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InfosysFRA:IOY -2.39%87 EV-to-EBIT is 10.01 as of Aug. 01, 2026, which is 36% below its 10-year median of 15.64. GuruFocus rates FRA:IOY with a GF Score™ of 87/100 and a GF Value™ of €16.43 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 1,774 Software companies, Infosys ranks better than 61.72% on this metric.
EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Infosys's Enterprise Value is €39,416 Mil.
Infosys's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was €3,938 Mil. Therefore, Infosys's EV-to-EBIT for today is 10.01.
The historical rank and industry rank for Infosys's EV-to-EBIT or its related term are showing as below:
FRA:IOY'
s EV-to-EBIT Range Over the Past 10 Years
Min: 9.56 Med: 15.64 Max: 26.78
Current: 10.41
During the past 13 years, the highest EV-to-EBIT of Infosys was 26.78. The lowest was 9.56. And the median was 15.64.
FRA:IOY's EV-to-EBIT is ranked better than 61.72% of 1774
companies
in the Software industry
Industry Median: 14.075
vs FRA:IOY: 10.41
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Infosys's Enterprise Value for the quarter that ended in Jun. 2026 was €34,946 Mil.
Infosys's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €3,938 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Infosys EV-to-EBIT Related Terms
Infosys EV-to-EBIT Historical Data
* Premium members only.
The historical data trend for Infosys's EV-to-EBIT can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Information Technology Services subindustry, Infosys's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Infosys EV-to-EBIT vs Software Industry
For the Software industry and Technology sector, Infosys's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Infosys's EV-to-EBIT falls into.
Infosys's current Enterprise Value is €39,416 Mil.
Infosys's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €3,938 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Infosys (FRA:IOY) has a EV-to-EBIT of 10.01 as of Aug. 01, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Infosys and its competitors. This is 36% below median its historical median of 15.64. Over the past decade, Infosys' EV-to-EBIT has ranged from 9.56 to 26.78. According to the industry distribution chart, Infosys ranks #679 out of 1774 companies in the Software industry, placing it in the top 38.3%.
Is Infosys' EV-to-EBIT too high?
Infosys' current EV-to-EBIT of 10.01 is 36% below median its 10-year median of 15.64. Over the past 10 years, this metric has ranged from a low of 9.56 to a high of 26.78. The Software industry median EV-to-EBIT is 14.08. Infosys' value of 10.01 is 28.9% below this industry median. Based on the distribution chart, Infosys ranks #679 out of 1774 companies in the Software industry, which is above the industry midpoint. Overall, Infosys has a GF Score™ of 87/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Infosys' EV-to-EBIT compare to IBM and ACN?
According to the Software industry distribution chart, Infosys ranks #679 out of 1774 companies for EV-to-EBIT. This puts Infosys in the upper half of its industry. The industry median EV-to-EBIT is 14.08. Infosys' value of 10.01 is 28.9% below this benchmark. Historically, Infosys' own EV-to-EBIT has ranged from 9.56 to 26.78 over the past decade. While the company's 10-year median is 15.64 vs. the industry median of 14.08, Infosys has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Software company?
The median EV-to-EBIT among Software companies is 14.08, based on 1,774 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Infosys's current EV-to-EBIT of 10.01 is 28.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Infosys and its competitors. For the Software industry, the median EV-to-EBIT is 14.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Infosys's current EV-to-EBIT is 10.01, which is 36% below median its own 10-year median of 15.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Infosys stock overvalued right now?
Based on GuruFocus' analysis, Infosys (FRA:IOY) is currently considered Significantly Undervalued. The stock's GF Value™ is €16.43, compared to a current price of €10.20 — trading 37.9% below its estimated fair value. The current EV-to-EBIT is 10.01, which is 36% below median its 10-year median of 15.64 and 28.9% below the Software industry median of 14.08. Infosys' overall GF Score™ is 87/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Infosys (FRA:IOY), the current EV-to-EBIT is 10.01 as of Aug. 01, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Infosys (FRA:IOY) Overvalued in 2026?
Based on GuruFocus' analysis, Infosys stock appears to be undervalued.
The current stock price of €10.20 is trading 37.9% below its estimated GF Value™ of €16.43.
GuruFocus considers Infosys to be Significantly Undervalued.
Key valuation signals for FRA:IOY:
EV-to-EBIT: 10.01 (36% below median its 10-year median of 15.64)
GF Value™: €16.43 vs. price of €10.20 (37.9% below fair value)
Industry Position: 28.9% below the Software median (#679 of 1774)
No single metric tells the full story. See the FRA:IOY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Infosys is an IT services provider based in Bengaluru, India, with offices in more than 50 countries. The company leverages its offshore outsourcing model to serve clients across different industries, such as financial services and manufacturing. Infosys' IT services offerings include consulting, digital transformation, and business process outsourcing.
87GF Score
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