INFY vs. STM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at INFY and STM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
Both INFY and STM offer U.S. investors access to foreign companies, with INFY trading as an American Depositary Receipt (ADR) and STM as New York Registered Shares.
| Symbol | INFY | STM |
|---|---|---|
| Company Name | Infosys Limited | STMicroelectronics N.V. |
| Country | India | Netherlands |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | IT Services | Semiconductors & Semiconductor Equipment |
| Market Capitalization | 73.37 billion USD | 19.82 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | March 11, 1999 | December 8, 1994 |
| Security Type | ADR | NY Reg Shrs |
Historical Performance
This chart compares the performance of INFY and STM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | INFY | STM |
|---|---|---|
| 5-Day Price Return | 2.52% | -4.81% |
| 13-Week Price Return | 7.11% | -20.06% |
| 26-Week Price Return | -0.83% | -15.00% |
| 52-Week Price Return | -14.88% | -21.18% |
| Month-to-Date Return | 4.26% | -11.86% |
| Year-to-Date Return | -18.07% | -22.51% |
| 10-Day Avg. Volume | 11.05M | 2.63M |
| 3-Month Avg. Volume | 8.34M | 2.56M |
| 3-Month Volatility | 24.82% | 41.23% |
| Beta | 0.99 | 1.17 |
Profitability
Return on Equity (TTM)
INFY
29.42%
IT Services Industry
- Max
- 37.08%
- Q3
- 19.28%
- Median
- 14.70%
- Q1
- 6.70%
- Min
- -8.16%
In the upper quartile for the IT Services industry, INFY’s Return on Equity of 29.42% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
STM
4.88%
Semiconductors & Semiconductor Equipment Industry
- Max
- 49.05%
- Q3
- 22.19%
- Median
- 7.96%
- Q1
- 0.99%
- Min
- -15.65%
STM’s Return on Equity of 4.88% is on par with the norm for the Semiconductors & Semiconductor Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
INFY
16.60%
IT Services Industry
- Max
- 17.01%
- Q3
- 11.02%
- Median
- 6.91%
- Q1
- 3.07%
- Min
- -5.13%
A Net Profit Margin of 16.60% places INFY in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.
STM
7.65%
Semiconductors & Semiconductor Equipment Industry
- Max
- 52.41%
- Q3
- 24.47%
- Median
- 11.88%
- Q1
- 0.60%
- Min
- -25.46%
STM’s Net Profit Margin of 7.65% is aligned with the median group of its peers in the Semiconductors & Semiconductor Equipment industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
INFY
21.03%
IT Services Industry
- Max
- 23.01%
- Q3
- 15.32%
- Median
- 9.57%
- Q1
- 4.91%
- Min
- -9.58%
An Operating Profit Margin of 21.03% places INFY in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
STM
6.17%
Semiconductors & Semiconductor Equipment Industry
- Max
- 58.09%
- Q3
- 27.76%
- Median
- 12.14%
- Q1
- 3.29%
- Min
- -32.60%
STM’s Operating Profit Margin of 6.17% is around the midpoint for the Semiconductors & Semiconductor Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | INFY | STM |
|---|---|---|
| Return on Equity (TTM) | 29.42% | 4.88% |
| Return on Assets (TTM) | 18.80% | 3.47% |
| Net Profit Margin (TTM) | 16.60% | 7.65% |
| Operating Profit Margin (TTM) | 21.03% | 6.17% |
| Gross Profit Margin (TTM) | 30.53% | 32.96% |
Financial Strength
Current Ratio (MRQ)
INFY
2.28
IT Services Industry
- Max
- 3.02
- Q3
- 1.91
- Median
- 1.36
- Q1
- 1.02
- Min
- 0.49
INFY’s Current Ratio of 2.28 is in the upper quartile for the IT Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
STM
2.32
Semiconductors & Semiconductor Equipment Industry
- Max
- 6.57
- Q3
- 4.28
- Median
- 2.86
- Q1
- 2.22
- Min
- 1.02
STM’s Current Ratio of 2.32 aligns with the median group of the Semiconductors & Semiconductor Equipment industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
INFY
0.08
IT Services Industry
- Max
- 2.55
- Q3
- 1.30
- Median
- 0.55
- Q1
- 0.14
- Min
- 0.00
Falling into the lower quartile for the IT Services industry, INFY’s Debt-to-Equity Ratio of 0.08 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
STM
0.15
Semiconductors & Semiconductor Equipment Industry
- Max
- 1.18
- Q3
- 0.48
- Median
- 0.24
- Q1
- 0.01
- Min
- 0.00
STM’s Debt-to-Equity Ratio of 0.15 is typical for the Semiconductors & Semiconductor Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
INFY
--
IT Services Industry
- Max
- 129.00
- Q3
- 56.00
- Median
- 11.69
- Q1
- 1.68
- Min
- -28.15
Interest Coverage Ratio data for INFY is currently unavailable.
