JPMorgan lowered the firm's price target on Infosys to $12.70 from $16.80 and keeps an Overweight rating on the shares. The firm says the India IT services sector faces an uncertain demand environment from an "unprecedented confluence of technology and business cycle headwinds" from generative AI-led deflation and geopolitics. Companies are facing "fear, uncertainty, and doubt" from changing technology and geopolitics, with tech services budgets "crowded out" from spending on AI tokens and cloud, the analyst tells investors in a research note.
