U.S. stocks were bullish on Friday after Federal Reserve Chair Jerome Powell said lower interest rates will maintain the U.S. economy’s growth. Further, the Bureau of Labor Statistics reports the Producer Price Index for final demand advanced 0.1% in June, which was higher than expected. The Dow Jones Industrial Average gained 0.69% to 27,275, the S&P 500 index rose 0.32% to 3,009 and the Nasdaq Composite Index swelled 0.50% to 8,236.
Shares of Infosys Ltd. (NYSE:INFY) gained more than 6% on Friday after the company announced first-quarter results. Revenue grew 10.6% from the prior-year quarter to $3.13 billion, falling $30 million short of expectations. The company registered earnings of 13 cents per share, which were in line with estimates.
“We had a strong start to Fiscal Year 2020 with constant currency growth accelerating to 12.4% on yearover year basis and digital revenue growth of 41.9%,” CEO Salil Parekh said. “This was achieved through our consistentclient focus and investments which have strengthened our client relationships.”
Due to strong demand for digital services, the company raised its revenue guidance for the year from a range of 7.5% to 9.5% to between 8.5% and 10%.
The operating profit was $642 million, having declined 4.2% year over year. The operating margin was 20.5%. The company maintained its operating margin guidance of between 21% and 23%.
During the quarter ended March 31, several hedge fund managers reduced their holdings. Ken Fisher (Trades, Portfolio) reduced his position by 4.31% to 40,076,035 shares, Charles Brandes trimmed 8.83% off his holding to 92,108 shares, Jeremy Grantham (Trades, Portfolio) curbed his stake by 0.67%, Howard Marks (Trades, Portfolio) reduced his position by 44.98% to 3,640,465 shares and Bernard Horn (Trades, Portfolio) slashed his holding by 4.54% to 678,940 shares. On the other hand, Jim Simons (Trades, Portfolio) established a position, buying 125,600 shares, Lee Ainslie (Trades, Portfolio) bought 517,550 shares and Pioneer Investments (Trades, Portfolio) invested in 754,200