Coronavirus clouds Infy's prospects; firm suspends guidance over pressure

Q4 results also indicate the quantum of pain Infosys is witnessing due to the Covid-19 pandemic

A stable operating margin in the March 2020 quarter (Q4) by Tata Consultancy Services, and the firms’ expectations of recovery by the December quarter, announced last Thursday,  had revived investor sentiment towards IT stocks to some extent.

However, Infosys, on Monday not only reported lower-than-expected numbers for Q4, but also indicated there is limited clarity on business recovery, a key reason why it skipped providing future guidance. This rubbed off negatively on the entire IT sector. The Nifty IT Index and Infosys’ stock shed 3-3.4 per cent on Tuesday. The overall market was also bearish on Tuesday (Sensex was down 3.2