Global Markets
Home›Global Markets›Asia›Indian IT stocks surge as June-quarter earnings spark…
Indian IT stocks surge as June-quarter earnings spark optimism
The Nifty IT index rose as much as 2.3% for a second straight winning session, after major IT firms reported mostly in line results or slightly ahead of estimates.
Indian markets climbed on Friday, led by a sharp rebound in information technology shares during the June-quarter earnings season. The Nifty IT index gained as much as 2.3% and extended its streak of gains for a second consecutive session, lifting broader sentiment as the benchmark indices rose more than 1% each.
The Sensex jumped 817.86 points, or 1.06%, to 78,004.73, while the Nifty 50 rose 206.60 points, or 0.86%, to 24,279.35. The rally comes after IT stocks faced heavy selling pressure earlier in the year, with the Nifty IT index down nearly 23% year to date versus a 7% decline for the Nifty 50 over the same period.
According to LiveMint Markets, Infosys, Tech Mahindra, and HCL Technologies led the sectoral move, each rising more than 3%, followed by Tata Consultancy Services, Persistent Systems, Mphasis, and LTIMindtree. The upside was linked to reactions to Q1 results reported over the previous week, with analysts citing mostly in line performance or figures slightly ahead of estimates, and no negative surprises in either results or commentary.
SBI Securities analyst Sunny Agrawal said the companies were upbeat about a strong deal-win environment and strong total contract value, which supports revenue visibility, while noting execution risk could change with the global environment. He also suggested mid-cap IT companies are likely to outpace Tier 1 firms on growth for fiscal year 2027.
Latest closeSensex 77,185.43 ▲0.2%