Infosys Q4 Preview 2026: FY27 Guidance, Key Levels

Infosys slips to ₹1,250 as Q4 results near

Infosys shares were trading around ₹1,250.60, down 1.50%, as investors stayed cautious ahead of the company’s upcoming Q4 results. The stock was close to its 52-week low of ₹1,215.10, keeping short-term sentiment fragile. Intraday, the share moved between a high of ₹1,265.50 and a low of ₹1,243, reflecting active two-way trade. Volumes were elevated, with over 14.1 million shares changing hands on the day. The stock was also near its VWAP of ₹1,252.83, suggesting price action was clustered around the day’s average traded level.

The near-term focus is less on a single quarter and more on management’s forward commentary. In particular, the most watched variable is the company’s constant-currency growth guidance for FY27, given the broader uncertainty around tech budgets.

The technical map traders are watching

Moneycontrol’s chart levels placed the pivot point at ₹1,253, right where the stock was trading. Immediate resistance levels were cited at ₹1,263 and ₹1,275. On the downside, support was placed near ₹1,240 and ₹1,230. The market view embedded in these levels is straightforward: a move above the resistance band can ease pressure, while a decisive break below support can intensify selling.

These levels matter more than usual because the stock is already hovering near a major reference point - its 52-week low. When a stock trades close to its yearly low, even a modest negative surprise in outlook can shift positioning quickly, especially in a results week.

Street expectations: FY26 growth, deal wins, and margins

Brokerage commentary referenced in the material remained broadly constructive despite the recent weakness. Analysts expected around 3.4% revenue growth in constant currency for FY26. The life sciences segment was flagged as a potential support for growth, alongside expectations of steady deal momentum.

On large deals, the expectation cited was total contract value (TCV) of about $11.7 billion. That figure, if delivered, would reinforce the view that demand is not collapsing even as some enterprises reassess discretionary spending. Margins were expected to be around 20.7%, described as slightly lower than last year due to higher third-party costs.

What makes FY27 guidance the key trigger

The stock’s next move was framed as heavily dependent on Q4 results and future guidance. Deal wins and stable demand can help, but management’s tone on FY27 becomes the anchor for valuation and near-term re-rating. Investors typically map guidance to multiple follow-on questions: the pace of client decision-making, the durability of large programs, and how delivery costs evolve.

The IT services sector is also grappling with mixed forces. The rise of generative AI has introduced uncertainty about how client spending gets reallocated. At the same time, the note said demand for IT services is still stable, implying the environment is not uniformly weak but more selective.

Wider backdrop: Q4 earnings season for Indian IT

Indian IT’s Q4 earnings season was set to start with Tata Consultancy Services on April 9, 2026. Infosys results were highlighted as a closely watched print after that, as investors look for confirmation on sector demand and pricing.

Sentiment has been weak in recent months, with global factors such as energy shocks amid the US-Iran war and geopolitical tensions affecting risk appetite. These macro variables often influence IT valuations even when company-specific execution remains steady, because they shape currency moves, client confidence, and near-term budget visibility.

A look back: Q3 guidance upgrade and brokerage optimism

As background, separate reports referenced how Infosys had earlier raised its FY26 constant currency revenue growth guidance to 3%-3.5% from 2%-3%. That upgrade, in a seasonally weaker quarter, was interpreted by some analysts as a sign of better execution and improving demand conditions.

Brokerage targets mentioned across the material were wide, underscoring differing assumptions on growth and valuation. CLSA reiterated an ‘Outperform’ rating with a target price of ₹1,779. HSBC maintained a ‘Buy’ rating with a target price of ₹1,870. Other cited targets included ₹1,865 (Choice), ₹1,900 (Nuvama), ₹1,750 (Emkay), and ₹2,200 (MOFSL). Separately, JM Financial’s target price was cited at ₹1,672 in the context of the Q4 preview and expectations for FY26 growth, deal wins, and margins.

Key datapoints at a glance

Market impact: why the setup matters for INFY

With the stock near support and close to its 52-week low, Q4 prints and guidance can have an outsized effect on positioning. The material repeatedly pointed to a “wait-and-watch” zone, where investors are hesitant to take aggressive bets without clarity on the next year’s growth range.

For short-term traders, the pivot, support, and resistance levels provide a framework for how the market may react immediately after the results. For longer-term investors, the focus is on whether strong deal wins translate into revenue conversion and whether margins remain resilient around the expected levels.

Analysis: what to track in management commentary

The most actionable signals highlighted in the content are (1) the constant-currency growth outlook, (2) the scale and quality of deal wins, and (3) margin trajectory amid higher third-party costs. Taken together, these shape whether the market treats current weakness as consolidation or a sign of deeper caution.

The backdrop of energy shocks and geopolitical tension, alongside uncertainty created by generative AI, means the bar for confidence-building commentary is higher. Stable demand is helpful, but investors typically want to hear where demand is strongest, and how quickly clients are committing budgets.

Conclusion

Infosys was trading near ₹1,250 with defined technical levels as investors awaited Q4 results and, more importantly, the next set of guidance signals. Expectations cited include ~3.4% FY26 constant-currency growth, ~$11.7 billion in TCV deal wins, and margins around 20.7%. The immediate next step for the stock, as framed in the material, will hinge on the company’s results, FY27 outlook commentary, and how markets digest sector cues during the Q4 earnings season.