Infosys share price targets: Buy, hold or sell post AI Day 2026?
Infosys target price: JM Financial said AI will prove deflationary. In addition, It continued to worry about increased competition, given tough environment and insourcing – GCCs doing better than IT services.
- Feb 18, 2026,
- Updated Feb 18, 2026 10:07 AM IST
Even as Infosys Ltd shares were trading lower in Wednesday's trade, a handful of brokerages maintained 'Buy' on the IT stock, following the technology major's Investor AI Day 2026. At the event, Infosys management outlined its business strategy and elaborated on the long-term potential of artificial intelligence (AI).
Analysts said discussions centred on whether the current AI wave represents a fundamentally different paradigm from earlier technological shifts, the opportunities AI could unlock across industries, and Infosys’ strategic positioning to capitalise on these developments. Addressing concerns around terminal growth, management indicated that AI expands the addressable opportunity rather than impairing the company’s long-term relevance.
JM Financial said AI will prove deflationary. In addition, It continued to worry about increased competition, given tough environment and insourcing – GCCs doing better than IT services.
"That said, we view apprehensions on terminal growth as overly pessimistic. We prefer Infosys (our top pick in large tiers) given healthy large deal TCV in 9MFY26 with decent net-new providing some near-term comfort. In addition, Financial Services and EURS will see growth acceleration in FY27 versus FY26, as per management. Maintain Buy," it said.
At 10 am, Infosys shares were trading 2.94 per cent lower at Rs 1,350.35 apiece on BSE.
Nuvama said the recent sharp correction in IT stocks was overdone, as fears of disruption by Gen AI have been highly exaggerated. "Infosys, as depicted in the AI day, remains at the forefront of the new tech deployment, and should be a net beneficiary of the same. Maintain ‘BUY’ with an unchanged target of Rs 1,900 (valuing at 23x FY28PE)," it said.
MOFSL said it sees limited evidence for earnings cuts and believes cyclical recovery in Infosys' core businesses is underway. "However, concerns around terminal value and AI-led disruption may restrict near-term multiple rerating. We, therefore, value Infosys at 22 times FY28E EPS, with a target price of Rs 1,850, implying 33 per cent upside," it said.
Nirmal Bang Institutional Equities said IT services in India may continue to build SLM capabilities and deepen tie-ups with the players of the technology stack. It said the technology debt across the industry is high, which needs to be streamlined first, to move ahead with full-fledged Agentic AI technology implementation. The has led to low enterprise AI adoption so far, it said.
"With consistent strong performance in revenue growth for the past 3 quarters and strong visibility for FY27 with early shoots of discretionary spending in BFSI and the EU&R vertical, we turn optimistic on Infosys and re-iterate a ‘BUY’ with an unchanged target of Rs 1,864 (earlier Rs 1,677) while valuing the stock at 22.5 times on December 2027E EPS," Nirmal Bang said.
Even as Infosys Ltd shares were trading lower in Wednesday's trade, a handful of brokerages maintained 'Buy' on the IT stock, following the technology major's Investor AI Day 2026. At the event, Infosys management outlined its business strategy and elaborated on the long-term potential of artificial intelligence (AI).
Analysts said discussions centred on whether the current AI wave represents a fundamentally different paradigm from earlier technological shifts, the opportunities AI could unlock across industries, and Infosys’ strategic positioning to capitalise on these developments. Addressing concerns around terminal growth, management indicated that AI expands the addressable opportunity rather than impairing the company’s long-term relevance.
JM Financial said AI will prove deflationary. In addition, It continued to worry about increased competition, given tough environment and insourcing – GCCs doing better than IT services.
"That said, we view apprehensions on terminal growth as overly pessimistic. We prefer Infosys (our top pick in large tiers) given healthy large deal TCV in 9MFY26 with decent net-new providing some near-term comfort. In addition, Financial Services and EURS will see growth acceleration in FY27 versus FY26, as per management. Maintain Buy," it said.
At 10 am, Infosys shares were trading 2.94 per cent lower at Rs 1,350.35 apiece on BSE.
Nuvama said the recent sharp correction in IT stocks was overdone, as fears of disruption by Gen AI have been highly exaggerated. "Infosys, as depicted in the AI day, remains at the forefront of the new tech deployment, and should be a net beneficiary of the same. Maintain ‘BUY’ with an unchanged target of Rs 1,900 (valuing at 23x FY28PE)," it said.
MOFSL said it sees limited evidence for earnings cuts and believes cyclical recovery in Infosys' core businesses is underway. "However, concerns around terminal value and AI-led disruption may restrict near-term multiple rerating. We, therefore, value Infosys at 22 times FY28E EPS, with a target price of Rs 1,850, implying 33 per cent upside," it said.
Nirmal Bang Institutional Equities said IT services in India may continue to build SLM capabilities and deepen tie-ups with the players of the technology stack. It said the technology debt across the industry is high, which needs to be streamlined first, to move ahead with full-fledged Agentic AI technology implementation. The has led to low enterprise AI adoption so far, it said.
"With consistent strong performance in revenue growth for the past 3 quarters and strong visibility for FY27 with early shoots of discretionary spending in BFSI and the EU&R vertical, we turn optimistic on Infosys and re-iterate a ‘BUY’ with an unchanged target of Rs 1,864 (earlier Rs 1,677) while valuing the stock at 22.5 times on December 2027E EPS," Nirmal Bang said.