Infosys Ltd. Message Board
-
Infosys Price Unjustified
I am a curious small time investor and would like
to air my views on Infosys which I have been
watching for some time.
I totally agree that it has all
the fundamentals to perform well but I strongly feel
the scrip overvalued and rigged beyond
imagination.
Its a cartel of Institutinal Investors working hand
and glove with the management to boost the scip. The
constant daily average volume of around 60000 speaks
out.
Added to the fact that the ADR is twice the value of
the Indian scip, the value of the Indian scrip should
be approx - Rs 17200
( $200 * 43 (exchange rate)
* 2 ).
Whereas the current price in India is
just half of the one in US. It is a clear indication
that the Indian Investor does NOT value it as high as
the American Counterpart ( or more correctly) its not
rigged there.
I am perplexed also when I see the bid
and ask rates for Infosys...they vary by a couple of
dollars...
I would be happy if people can give me a more
justifiable explanation of the scrip.
I wonder why the
regulators are not looking int o such volatile stocks that
rise astronomically without any reason.
Afterall
the real techonological companies with strong global
presence and marketing skills are here in USA and none of
them command such hype and volatality.-
Except a tranquilizer or a killer shot from SEC
or Big Investors... don't under estimate the
investors and analysts on the Street.
Its good to
make the money but bad to blinded by the
glow
--
Let market decides overvalue and undervalue
Go
with flow and don't get rolled over by elephant
just
ride on elephant and nothing will
stop the
elephant.... -
Investors always pay a hefty price for a cheery
consensus. These prices, regardless whether the company is
good or bad, are outrageous and reflect high levels of
speculation. All that can be said is beware of this bubble in
the price. How can such excessive prices reflect a
true intrinsic value. Investors indulging in this
excess are bound to feel the pain. Furthermore this is a
company in a foreign land where there is less regulation
and one to question, at least question, whether the
reported earnings are indeed true earnings. Just be
careful.- 2 Replies to krawal
-
just FYI:
INFY's market cap: Rs 28,772
crore = $ 6634.4 billion
Saturday
NOV 20
1999
0014 hrs IST
1344 EST
1844 hrs GMT
Infy at high of Rs 8,780
INFOTECH major,
Infosys Technologies, continued its dream run on the
bourses in Friday trade, peaking to a new high of Rs
8,780 during intra-day trade on the Bombay Stock
Exchange, reports our Mumbai bureau. With this, the market
capitalisation of Infosys has jumped to Rs 28,772 crore, a mere
Rs 1,129 crore short of ONGC's M-cap of Rs 29,901
crore. Hindustan Lever has largest market capitalisation
with an M-cap of Rs 50,237 crore, followed by ONGC and
Infosys. In early trade on the technology weighted Nasdaq,
Infy touched a new high of $218 over its Thursday's
close of $210.
The previous intra-day high touched
by Infosys was Rs 8,720 on the BSE. Infosys finally
closed today at Rs 8,690 on profit booking, a net gain
of Rs 210 over Thursday's close of Rs 8,580. Back on
Nasdaq, Satyam Infoway's ADR was quoted at $57, up three
per cent. -
Anyway Best Of Luck with your investing..
The Entire Market is Overpriced, If everything Burns down, then so be it...
-
Hi rita,
Just my 2c worth of argument
about INFY stock price.
In India, the Stock
price is so high that majority of the trade of the
stock is done by Institutional investors like Mutual
Funds, Morgan Stanley of US etc. And as of now, the
market sentiment in India is dragged down by overall Y2k
scare, even though it doesnt affect Infosys's
business.
Also, the stock price is not in a particular exchange
solely depends on the
<b>The real Reason
why Infosys stock has gone up is the fact that THEY
HAVE CONSISTENTLY ANNOUNCED on an avergae to 100% to
150% boost in Revenue for almost the past three
Quarters!! </b>
The deals they have stuck with
Aetna and other big players in other fields for
software services is huge and will defnitely result in
similar announcement the coming quarter
too...
Wait and watch, some people believe infy will cross
300$ before the millenium.- 1 Reply to nr_setty
-
I whole agree on the strategy , vision and the
performance of the company. What I fail to comprehend is that
its not the only company with fundamentals , there
are a lot of companies with greater global presence
like Siebel for CRM , IBM , Sun , CSCO etc etc. with
large volumes and if you watch their daily performance,
they would rise or fall resonalbly...but I find
Infosys very speculative. Except for a few enthusiasts
like hooligan and you , the general perception among
people is not very encouraging on the way its being
traded ( and not its perf). If at all the stock is being
rigged ( that i strongly feel is) , we should realise
that it cant go on for ever and a first Indian co with
such good fundamentals shouldnt do it.
-
Its worse in America.
Amzn has a p/e of
2000 despite of it
making losses.
INFY
makes profit and tonnes of it.
INFY has a higher
gross margin
partly due to programmers
like
you getting paid in dimes(rupees)
and they
getting paid in return
for Dollars.
Even if
INFY beats the earnings
by a dime the P/E falls
significantly.
The stock pops back and goes higher
and higher
since these guys are
good in
economics.
INFY is there to stay and is comparable
to MSFT
of INDIA.
They can deliver and can do any
thing
as far as software is concerned.
stay put and
you will double your money
in next 12
months.
Its just the beginning of the
software
exports. The actual wave is yet to
come.
Its not that people are foolish.
Its that
poeple have a much better
global
perspective.
The deal with Aetna last week will
generata
billions of rupees or millions
of
dollars.
Economics 101. Make sure you run atleast
2 miles a
day. My buddy has made a
notorious
observation. All Indian
women look like little
elephants.
Pleas excersice and keep in shape.
Happy y2k- 3 Replies to hooligan44
-
i like infy but if you put the same multiple to
revs on ntwk -a company with the same biz model and
same part of the world-they even have a cheaper cost
to write software u have a stock that will trade at
120 up fro 8.i love it and own it -
I dont know even if at any point of time
Micro$oft hit as much high in such a short span of time...
other than after the release of Windows 95 software and
its launch !
Infosys's advantage is that it is
not a product only company and its revenues come from
software services. And Services is the future and way to
go.
Services industry is the future and almost all Indian
companies are geared to it. -
At least indian women know who the hell their
parents are....u r friend probably doesnt know who
his/her parents are...
so please stick to the infy
topics and dont turn this into a disrespecting cheap
chat room.
Short infy EVERYBODY! Lets make more
money....and to hell with madam rita and his/her friend....
-