The Nifty IT currently quotes around 20 per cent below its 200-DMA. TCS, Infosys, Wipro and HCL Technologies are down in the range of 21-26 per cent form respective 200-DMAs.
Within the sector, JM Financial sees mid-tier IT companies outperforming large-caps and has identified Infosys among the top-six players, Mphasis in the mid-tier space, and Sagility among business pr
Prashanth Tapse of Mehta Equities said that while IT stocks have seen some improvement in price, the broader fundamentals of the sector remain challenging due to relatively subdued growth expectations
Individually, Oracle Financial Services Software rallied 4.4 per cent, followed by TCS, Wipro, Persistent Systems, Infosys, Mphasis and LTIMindtree up over 2 per cent
All 10 constituents of the Nifty IT index were trading sharply higher. Mphasis, Wipro, Oracle Financial Services Software, HCL Tech, and TCS rose over 2 per cent each
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Analysts noted that AI-led deflationary pressure is becoming visible in Mphasis' contract renewals, with discounts nearly doubling from 10 per cent to approximately 20 per cent
Analysts at Geojit Investments and Choice Broking are bullish on Tech Mahindra stock, and view the current fall as a correction rather than trend reversal.
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As AI reshapes IT hiring, Mphasis has dropped campus recruitment, betting on internships, hackathons and learnability over credentials in the age of GenAI
Nomura said the quarter was "largely in line," noting that revenue growth was marginally ahead of its estimate and that margins were close to expectations.
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.