Indian IT stocks fall by 3%
Indian IT shares declined after the weaker results of the February 2025 quarter of the global IT giant Accenture.
- Infosys fell 3.09% to ₹ 1,564.15
- TCS fell 2.7% to ₹ 3,466.60
- Wipro falls 2.85% to ₹ 260.30
- HCL Tech fell 2.53% to ₹ 1,521.20
Heavy decline in Xencher shares
Dublin -based Accenture shares fell to 10% on the New York Stock Exchange (NYSE). This also affected the adrs of Indian companies listed in the US, where Infosys and Wipro fell to 4%.
What is the reason behind the weak results of the Extense?
- New bookings 3% less against dollar
- New bookings of $ 1.4 billion in generative AI segment
- Sleake in Federal Projects, which affects American Revenue of Accenture
- Alan Musk’s cost cut policy declines in US government contracts
Worried signs for Indian IT sector
- Nifty IT index dropped more than 20% from December high
- Fear of US recession and cut in IT budget
- Pressure on Indian IT companies due to weak outlook of Extense
Brokerage house view
- Morgan Stanley: In 2026, the growth of Indian IT companies may be slow.
- HSBC: Excellent outlook of a little positive from neutral, but decline in desirement expenses is a matter of concern.
- Nomura:
- Described Infosys as a favorite in largecap
- Koforge placed in midcap pics
- Jefferies: Growth in North America and BFSI segment is fine, but weakened deals are negative signs cut in bookings and desirement expenses.
