Shares of Tech Majors, which earn a significant portion of their income in US Dollars Llars, include coffee, HCL technologies, Tata Consultancy Services (TCS), Infosys and Wipro. The Nifty IT index fell 1.5%, which is the largest pull on benchmark indices on the second day in a row.
IT stocks began on Thursday following the announcement of 10%baseline tariffs on all imports of US President Donald Trump, with a rates of rates for significant trade surplus countries with US India, which was reduced to China (%34%), Vietnam (34%) (34%) (34%).
India’s IT sector is recently under pressure, with a poisonous mix of Trump tariffs in the US. Stimulates the cruel wave of recession, the expectations of weak earnings, and broker downgrade.
All 10 stocks of the Nifty IT index are now below 20%from their peaks, with heavyweights like TCS (-26%), Infosys (-25%), and HCL Tech (-27%). Oracle Financial Services S. Software Fatware (OFS) has been the highest wounds, which has been submerged by 43%. The Nifty IT index itself has crashed about 23% of its S Validation, which is the biggest accident in India’s stock market route this year.
Meanwhile, the brokerage Q4 will reduce the target price before the earning season and downgrade the field, warning that a weak US Demand, macroeconomic uncertainties and the cooling effect of Trump’s tariffs can pull it over to uproar.
Axis Securities noted, “We continue with our ‘downgrade’ trend on it.” Overall IT costs in the US market and potential delays in discretionary costs, which could pose a downgrade risk in the next quarters. These downgrade risks can pose a challenge to evaluate the IT sector in the near term. With overnight development of Trump tariffs, we recommend reducing.
Jefferies echoed similar concerns, noting that when he had no direct contact with tariffs, the US. GDP The effect on the demand for outsourcing can damage. “Demand for manufacturing, logistics and retail verticals will affect due to high tariffs.” “Tech Mahindra and HCL Tech, between the big caps, and the IKS, Santa in the midcaps, have favorable Vert bhi exposure.”
The IT sector is going to the Q4 earning season under a cloud of pessimism. Kicking the TCS results on April 10, analysts expect a weak quarter marked by a cautious comment of income reduction, deprived guidance and management teams.
“We expect a gradual income to decline for all major IT companies in Q4FY25,” said Kotak Institutional Equity. “Seasonal weakness, fewer days of billing and macro uncertainty will weigh on this area.”
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