 "Incremental gains, stable demand may drive growth for India’s IT sector")
Demand trends appear to be stable for the information technology (IT) sector, and headwinds may be easing. Most deals are still focussed on cost optimisation.
Artificial intelligence (AI) adoption and penetration may be accelerating.
Analysts are increasing earnings estimates by modest amounts and pointing at a sector as a possible hedge against rupee depreciation.
Almost every listed IT company has seen quarter-on-quarter (Q-o-Q) growth in Q2FY26 over Q1FY26 with many beating consensus estimates for margins and growth.
Financial services did well with the Big Five witnessing average growth of over 6.2 per cent. Several firms have hiked guidance, or lifted
