Nifty IT index jumps 2%; what's driving IT stocks higher today? Find here

Analysts attributed the up move to a pullback rally after sharp declines in past sessions. The index is currently 22.72% below its 52-week high of 46,088.90 and is down about 14.8% so far this year.

IT stocks today: Information technology (IT) stocks were in focus on Monday, November 24, 2025, with the Nifty IT index climbing as much as 1.81 per cent to an intraday high of 37,554.35. 

 

By 9:52 AM, the index was up 1.35 per cent at 37,382.50, outperforming the Nifty50, which edged 0.12 per cent higher to 26,099.

 

Among major gainers, Tech Mahindra shares rose 3.18 per cent, Infosys 2.58 per cent, Coforge 2.08 per cent, HCLTech 1.99 per cent, Mphasis 2.09 per cent, Wipro 1.84 per cent, LTI Mindtree 1.67 per cent, Persistent Systems 2.06 per cent, OFSS 1.29 per cent, and TCS 0.89 per cent.

 

Analysts attributed the up move to a pullback rally after sharp declines in past sessions. The index is currently 22.72 per cent below its 52-week high of 46,088.90 and is down about 14.8 per cent so far this year.

 

According to G. Chokkalingam, founder and head of research at Equinomics Research, the rebound is supported by two key factors i.e.the latest depreciation in the rupee, which aids IT exporters, and the sharp correction already seen in the sector. He further noted that the current uptick provides a favourable short-term buying opportunity.  CATCH STOCK MARKET UPDATES LIVE 

Global cues supportive: Asia-Pacific markets rise on Fed rate-cut signals

 

Asia-Pacific markets started the day higher on Monday after New York Fed President John Williams signaled the possibility of a third US rate cut this year. Williams noted that labour market weakness now poses a bigger economic risk than inflation, boosting expectations of further monetary easing.

 

The Fed’s final policy meeting of 2025 is set for December 9-10, with the benchmark rate at 3.75-4 per cent. Fed funds futures now price in a 70 per cent chance of a 25-basis-point cut, up sharply from about 44 per cent earlier this month. 

 

In general, a Fed rate cut boosts global risk appetite and US corporate tech spending, lifting demand for Indian IT services. It also supports foreign inflows into Indian markets, which typically benefits large-cap IT stocks.

 

That said, regional markets were broadly higher. South Korea’s Kospi rose 1.56 per cent, while Australia’s S&P/ASX 200 gained 1.12 per cent, recovering from Friday’s 1.59 per cent drop.

 

Wall Street’s rebound on Friday also aided sentiment. The Dow gained 1.08 per cent, the Nasdaq added 0.88 per cent and the S&P 500 rose 0.98 per cent, reinforcing the positive tone across global equities.

 

Motilal Oswal bullish on IT; upgrades key stocks as AI cycle nears inflection

 

Domestic brokerage Motilal Oswal has turned decisively positive on India’s IT services sector, citing an approaching inflection in AI-related services spending and an attractive valuation setup. 

 

The brokerage has upgraded Infosys, Mphasis and Zensar stocks to ‘Buy’ and Wipro to ‘Neutral’ while raising target multiples by about 20 per cent as it rolls forward valuations to FY28 earnings.

 

According to the report, the long-awaited AI services cycle, akin to the 2016-18 cloud build-out phase, appears set to take off over the next 6-9 months, with meaningful revenue acceleration expected in H2FY27 and FY28. With foundational AI capex largely in place and improvement in LLMs and chips now only incremental, Motilal Oswal expects enterprise spending to shift towards software, platforms, and services.

 

Valuations, too, strengthen the case. While IT services have consistently contributed around 15 per cent of Nifty profits over the past four years, their index weight has slipped to a decade-low 10 per cent, far below the 19 per cent peak in December 2021. The brokerage believes this disconnect marks a bottom, with risks now skewed to the upside.

 

Motilal Oswal has also raised its growth estimates to reflect a sustained recovery as enterprises move into full-scale AI deployment, arguing that current market prices overly discount concerns around GenAI-led deflation and muted demand. 

(Disclaimer: The stock outlook has been suggested by Motilal Oswal. Views expressed are their own.)