All You Need to Know Before Investing in Infosys Share

Infosys is one of the leading Indian IT services companies offering traditional and digital IT and consulting services.

The company's digital services-related capabilities in cloud computing, the internet of things (IoT), big data and analytics, and artificial intelligence (AI) are ranked the best in the industry.

The key business verticals for Infosys are financial services, retail, communication, energy and utilities, and manufacturing.

Core Business of Infosys

Business Verticals

	Infosys
Key Business Verticals	Financial services
	Retail
	Communication
	Energy and utilities
	Manufacturing
Competitive advantage	Digital services
	Internet of things (IoT)
	Big data and analytics
	Artificial Intelligence (AI)

Data Source: Company data

Key Personnel

Creating a strong management team is a vital component of running a successful business. A firm is only as good as the individuals who manage it. 

Checking management quality entails doing a background check on persons in charge of the business.

Infosys has always had visionary management to guide the company through good times and bad. Over time, Infosys' management has earned a reputation for being ahead of the curve in terms of human resource management policies and investor relations.

Here are the key personnel of Infosys:

• Nandan Nilekani - Chairman
• A G S Manikantha - Company Secretary
• Helene Auriol Potier - Independent Director
• D Sundaram - Lead Independent Director
• Salil S Parekh - Managing Director
• Bobby Parikh - Non-Executive Independent Director
• Chitra Nayak - Non-Executive Independent Director
• Govind Vaidiram Iyer - Non-Executive Independent Director
• Michael Gibbs - Non-Executive Independent Director

Subsidiaries

Once led by the legendary Narayan Murthy, Infosys has remained investors' favourite stock for a long time.

After all, it is among the fastest growing companies in India and people often look for traits which Infosys has when they search for the best multibaggers stocks.

Infosys is the second-largest Indian IT company after Tata Consultancy Services (TCS) and a lot of its operations are conducted via its subsidiaries.

You'll be surprised to know that Infosys has almost 100 subsidiaries under its kitty.

Here's the entire list -

Entire List of Infosys Subsidiaries

Company Name	% of holdings
WongDoody Inc	100.00
Stater XXL BV	75.00
Stater Participations BV	75.00
Stater NV	75.00
Stater Nederland BV	75.00
Stater Gmbh	75.00
Stater Belgium NV/SA	75.00
Skava Systems Pvt Ltd.	100.00
Simplus Philippines Inc	100.00
Simplus Australia Pty Ltd.	100.00
Simplus ANZ Pty Ltd.	100.00
Portland Group Pty Ltd.	100.00
Panaya Ltd.	100.00
Panaya Inc	100.00
Panaya Germany GmbH	100.00
Outbox Systems Inc dba Simplus (US)	100.00
Oddity Waves GmbH	100.00
Oddity Space GmbH	100.00
Oddity Ltd.	100.00
oddity Jungle GmbH	100.00
Oddity Group Services GmbH	100.00
Oddity GmbH	100.00
Oddity Code GmbH	100.00
Oddity Code GmbH	100.00
Oddity (Shanghai) Co. Ltd.	100.00
Kaleidoscope Prototyping LLC	100.00
Kaleidoscope Animations Inc	100.00
Innovisor Inc	100.00
Infy Consulting Company Ltd.	100.00
Infy Consulting BV	100.00
Infosys Turkey Bilgi Teknolojikeri Ltd.	100.00
Infosys Technologies S de RL de CV	100.00
Infosys Technologies (Sweden) AB	100.00
Infosys Technologies (Shanghai) Company Ltd.	100.00
Infosys Technologies (China) Co. Ltd.	100.00
Infosys South Africa (Pty) Ltd.	100.00
Infosys Singapore Pte Ltd. (Formerly Infosys Consulting Pte Ltd.)	100.00
Infosys Public Services Inc	100.00
Infosys Public Services Canada Inc	100.00
Infosys Poland Sp Zoo	100.00
Infosys Nova Holdings LLC	100.00
Infosys Norway	100.00
Infosys Middle East FZ LLC	100.00
Infosys McCamish Systems LLC	100.00
Infosys Management Consulting Pty Ltd.	100.00
Infosys Luxembourg Sarl	100.00
Infosys Ltd. Bulgaria EOOD	100.00
Infosys Green Forum	100.00
Infosys Germany Holding Gmbh	100.00
Infosys Germany GmbH (Formerly Kristall 247 GmbH)	100.00
Infosys Fluido UK Ltd. (Formerly Simplus UK Ltd.)	100.00
Infosys Fluido Ireland Ltd. (Formerly Simplus Ireland Ltd.)	100.00
Infosys Financial Services GmbH (Formerly Panaya GmbH)	100.00
Infosys Consulting SRL	100.00
Infosys Consulting SRL	100.00
Infosys Consulting SAS	100.00
Infosys Consulting Ltda.	100.00
Infosys Consulting Holding AG	100.00
Infosys Consulting GmbH	100.00
Infosys Consulting AG	100.00
Infosys Consulting (Belgium) NV	100.00
Infosys Compaz PTE Ltd.	60.00
Infosys Chile SpA	100.00
Infosys Business Solutions LLC	100.00
Infosys BPO Americas LLC	100.00
Infosys BPM UK Ltd.	100.00
Infosys BPM Ltd.	100.00
Infosys Automotive & Mobility GmbH & Co. KG	100.00
Infosys Austria GmbH	100.00
Infosys Arabia Ltd.	70.00
Infosys Americas Inc	100.00
Infosys (Malaysia) SDN BHD (Formerly Global Enterprise International (Malaysia) Sdn Bhd)	100.00
Infosys (Czech Republic) Ltd. sro	100.00
HypoCasso BV	75.00
HIPUS Co. Ltd.	81.00
GuideVision UK Ltd.	100.00
GuideVision Suomi Oy	100.00
GuideVision sro	100.00
GuideVision Polska SP ZOO	100.00
GuideVision Magyarorszag Kft	100.00
GuideVision Deutschland GmbH	100.00
Fluido Sweden AB	100.00
Fluido Slovakia sro	100.00
Fluido Oy	100.00
Fluido Norway A/S	100.00
Fluido Denmark A/S	100.00
Edgeverve Systems Ltd.	100.00
Brilliant Basics Ltd.	100.00
Brilliant Basics Holdings Ltd.	100.00
Blue Acorn iCi Inc (Formerly Beringer Commerce Inc)	100.00
BASE Life Science Srl	100.00
BASE Life Science SL	100.00
BASE Life Science SAS	100.00
BASE Life Science Ltd.	100.00
BASE Life Science Inc	100.00
BASE Life Science GmbH	100.00
BASE Life Science AG	100.00
BASE Life Science A/S	100.00

