Indian benchmark indices Sensex and Nifty opened lower on Friday, after the IT behemoth Tata Consultancy Services (TCS) gave Q1 earnings season a tepid start. Global cues were mixed and added to the weak market sentiment.
At 9:20 AM, the BSE Sensex was trading at 82,926.52, down 263.76 points or 0.32 per cent. The NSE Nifty index fell 56.20 points, or 0.22 per cent, to trade at 25,299.05.
The weakness was led by a sharp decline in IT counters after a muted set of quarterly numbers. Shares of TCS tumbled 1.78 per cent to Rs 3321.95 at 9:23 am. Rival Infosys also saw its stock price fall by 1.83 per cent to Rs 1,587.15.
Top IT stocks such as Infosys, Wipro, Tech Mahindra (TechM) and HCL Technologies are in focus today after the largest IT services provider, Tata Consultancy Services (TCS), reported a mixed set of quarterly results, with higher-than-expected revenue degrowth sequentially, pointing to ongoing demand environment challenges.
The weak opening follows a negative closing on Thursday, where the BSE Sensex settled at 83,190.28, down 345.80 points, and the NSE Nifty closed at 25,355.25, shedding 120.85 points.
Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, noted that while “TCS Q1FY26 results beat street expectations with a 6% profit rise, though demand contraction due to geopolitical uncertainties capped excitement.” He believes a significant IT rebound likely hinges on a dovish Fed. “Nifty bulls may remain under pressure amid Trump’s tariff threats and hawkish Fed tones, with technical strength only above 25,670,” Tapse added.
VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, pointed to a broader trend of market in the first half of 2025. “Q1 results of TCS indicate continuing struggle for IT companies, particularly large cap IT. However, midcap IT is likely to do well,” he said. “Outperformance in Q1 will be from telecom, oil and gas and segments of autos. Investors may focus on fairly valued stocks with earnings visibility,” he added
Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.
