IT Stocks Fall More Than 3% Amid Cautious Growth Prospects From Infosys

Shares of IT companies were hit on April 24, with the Nifty IT index plunging by more than 3% in the morning session, making it the biggest loser among sectoral indices for the period.

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At 09:55 AM, the Nifty IT index was seen down more than 3%, underperforming the overall market, which itself was down on account of higher oil prices and geopolitical risk aversion.

IT Large-Cap Stocks Drive the Index Downwards

IT large-cap stocks led the decline, with HCL Technologies dropping more than 4% to emerge as the biggest loser on the Nifty 50 index. Infosys fell nearly 3.7%, while Tech Mahindra dropped about 2.8%. Tata Consultancy Services (TCS) declined over 2.4%, and Wipro traded lower by more than 1.5%.

The broad-based decline in frontline IT companies added pressure on benchmark indices during the session.

Infosys Guidance Impacts Sentiment

Infosys reported a 20.9% year-on-year rise in net profit to ₹8,501 crore for Q4FY26, while revenue increased 13.4% to ₹46,402 crore, according to company filings. Still, the company predicted that its revenue would grow by 1.5% to 3.5% in constant currency terms for the fiscal year 2027.

The cautious outlook was a factor behind the pessimism in IT shares, given that the industry is still vulnerable to changes in demand worldwide.

Broader Weakness Across the IT Segment

Selling pressure extended to midcap IT stocks as well. Coforge and Mphasis declined around 3%–3.5% during the session, indicating a wider decline across the sector.

The fall in IT stocks coincided with global uncertainties and rising crude oil prices, which have impacted overall market sentiment.

Global Factors And Sector Sensitivity

IT companies derive a significant portion of their revenue from overseas markets, particularly the U.S. Thus, the changes in international markets, foreign exchange rates, and macroeconomic indicators keep affecting the performance of sectors.

Under the current geopolitical situation and higher oil prices, IT shares remained depressed at the beginning of trading on April 24.