Major IT Stocks Gain Up to 27% From September Lows as Valuations Climb

Mumbai | 11 November 2026 

The Nifty IT index tracks major information technology companies listed on the NSE. Shares of the five major IT companies have gained between 16% and 27% from their September lows. The index rose 17% in October 2026, after falling 11% in September. It had fallen 36% from its all-time high in July 2026 before the rebound. 

Improving comments from company management, higher revenue from artificial intelligence (AI) and a positive hiring trend in specialised skills supported the recovery. 

On Wednesday, 11 November, the index traded at 32,316.20, down 152.70 points, or 0.47%. The Nifty 50, NSE’s benchmark index of 50 large companies, rose 1.09% to 25,318.20 at the same time. 

Which IT Stocks Gained the Most Since September? 

Wipro has gained the most among the five major IT stocks since their September lows, followed by Tata Consultancy Services (TCS) and Tech Mahindra. Infosys and HCL Technologies (HCLTech) recorded the smallest gains, rising by the same amount. 

How Have IT Valuations Changed After the Rally? 

The price-to-earnings (P/E) ratio shows how many rupees investors pay for every rupee a company earns. A higher P/E means investors are paying more for the same earnings. The P/E of all five major IT companies has risen since September, and Tech Mahindra trades at the highest level. 

What Did Q2 Results Show for IT Companies? 

Second quarter (Q2) results across the sector were largely in line with expectations. Tech Mahindra and HCLTech reported the fastest sequential revenue growth among the five companies, while Wipro reported the slowest. Sequential growth compares revenue in one quarter with the quarter before it. 

How Much Revenue Is AI Bringing to IT Companies? 

AI is becoming a larger source of revenue for IT companies. TCS and HCLTech shared AI revenue figures with their Q2 results: 

• TCS said its annualised AI revenue crossed $3.1 billion, or more than 10% of its revenue. Annualised revenue is what a business would earn in a full year at its current pace. 

• HCLTech reported advanced AI revenue of $219 million, up 28.4% from the previous quarter in constant-currency terms. Constant currency removes the effect of exchange rate changes. 

Outlook 

Infosys cut its revenue growth guidance for financial year 2026-27 (FY27) to between 1% and 2% in constant-currency terms, from between 1.5% and 3% earlier. Guidance is a company’s own forecast of its performance. 

Wipro expects its IT services revenue for the third quarter (Q3) to range from a 1.5% decline to 0.5% growth. 

IT companies have yet to see a meaningful recovery in discretionary spending. This is client spending on new, non-essential technology projects. 

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