Mumbai, Jan 11 (UNI) India's second-largest software exporter Infosys' stock plunged 1.4 per cent to a six-week closing low at Rs 1580.10 in Indian equity market after the company anounced its third quarterly results, marking net profit up 25.2 per cent for the quarter ended December 31, 2007.
Though, Infosys gained as much as 3 per cent to touch Rs 1,650 in the afternoon session following positive sentiments on good profit registering for Q3 in the mid-morning trading session, it failed to hold on to the gains further and slipped into red as investors preferred profit booking, market analysts said.
However, analysts opined that the worst phase for the IT sector is over and there could be a better future. Investors can hope for good margins in the stock, they said.
Margins at software-services firms, which get more than three-quarters of their sales from abroad, have been badly dented by the Rupee's appreciation by more than 12 per cent last year.
Infosys, which develops applications, designs supply chains and offers back-office services, was the worst performing stock in India's benchmark BSE index last year, falling 21 per cent, while the main index rose 47 per cent last year.
The Infosys shares lost 6.8 per cent in December last as compared to the 2.1 per cent drop in the sectoral index and a 17 per cent rise in the BSE index.
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