STM
5.37
Semiconductors & Semiconductor Equipment Industry
- Max
- 174.00
- Q3
- 81.21
- Median
- 22.37
- Q1
- 6.43
- Min
- -7.80
In the lower quartile for the Semiconductors & Semiconductor Equipment industry, STM’s Interest Coverage Ratio of 5.37 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
Financial Strength at a Glance
| Symbol | INFY | STM |
|---|---|---|
| Current Ratio (MRQ) | 2.28 | 2.32 |
| Quick Ratio (MRQ) | 2.21 | 1.61 |
| Debt-to-Equity Ratio (MRQ) | 0.08 | 0.15 |
| Interest Coverage Ratio (TTM) | -- | 5.37 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
INFY
2.79%
IT Services Industry
- Max
- 4.66%
- Q3
- 2.02%
- Median
- 0.66%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 2.79%, INFY offers a more attractive income stream than most of its peers in the IT Services industry, signaling a strong commitment to shareholder returns.
STM
1.64%
Semiconductors & Semiconductor Equipment Industry
- Max
- 3.58%
- Q3
- 1.59%
- Median
- 0.61%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.64%, STM offers a more attractive income stream than most of its peers in the Semiconductors & Semiconductor Equipment industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio (TTM)
INFY
63.35%
IT Services Industry
- Max
- 93.78%
- Q3
- 63.22%
- Median
- 24.64%
- Q1
- 0.00%
- Min
- 0.00%
INFY’s Dividend Payout Ratio of 63.35% is in the upper quartile for the IT Services industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
STM
35.28%
Semiconductors & Semiconductor Equipment Industry
- Max
- 211.90%
- Q3
- 88.01%
- Median
- 25.84%
- Q1
- 0.00%
- Min
- 0.00%
STM’s Dividend Payout Ratio of 35.28% is within the typical range for the Semiconductors & Semiconductor Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | INFY | STM |
|---|---|---|
| Dividend Yield (TTM) | 2.79% | 1.64% |
| Dividend Payout Ratio (TTM) | 63.35% | 35.28% |
Valuation
Price-to-Earnings Ratio (TTM)
INFY
22.70
IT Services Industry
- Max
- 45.03
- Q3
- 30.25
- Median
- 21.01
- Q1
- 16.50
- Min
- 0.00
INFY’s P/E Ratio of 22.70 is within the middle range for the IT Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
STM
21.46
Semiconductors & Semiconductor Equipment Industry
- Max
- 95.58
- Q3
- 58.67
- Median
- 34.77
- Q1
- 25.45
- Min
- 12.63
In the lower quartile for the Semiconductors & Semiconductor Equipment industry, STM’s P/E Ratio of 21.46 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Price-to-Sales Ratio (TTM)
INFY
3.77
IT Services Industry
- Max
- 5.24
- Q3
- 4.01
- Median
- 2.18
- Q1
- 1.08
- Min
- 0.00
INFY’s P/S Ratio of 3.77 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
STM
1.64
Semiconductors & Semiconductor Equipment Industry
- Max
- 18.34
- Q3
- 10.38
- Median
- 5.38
- Q1
- 2.49
- Min
- 0.32
In the lower quartile for the Semiconductors & Semiconductor Equipment industry, STM’s P/S Ratio of 1.64 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
Price-to-Book Ratio (MRQ)
INFY
5.79
IT Services Industry
- Max
- 9.42
- Q3
- 5.79
- Median
- 3.70
- Q1
- 2.30
- Min
- 0.79
INFY’s P/B Ratio of 5.79 is within the conventional range for the IT Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
STM
1.45
Semiconductors & Semiconductor Equipment Industry
- Max
- 16.22
- Q3
- 8.33
- Median
- 4.39
- Q1
- 1.79
- Min
- 0.30
STM’s P/B Ratio of 1.45 is in the lower quartile for the Semiconductors & Semiconductor Equipment industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | INFY | STM |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 22.70 | 21.46 |
| Price-to-Sales Ratio (TTM) | 3.77 | 1.64 |
| Price-to-Book Ratio (MRQ) | 5.79 | 1.45 |
| Price-to-Free Cash Flow Ratio (TTM) | 18.50 | 216.24 |