Infosys Stock Falls 10% Despite CEO’s Optimism on AI Growth Opportunities
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Infosys shares decline to $1,343.50 amid concerns over AI disruptions affecting revenues, with analysts noting potential losses of up to 40%. Despite bearish trends, CEO Salil Parekh expresses confidence in AI-driven growth opportunities, highlighting collaboration on AI projects with 90% of top clients and the expansion of active AI initiatives.
The share price of global IT provider Infosys remains under significant selling pressure on Monday following a bloodbath that primarily impacted India’s leading tech stocks last week. At time of writing, Infosys is trading for $1,343.50, down from the previous close of $1,369.10.
Bearish Sentiments
Analysts say that the dampened sentiment on Infosys and other Indian tech stocks is driven by weak global cues and concerns over AI-led disruption.
This comes as the American AI safety and research company Anthropic launches Claude Opus 4.6, its latest AI model that the firm touted to be better at coding and creating higher-quality professional work.
Fears arise that more advanced AI systems will lead to massive losses. According to some market watchers, up to 40% of revenues are at risk if automated systems take over tasks traditionally handled by humans.
“The sector continues to face headwinds amid rising concerns that rapid AI advancements could disrupt traditional service models and weigh on future revenue visibility,” says Siddhartha Khemka, senior group VP and head of research at Motilal Oswal Financial Services, as reported by the Times of India.
Optimism for AI-led Opportunities
Despite rising concerns over AI, Infosys CEO Salil Parekh has shared his optimism that artificial intelligence-led opportunities will drive the company’s growth over the next few years.
During the company’s earnings call last month, Parekh said that Infosys is scaling AI internally and across its client base.
“We believe we are uniquely positioned to capture market share across these value pools and emerge as the leading AI value creator for global enterprises,” Parekh said during the earnings call last month.
According to data from AIM, Infosys is now working with 90% of its top 200 clients on AI programs, running 3,600 active AI projects, building more than 500 AI agents and generating over 28 million lines of code using AI tools.
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Infosys Stock Falls 10% Despite CEO’s Optimism on AI Growth Opportunities
Share:
Infosys shares decline to $1,343.50 amid concerns over AI disruptions affecting revenues, with analysts noting potential losses of up to 40%. Despite bearish trends, CEO Salil Parekh expresses confidence in AI-driven growth opportunities, highlighting collaboration on AI projects with 90% of top clients and the expansion of active AI initiatives.
The share price of global IT provider Infosys remains under significant selling pressure on Monday following a bloodbath that primarily impacted India’s leading tech stocks last week. At time of writing, Infosys is trading for $1,343.50, down from the previous close of $1,369.10.
Bearish Sentiments
Analysts say that the dampened sentiment on Infosys and other Indian tech stocks is driven by weak global cues and concerns over AI-led disruption.
This comes as the American AI safety and research company Anthropic launches Claude Opus 4.6, its latest AI model that the firm touted to be better at coding and creating higher-quality professional work.
Fears arise that more advanced AI systems will lead to massive losses. According to some market watchers, up to 40% of revenues are at risk if automated systems take over tasks traditionally handled by humans.
“The sector continues to face headwinds amid rising concerns that rapid AI advancements could disrupt traditional service models and weigh on future revenue visibility,” says Siddhartha Khemka, senior group VP and head of research at Motilal Oswal Financial Services, as reported by the Times of India.
Optimism for AI-led Opportunities
Despite rising concerns over AI, Infosys CEO Salil Parekh has shared his optimism that artificial intelligence-led opportunities will drive the company’s growth over the next few years.
During the company’s earnings call last month, Parekh said that Infosys is scaling AI internally and across its client base.
“We believe we are uniquely positioned to capture market share across these value pools and emerge as the leading AI value creator for global enterprises,” Parekh said during the earnings call last month.
According to data from AIM, Infosys is now working with 90% of its top 200 clients on AI programs, running 3,600 active AI projects, building more than 500 AI agents and generating over 28 million lines of code using AI tools.
Read More
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