Infosys Ltd Sees Robust Value Turnover Amid Mixed Technical Signals

Trading Activity and Price Movement

On 26 Feb 2026, Infosys opened at ₹1,305.5 and touched a day high of ₹1,313.0 before settling near ₹1,312.4 by 09:45 IST. The stock traded within a tight band of ₹12.8, indicating a narrow range that often signals consolidation ahead of a directional move. The total traded volume stood at 2,109,719 shares, translating to a substantial traded value of ₹27,568.96 lakhs, placing Infosys among the most actively traded equities by value on the day.

Notably, the stock closed just 3.03% above its 52-week low of ₹1,264.1, suggesting that while it remains near its lower price bounds, it has managed to sustain support levels. This proximity to the 52-week low, combined with a 1.47% one-day return, outperformed the broader Sensex gain of 0.24% and marginally exceeded the sector return of 1.12%, highlighting relative strength within its peer group.

Institutional Participation and Delivery Volumes

Institutional interest remains a key driver for Infosys’s trading dynamics. However, delivery volumes on 25 Feb 2026 recorded at 81.65 lakhs shares, declined by 10.98% compared to the five-day average delivery volume. This dip in investor participation could indicate a cautious stance among long-term holders, possibly awaiting clearer directional cues. Despite this, the stock’s liquidity remains robust, with the capacity to handle trade sizes up to ₹47.08 crores based on 2% of the five-day average traded value, ensuring smooth execution for large institutional orders.

Technical Indicators and Moving Averages

From a technical perspective, Infosys is currently trading below its key moving averages — 5-day, 20-day, 50-day, 100-day, and 200-day — signalling a bearish trend in the short to long term. This technical positioning may explain the Hold mojo grade assigned on 09 Feb 2026, a downgrade from the previous Buy rating. The mojo score of 57.0 reflects a moderate outlook, balancing the company’s strong fundamentals against recent price weakness and subdued momentum.

Dividend Yield and Market Capitalisation

Infosys continues to offer an attractive dividend yield of 3.57% at the current price level, which is a significant draw for income-focused investors amid volatile market conditions. The company’s market capitalisation stands at a commanding ₹5,23,287 crores, firmly establishing it as a large-cap heavyweight within the Computers - Software & Consulting sector. This sizeable market cap grade of 1 underscores its prominence and stability in the Indian equity landscape.

Comparative Performance and Sector Context

While Infosys’s one-day return of 1.47% slightly outpaced the sector’s 1.12% gain, the stock’s recent two-day consecutive gains have yielded a 2.2% return, signalling tentative recovery attempts. However, the stock’s trading below all major moving averages suggests that the broader sector momentum has not fully translated into sustained upward price action for Infosys. Investors should weigh these mixed signals carefully, considering both the company’s robust fundamentals and the technical headwinds it currently faces.

Outlook and Institutional Sentiment

Institutional investors appear to be adopting a wait-and-watch approach, as evidenced by the recent decline in delivery volumes. The downgrade from Buy to Hold mojo grade on 09 Feb 2026 reflects a tempered outlook, likely influenced by the stock’s proximity to its 52-week low and subdued momentum indicators. Nevertheless, Infosys’s strong dividend yield, large market cap, and sector leadership provide a solid foundation for potential recovery, especially if broader market conditions improve.

Investor Considerations and Strategic Implications

For investors, the current scenario presents a nuanced picture. The high-value trading activity and narrow price range suggest that Infosys remains a stock of interest, particularly for institutional players managing sizeable portfolios. However, the technical weakness and reduced delivery volumes caution against aggressive accumulation at this stage. The stock’s attractive dividend yield and large-cap status provide defensive qualities, but investors should monitor upcoming quarterly results and sector developments closely to gauge any shifts in momentum.

Given the downgrade to Hold and the mojo score of 57.0, a prudent approach would be to await confirmation of a sustained breakout above key moving averages before committing fresh capital. Meanwhile, existing shareholders might consider the dividend yield as a cushion against short-term volatility.

Summary

Infosys Ltd’s trading on 26 Feb 2026 was characterised by high-value turnover, institutional interest tempered by falling delivery volumes, and a narrow price range near its 52-week low. While the stock outperformed the Sensex and sector indices on the day, technical indicators remain subdued, reflected in the recent downgrade from Buy to Hold. The company’s strong market capitalisation and dividend yield continue to support its investment appeal, but cautious investors should watch for clearer signals before increasing exposure.

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