7 Reasons Why Infosys Is Not Optimistic About Future


#6 Company is still too conservative

If we go by recent stats, the company has 6-10 percent of the full year revenue guidance that sums up to 1 percent of quarterly run rate if it meets the lower end of the guidance, which is largely conservative. In order to grow full year revenues by 10 percent, however, the company’s quarterly run-rate has to be 1.4 percent. Even the company’s CEO, Shibulal, did not seem very optimistic about the future due to volatility in the global space.

#5 Ramp ups may take time

If the macroeconomic uncertainties are to be considered, the rate of ramp-ups by the company have been uneven due to which revenue growth is likely to remain unstable. Though the company has bagged 7 large deals of which some are $100 million in size, it does not expect all of it to flow into revenues over the next few quarters as ramp-ups might take time.

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