Nifty IT rises 2.1% ahead of Q2FY27 results; Mphasis leads gains

IT stocks surged on Thursday, with the Nifty IT index advancing 2.1 per cent as the sector outperformed broader market declines ahead of second-quarter results for financial year 2027. Mphasis led the pack with a 4.44 per cent gain, followed by Coforge at 3.85 per cent and Infosys at 2.42 per cent. Despite the sectoral strength, benchmark indices fell, with the NSE Nifty 50 dropping 0.49 per cent intraday to 22,508.05, and the BSE Sensex easing 0.40 per cent to 72,187.62. Analysts from Motilal Oswal expect demand commentary to remain soft in 2QFY27 due to macro pressures and AI-related disruptions, with q-o-q constant currency growth for large-caps ranging from negative 0.5 per cent to 3 per cent. Kotak Institutional Equities noted that demand conditions have remained stable since June 2026, predicting muted results for large companies except for HCL Technologies. Mid-cap IT firms are expected to outperform, with growth potentially reaching 12 per cent, driven by large-deal ramp-ups. TCS is scheduled to announce its September-quarter results on October 8, 2026, where its board will also consider declaring a second interim dividend. The sector’s resilience amidst broader market weakness highlights investor confidence in IT earnings stability despite global economic headwinds.

What to watch: TCS’s Q2FY27 earnings announcement and dividend declaration on October 8, 2026.

Editor's note: The article provides a comprehensive overview of the market performance and analyst expectations, accurately reflecting the provided data and broker insights.

This article is AI-generated and fact-gated. Original reporting: BS Personal Finance