Coronavirus crashed Infosys stock more than whistleblower allegations

• Infosys share price hit a new 52-week low today dipping to ₹545.55 after last week’s plunge to ₹571.
  
• Even during the whistleblower allegations, the share price fell only to ₹643.55.
  
• The last time Infosys hit this threshold was two years ago, after which the company has broadly been on an upward trajectory.
  

Infosys share price continued to plummet today, falling another 1% to touch ₹546.55 during afternoon trade. The stock staggered to a new low after its initial crash last Friday when it went down to ₹571.05.


After the market hit a three-year low yesterday, investors expected the market to recuperate after Dow’s rally last night. However, Sensex continues to be in the red — down 6% today. The market cap for Infosys now stands at ₹2.3 lakh crore.

Before the coronavirus hit, Infosys share price had plateaued. Things have only worsened since February 25 with nothing to block its downward spiral.


When the market crashed last week and hit the lower circuit, It looked like things may change for the better. However, the temporary recovery was nowhere near enough to cover the previous deficit.

Infosys second sudden dip in 6 months
Even when the company faced whistleblower allegations in October, the stock only went down as far as ₹643.55, slowly building itself back up over the next two months. But the effort was for naught with the coronavirus dragging the entire market down. And, Infosys shares too plunged into the red.


The last time the stock was below ₹570 was two years ago — after which the company has broadly been in the green.

IT stocks as whole have been trading in the red since February 28, when investors lost ₹5 lakh crore to the market in massive selloffs right before the weekend. This week, the Nifty stock market index touched a three-year low.

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