Wells Fargo Gives Infosys Analyst Meeting Preview

Infosys INFY short-term visibility indicated as high, and unlike Cognizant CTSH not seeing an end to "pent up" demand. Intermediate-term less so as clients keep project durations short. Long-term sees positioning, shift to more offshore, expanding service offering and significant penetration potential offering comfort to continued strong growth outlook. No financial update to be offered at analyst meeting. Pricing expected to remain flat. The CFO gave the impression that current wage situation was manageable and just returning to normal increases for growth period. Also noted that pyramid structure of model has the effect of dramatically reducing the financial impact of offshore wages to well-below 10-15%. With the renewed focus on campus hiring, this should become even more evident in CY2011. Wells Fargo reiterates its Market Perform rating in INFY. INFY is trading higher at $67.93