Nifty IT Stocks

IT stocks in demand: Tata Consultancy Services (TCS), Tech Mahindra, LTM, HCL Technologies and Mphasis gain 3 per cent each in intra-day deals on Friday.

The Nifty IT pack rebounded with an 18.4 per cent rise this month. Before this, Nifty IT's best show was in June 2020 when it rose 22.5 per cent.

Technology stocks witnessed some profit-taking on Friday following a 19% rally in the Nifty IT index this July.

The Nifty IT index rebounded over 21 per cent after hitting its 52-week low of 25,699.10 on July 1, 2026.

The sharp gains in IT stocks today follow easing valuations, a decent Q1 show, and an improving outlook after a sharp selloff this year.

However, despite recovery from lows, the Nifty IT index underperformed the market by falling 22 per cent, as against a 7.2 per cent decline in the Nifty 50 thus far in CY2026.

Brokerages said that TechM's Q1 revenue and margins exceeded estimates, and strong deal TCV provides strong revenue visibility.

Gains in IT index were led by large-cap IT stocks, with HCLTech, LTIMindtree and Persistent Systems among the key contributors

TechM Q1 Preview: On average, analysts expect Tech Mahindra to post a growth of 40 per cent or more for Q1 FY27 as ramp-up in large deals could push revenue by 15 per cent.

At 12:44 PM on Monday, the Nifty IT index was the top gainer among sectoral indices, up 4.24 per cent, as compared to 0.01 per cent rise in the Nifty 50.

At 09:38 AM on Friday, the Nifty IT index was the top gainer among sectoral indices, up 1.8 per cent, as compared to a 1 per cent rise in the Nifty 50.

As Nifty IT trades below historical valuations despite record earnings, Apurva Sheth explores whether India's IT sector is nearing a major turnaround opportunity

The NSE IT index declined nearly 2% in Thursday's early trade, dragged by TCS and Infosys. TCS to announce Q1 results after market hours today.

In the past four trading days, IT index outperformed the market by soaring 9 per cent, as against a 2 per cent gain in the Nifty 50.

VK Vijayakumar of Geojit Investments, said India's relative outperformance continues to be aided by weakness in the KOSPI and the broader weakness in the global chip trade.

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.

In the past 20 trading days, the Nifty IT index tanked 17 per cent, as against a 2.2 per cent rise in the Nifty 50 till Wednesday.

Among sectors, the Nifty IT index, the worst performer among sectoral indices, tanked 27.8 per cent in H1CY26 as rising concerns around artificial intelligence (AI)-led disruption spooked investors.

Assets of passive funds tracking the Nifty IT index have risen 23 per cent over the past year despite a sharp correction, signalling strong investor interest in the sector

Indian IT firms hit their lowest Nifty 50 weight in over two decades as AI disruption fears and a sector-wide selloff erode market influence