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Infosys (INFY) to Transform ZF's Multi-Echelon Supply-Chain
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Infosys (INFY - Free Report) recently announced a strategic collaboration with German mobility specialist ZF to revamp its multi-echelon supply chain with SAP’s (SAP - Free Report) Integrated Business Planning (IBP) and Infosys Cobalt.
To implement a unified enterprise resource planning platform, ZF will leverage Infosys Cobalt and enable data-driven demand planning and inventory optimization.
As part of the collaboration, Infosys will be incorporating SAP IBP solution to the aftermarket division of ZF. SAP IBP is a cloud-based supply-chain analytics solution, powered by SAP HANA, that combines sales and operations planning, forecasting and demand, response and supply, demand-driven replenishment and inventory planning. The Bangalore-based company will be leveraging its hybrid agile implementation methodology to replace multiple legacy demand planning tools at ZF Aftermarket, with a unified, global SAP platform.
Infosys’ SAP IBP implementation is likely to advance demand forecasting, collaborative planning, improve responsiveness and efficiency, transparency and interactive user experience across ZF Aftermarket's supply chain. The Indian IT company intends to make ZF’s supply chain more resilient and intelligent through Infosys Cobalt and accelerate its digital transformation journey through agility and flexibility to offer products to the client base.
The latest collaboration is likely to expand Infosys’ Cobalt portfolio, which helps enterprises in accelerating their cloud journey. Under this set of services, Infosys offers about 14,000 cloud assets and more than 200 cloud solution blueprints.
Infosys has been reinforcing its digital-transformation capabilities to expand and solidify its position in the highly competitive environment. It enables its clients across more than 45 countries to create and execute strategies for their digital transformation. Such efforts in the digital-transformation business will aid the company in competing with peers like Accenture and Cognizant.
Back-to-back contract wins are driving Infosys’ top-line performance. In the last reported financial results for third-quarter fiscal 2023, the company’s revenues jumped 9.6% year over year to $4.66 billion. The company’s digital revenues, which contributed 62.9% to the third quarter of fiscal 2023 total revenues, grew 17.8% year over year (21.7% at cc) to $2.93 billion.
Infosys’ near-term growth prospects are likely to be hurt as organizations are postponing the plans of investing in big and expensive technology products on growing global slowdown concerns amid the persistent macroeconomic headwinds and geopolitical tensions. Moreover, elevated operating expenses related to hiring new employees and sales and marketing strategies to capture more market share are likely to strain margins in the near term.
These, along with the rapid proliferation of customizable Internet-based software, have been hampering Infosys’ traditional outsourcing business. These challenges might weigh on the company’s profitability going ahead.
Zacks Rank & Key Picks
Infosys currently carries a Zacks Rank #3 (Hold) while SAP sport a Zacks Rank #2 (Buy). Shares of INFY have plunged 26.2% but shares of SAP jumped 7.7% in the past year.
The Zacks Consensus Estimate for Airbnb’s first-quarter 2023 earnings has been revised northward from breakeven to 14 cents per share over the past 30 days. For 2023, earnings estimates have moved up by 52 cents to $3.38 per share in the past 30 days.
ABNB's earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 57.2%. Shares of the company have declined 21.1% in the past year.
The Zacks Consensus Estimate for Fabrinet's third-quarter fiscal 2023 earnings has been revised 7 cents upward to $1.90 per share over the past 30 days. For fiscal 2023, earnings estimates have moved north by 24 cents to $7.71 per share in the past 30 days.
FN’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, missing once, the average surprise being 5.1%. Shares of the company have jumped 22.6% in the past year.
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Infosys (INFY) to Transform ZF's Multi-Echelon Supply-Chain
Infosys (INFY - Free Report) recently announced a strategic collaboration with German mobility specialist ZF to revamp its multi-echelon supply chain with SAP’s (SAP - Free Report) Integrated Business Planning (IBP) and Infosys Cobalt.
To implement a unified enterprise resource planning platform, ZF will leverage Infosys Cobalt and enable data-driven demand planning and inventory optimization.
As part of the collaboration, Infosys will be incorporating SAP IBP solution to the aftermarket division of ZF. SAP IBP is a cloud-based supply-chain analytics solution, powered by SAP HANA, that combines sales and operations planning, forecasting and demand, response and supply, demand-driven replenishment and inventory planning. The Bangalore-based company will be leveraging its hybrid agile implementation methodology to replace multiple legacy demand planning tools at ZF Aftermarket, with a unified, global SAP platform.
Infosys’ SAP IBP implementation is likely to advance demand forecasting, collaborative planning, improve responsiveness and efficiency, transparency and interactive user experience across ZF Aftermarket's supply chain. The Indian IT company intends to make ZF’s supply chain more resilient and intelligent through Infosys Cobalt and accelerate its digital transformation journey through agility and flexibility to offer products to the client base.
Infosys Price and Consensus
Infosys price-consensus-chart | Infosys Quote
The latest collaboration is likely to expand Infosys’ Cobalt portfolio, which helps enterprises in accelerating their cloud journey. Under this set of services, Infosys offers about 14,000 cloud assets and more than 200 cloud solution blueprints.
Infosys has been reinforcing its digital-transformation capabilities to expand and solidify its position in the highly competitive environment. It enables its clients across more than 45 countries to create and execute strategies for their digital transformation. Such efforts in the digital-transformation business will aid the company in competing with peers like Accenture and Cognizant.
Back-to-back contract wins are driving Infosys’ top-line performance. In the last reported financial results for third-quarter fiscal 2023, the company’s revenues jumped 9.6% year over year to $4.66 billion. The company’s digital revenues, which contributed 62.9% to the third quarter of fiscal 2023 total revenues, grew 17.8% year over year (21.7% at cc) to $2.93 billion.
Infosys’ near-term growth prospects are likely to be hurt as organizations are postponing the plans of investing in big and expensive technology products on growing global slowdown concerns amid the persistent macroeconomic headwinds and geopolitical tensions. Moreover, elevated operating expenses related to hiring new employees and sales and marketing strategies to capture more market share are likely to strain margins in the near term.
These, along with the rapid proliferation of customizable Internet-based software, have been hampering Infosys’ traditional outsourcing business. These challenges might weigh on the company’s profitability going ahead.
Zacks Rank & Key Picks
Infosys currently carries a Zacks Rank #3 (Hold) while SAP sport a Zacks Rank #2 (Buy). Shares of INFY have plunged 26.2% but shares of SAP jumped 7.7% in the past year.
Some top-ranked stocks from the broader Computer and Technology sector are Airbnb (ABNB - Free Report) and Fabrinet (FN - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Airbnb’s first-quarter 2023 earnings has been revised northward from breakeven to 14 cents per share over the past 30 days. For 2023, earnings estimates have moved up by 52 cents to $3.38 per share in the past 30 days.
ABNB's earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 57.2%. Shares of the company have declined 21.1% in the past year.
The Zacks Consensus Estimate for Fabrinet's third-quarter fiscal 2023 earnings has been revised 7 cents upward to $1.90 per share over the past 30 days. For fiscal 2023, earnings estimates have moved north by 24 cents to $7.71 per share in the past 30 days.
FN’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, missing once, the average surprise being 5.1%. Shares of the company have jumped 22.6% in the past year.