IT stocks rise on positive read-through from Accenture results

TCS up 2.7%, Infosys gains 1.4%, Wipro up 1.9%

Indian software companies gain as a better-than-expected rise in quarterly revenue by Accenture Plc sparks hopes of a robust demand environment, dealers say.

Tata Consultancy Services Ltd up 2.7%, Infosys gains 1.4%, Wipro up 1.9%, HCL Technologies rises 3.3% and Tech Mahindra surges 2.3%.

Accenture's net income rose to $881.8 million, or $1.26 per share, in the third quarter ended May 31 from $874.1 million, or $1.21 per share, a year earlier. Analysts had expected earnings of $1.21 per share.

Accenture reported a better-than-expected 7.5% rise in quarterly net revenue, led by a rebound in demand for its consulting services, where it competes with Indian IT companies.