Infosys has overtaken Tata Consultancy Services (TCS) as the preferred stock option as Foreign institutional investors (FIIs) and domestic investors bet on the strong earnings under Vishal Sikka's leadership over the next couple of years.
In the June quarter alone, FIIs have raised their stake in Infosys by 300 basis points to 40.99 per cent and domestic investors have increased their stake by 100 basis points to 16.11 per cent, according to an Economic Times report.
On the other hand, the demand for TCS shares have remained constant in the June quarter.
Over the past one year, Infosys shares have gained by 36 per cent while that of TCS have remained more or less constant.
It is for the first time that Infosys has outperformed TCS in terms of revenue and growth in the June quarter.