Infosys shares down in early trade

Shares of Infosys were down nearly 3% in the morning trade on Monday. And, it is top loser on benchmark Sensex in the wake of the IT major pruning its guidance on the margin for FY19.

Infosys management cut its EBIT (earnings before interest and tax) margin guidance by 100 basis points to 22-24% from 23-25% earlier, citing increase in investments towards boosting digital services.

The cut in margin guidance is a disappointment, brokerage May Bank Kim Eng securities has said in a research note.

The board approval for returning another $2 billion to shareholders was the only saviour, it added.

Infosys shares opened 5% down on BSE. However, it pared some losses and were trading down 3% at ₹1136.40.