Wipro Ltd. bucked the broader rally in information technology stocks on July 27, emerging as the only stock in the group to trade in the red. Its shares fell 0.76%, while every other stock in the comparison advanced.
Latent View Analytics Ltd. led the gains with a 4.88% rise, followed by Oracle Financial Services Software at 4.02% and Happiest Minds Technologies at 3.70%. Birlasoft gained 3.38%, while Infosys rose 2.99%. Coforge, Sonata Software, Hexaware Technologies, Tech Mahindra, HCL Technologies, Zensar Technologies, Tata Consultancy Services, Newgen Software Technologies, Persistent Systems and Fractal Analytics also traded higher.
The Nifty IT index has declined nearly 28% from its record high, making it one of the weakest-performing sectoral indices over the past year. Investors have turned cautious on the sector as artificial intelligence reshapes the technology services landscape, discretionary spending by global clients remains subdued and uncertainty grows over the long-term outlook for the traditional outsourcing model. Although large IT companies continue to secure sizeable deals, clients are taking longer to translate those contracts into revenue as they focus on AI-led initiatives and cost-saving measures.
At the same time, the sector is grappling with slower revenue growth, pricing pressure and higher spending on AI capabilities. Enterprises are increasingly seeking productivity gains with leaner workforces, fuelling concerns that generative AI could reduce demand for labour-intensive application development and maintenance services that have historically driven growth for Indian IT companies. This has raised questions over whether AI-related opportunities will be sufficient to offset a slowdown in legacy businesses.
Top Movers
Among the day's gainers, Latent View Analytics posted the strongest rise at 4.88%, followed by Oracle Financial Services Software at 4.02% and Happiest Minds Technologies at 3.70%. Birlasoft, Infosys, Coforge and Sonata Software gained between 2.79% and 3.38%.
Hexaware Technologies, Tech Mahindra, HCL Technologies, Zensar Technologies, Tata Consultancy Services, Newgen Software Technologies, Persistent Systems and Fractal Analytics also ended higher, with gains ranging from 1.43% to 2.46%.
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