Data Source: Ace Equity

History of Infosys

Infosys was the gold standard in the Indian IT industry for a long time. From humble beginnings in 1981, the company now counts itself amongst the largest and most respected global software firms.

It is known around the world for its visionary management, work ethics and corporate governance standards.

Infosys has made a conscious and constant effort to move up the software value chain and now derives more than a third of its revenues from high-end services like consulting, package implementation and software product engineering among others.

Infosys offers these services along with its traditional services like application development and infrastructure management, through its highly integrated and widely acclaimed global delivery model.

The IT company has over the years managed to post good numbers on a remarkably consistent basis. Yes, there have been a few blips. But given the dynamic nature of the industry, the company financial performance is certainly praiseworthy.

In fact, anyone who wants to bet on the Indian IT story, would be tempted to take a small exposure in the stock based on its historical performance alone.

It has a repeat business rate of close to 97%. In other words, 97% of the company's revenues come from clients with whom it has done business before.

Infosys was also the first Indian company to list on the NASDAQ and the first to benchmark its organisational practices to global standards.

The way it has changed its dividend payout policy over the years has also been impressive. As it has grown and matured, it has constantly raised its payouts from 20% to 30% to 40% and now 50%.

Corporate Social Responsibility (CSR)

Infosys has been an early adopter of CSR initiatives.

The company works primarily through the Infosys Foundation, towards supporting projects in multiple areas including education, healthcare, women empowerment, etc.

Here are some of its initiatives -

• Support rapid operationalization of the Mother and Child Block at the All-India Institute of Medical Sciences (AIIMS).
• In partnership with Ramakrishna Mission, providing schools across the country with STEM labs, online courses, and scholarships.
• Installed household biogas units and high-efficiency biomass cookstoves for smoke-free kitchens, support organic farming.
• Infosys Springboard, a digital literacy program powered by tech platform that enables students to acquire core digital skills.
• Partner with the Rehabilitation and Welfare section of the Indian Army to provide educational grants.
• Providing job-readiness skills training and placement to unemployed youth in the UNXT program with Unnati.

Market Cap and Shareholding Pattern of Infosys

Narayana Murthy, the founder of Infosys, is one of the most iconic entrepreneurs of India.

Since the departure of its founders and a change in the upper management, Infosys has come under fire regarding corporate governance issues and problems over inflated executive pay.

Promoters of Infosys currently hold around 15% stake in the company, with no shares having been pledged.

To know more, check out the latest shareholding pattern of INFOSYS.

Recommended Videos on Infosys

Videos have become one of the most important means of communication. They have changed how we work, share information, and record our memories.

You can't ignore the fact that many people prefer watching videos rather than reading articles.

That is why, our editors at Equitymaster, post regular videos on important topics on our YouTube channel.

Here are some of the videos we have on Infosys that are still relevant -

• Return of Infosys -
  
• India's Potential Nvidia-Like AI-Multibaggers -
  
• Infosys vs HDFC Bank: The 10 Year Bet?
  

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More about India's Top IT Company

After going through the company's annual reports of the last few years, we can see a newfound appreciation of its business model and the strengths it has built over the years.

Of course, the journey has not been smooth. There have been challenges and setbacks on all the fronts, right from missing on growth opportunities to losing talent through high attrition and all the way to rocky leadership changes.

But the fact that it not only survived but emerged stronger from all these reverses, speaks volumes about the systems it has put in place and the competencies it has built over the years.

Here are links to some very insightful Equitymaster articles on Infosys:

• Does Narayana Murthy's 70-Hour Workweek Formula Apply to Investing?
• I Read 500 Pages on Infosys. Here's What I Found...
• India's 5 Highest Paid CEOs. Do They Deserve the Big Bucks?
• Stocks that Convert 15% CAGR Into 15 Times Return
• Is the Technology Stocks' Recovery for Real?
• Why Infosys and TCS are the Best Hedge Against Fancy AI Stocks

Happy investing!