Why Infosys Can Shrug Off the US Green-Card Suspension, For Now Gian Estrada Sun, October 11, 2026 at 2:56 AM EDT 2 min read INFY +0.28% TCS.NS +3.85% CTSH -1.35% HCLTECH.NS +3.38% MSFT +2.38% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
Infosys (INFY) said on Saturday, October 10, that it does not expect a material impact from the US Labor Department's suspension of its green-card applications. In an exchange filing, the company said it welcomes the chance to work with the department and related agencies on their questions.
The response comes two days after the department suspended eight companies from the PERM program, citing misuse of H-1B and other foreign-worker visas. Besides Infosys, they are TCS (TCS), Cognizant (CTSH:NASDAQ), Wipro (507685), HCLTech (HCLTECH), Microsoft (MSFT:NASDAQ), Adobe (ADBE:NASDAQ), and Capgemini (CAP).
PERM is the labor certification step most employers need before sponsoring a worker for a green card. The department will not accept new PERM filings from these companies or process pending ones. Existing H-1B visas, which let these firms staff US client projects, are not cancelled.
TCS gave the clearest sense of scale: its PERM applications were in the single digits over the last two years.
North America still drove $11.3 billion of Infosys's $20.2 billion in revenue in fiscal 2026 (year ending March), or 56%.
That share was 62% in fiscal 2023. North America revenue has barely moved since then, while total revenue grew 11%, so nearly all the net revenue growth came from outside North America.
The bigger worry is where US policy goes next. If Washington keeps pushing these firms toward local hiring, the effect shows up in margins first.
Infosys has room. Its operating margin held between 20.8% and 21.3% in seven of the last eight quarters, with one dip to 18.4%, and stood at 21.2% in the June quarter.
Each percentage point of margin is worth about $200 million in operating profit at fiscal 2026 revenue.
HCLTech reports on Monday, October 12, one of the first of the suspended group to report since the action. Infosys follows on October 23. The number to watch is Infosys's margin guidance. If management trims its margin guidance and points to US hiring costs, that would signal pressure from the broader US staffing environment. A direct impact from the PERM suspension would need to be identified separately.
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