI is not plug-and-play. Successful adoption will depend heavily on strategy and execution. The brokerage said revenue from AI-first offerings stands at 5.5 per cent, broadly in line with peers that have disclosed similar numbers.

BofA also pointed out that the key risk in AI lies less in the size of the opportunity and more in how effectively companies execute their strategy. It said the partnership with Anthropic underlines the important role IT services companies will play in helping enterprises adopt AI solutions.

Meanwhile, UBS has maintained its “Buy” rating on Infosys with a target price of Rs 1,870, implying an upside of about 34 per cent.

UBS believes opportunities from AI are likely to outweigh potential margin pressure caused by productivity gains. The brokerage estimates that AI could create a USD 300–400 billion opportunity globally, which may offset compression in traditional IT services revenues.

However, UBS cautioned that while AI potential is expanding rapidly, many organisations are still not fully ready to implement AI at scale. It said IT service vendors need to strengthen capabilities through talent development, platforms, intellectual property, partnerships and acquisitions. UBS said it will closely track Infosys’ progress in these areas.

Sector Context: IT Indices Still Below Peaks

The broader IT sector has also corrected significantly from its highs. The BSE Information Technology index is currently about 29.45 per cent below its all-time high.

The Nifty IT index is approximately 19.15 per cent below its 52-week high.