INFY.NS Stock Today: December 27 – H-1B Shift Puts Margin at Risk
Infosys share traded at ₹1,663.4 today, flat on the day, as investors weighed US H-1B visa changes that start on 27 February 2026. The shift to a wage-weighted selection and a $100,000 fee per new application could raise onsite costs and slow junior approvals. That puts operating margins at risk, even as delivery may move offshore. With INFY.NS up 3.06% in 5 days but down 19.05% YTD, we review margin math, technicals, and what it means for Indian IT stocks.
What the H-1B shift means for Indian IT in 2026
The US will replace the H-1B lottery with a wage-weighted selection and add a $100,000 filing fee for new applications from 27 February 2026. Higher-paid roles get priority, and duplicate registrations lose advantage. This likely curbs entry-level approvals and raises onsite costs for Indian IT. Details: Times of India.
Priority for higher-paid candidates will push billing rates or compress margins. Firms may rebalance pyramid structures, rely more on L-1 transfers, and move work to India to protect profitability. Scrutiny rises for wage levels and compliance. This could slow US staffing ramps in FY27 while supporting offshore mix. Coverage: The Hindu.
Infosys today: price, trend, and levels
Infosys share opened at ₹1,661.0, traded between ₹1,652.5 and ₹1,667.6, and closed flat at ₹1,663.4. Average true range is ₹27.28, flagging moderate intraday risk. Bollinger Bands sit at ₹1,539.38 to ₹1,681.92, with price near the upper band. Keltner upper at ₹1,668.29 aligns with today’s high, making ₹1,668-1,682 a near-term supply zone.
RSI at 64.75 shows firm momentum without overbought extremes. MACD histogram at 3.69 supports a positive bias, while ADX at 42.03 confirms a strong trend. On-balance volume of 80.26 million and MFI 57.6 imply healthy but not euphoric buying. Watch ₹1,652 as immediate support and ₹1,682-1,700 as resistance for Infosys share.
Margin math: onsite cost vs offshore pivot
The $100,000 fee increases onsite hiring costs, especially for junior roles. Infosys posts a 21.09% operating margin and 16.58% net margin, with PE at 23.37 and dividend yield at 2.72%. SG&A is 5.11% of revenue. With days sales outstanding at 111 days, tighter US staffing could lengthen cycles unless pricing offsets onsite wage inflation.
We expect a higher offshore mix, tighter subcontractor use, and pyramid optimization to protect unit economics. Automation can lift utilization and reduce rework. Pricing may firm for complex skills that qualify under wage-weighted selection. Infosys share reaction will track evidence of offshore transition speed, deal mix, and cash conversion, with a 99.67-day cash conversion cycle to monitor.
Peer read-through: TCS and global comparables
TCS trades at ₹3,319 with PE 24.00 and net margin 19.19%. ADX at 41.81 indicates a strong trend, but YTD is -26.20%. Visa costs and selection rules affect all Indian IT stocks, though scale players can shift delivery faster. First peer reference: TCS.NS.
Cognizant (CTSH) trades at PE 19.50 with net margin 10.20%. US tech buyers like AMZN and MSFT show solid profitability and cash flows, supporting digital and cloud budgets. Budget resilience helps demand, but onsite staffing frictions can delay ramps. Infosys share will reflect this mix of steady demand and tighter US access.
Final Thoughts
For Indian investors, the policy signal is clear. US immigration will favor higher-paid, higher-skilled roles and introduce a hefty $100,000 fee from February 2026. That lifts onsite costs and could slow junior deployments. We think Infosys can cushion the impact by moving more delivery to India, sharpening skill mix, and pushing price where complexity merits it. Near term, watch margins, utilization, and the cash cycle for proof. Technically, ₹1,652 is the first support and ₹1,682-1,700 is the supply zone. With earnings on 14 January 2026, management commentary on US hiring plans, offshoring mix, and client ramp timing will be key catalysts for Infosys share into Q4 FY26.
FAQs
From 27 February 2026, the US will use a wage-weighted selection for H-1B and charge $100,000 for new applications. Higher salaries gain priority. This raises onsite hiring costs and likely curbs entry-level approvals. Investors expect more offshore work to defend margins, making execution updates key for Infosys share.
Directionally yes, for onsite-heavy ramps. The $100,000 fee and higher wage thresholds increase upfront costs. The impact depends on mix, pricing power, and subcontractor use. If Infosys shifts delivery to India and improves utilization, margin compression can be limited. Quarterly commentary will guide how much pressure persists.
Support sits near ₹1,652 with ₹1,610 as a secondary, the Bollinger midpoint. Resistance is ₹1,682 and then ₹1,700-1,720. RSI at 64.75 favors buyers if volumes hold. A daily close above ₹1,682 could target the upper band near ₹1,682-1,700. Below ₹1,652, risk grows toward ₹1,610.
Sector-wide, US staffing costs rise and junior approvals may fall, slowing onsite-heavy projects. Larger firms like TCS can pivot faster to offshore delivery and higher-value roles. Stock reactions will track offshoring speed, pricing discipline, and cash flows. Policy clarity into FY27 should reduce uncertainty for Indian IT stocks.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
