Indian IT Sector Set For Q3 Upswing; TCS, Infosys, Tech Mahindra Lead DRChoksey's Bet — Check Full List

According to brokerage insights, revenue growth is likely to pick up in H2 FY26, aided by strong deal pipelines and ramp-ups in large programs, though macro uncertainties and tight discretionary budgets may temper momentum..NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .DRChoksey Report.The Indian IT services sector is expected to witness a steady recovery in Q3 FY26, supported by accelerating AI-driven transformations, cloud modernization, and vendor consolidation, even as global tech spending remains cautious. According to brokerage insights, revenue growth is likely to pick up in H2 FY26, aided by strong deal pipelines and ramp-ups in large programs, though macro uncertainties and tight discretionary budgets may temper momentum.Margins are projected to remain resilient, driven by operational efficiencies, utilisation gains, and cost optimisation initiatives. High-growth verticals such as BFSI, healthcare, and technology are expected to lead demand, while retail and communications may see selective softness.Large-cap IT firms under coverage—TCS, Infosys, and Tech Mahindra—for their strong large-deal pipelines, rising AI-led/digital transformation spending, and improving client activity across key verticals, which together support steady revenue visibility. All three are executing cost-efficiency and productivity programs that should stabilize or gradually expand margins inspite macro volatility. Alongside robust balance sheets, high cash generation, and consistent shareholder payouts, the sector setup offers defensive earnings resilience with medium-term growth optionality from Gen-AI and cloud modernisation..Click on the attachment to read the full report:.L&T, Siemens Energy Among Motilal Oswal's Pick In Capital Goods; BEL Tops Defence In Q3 Results Preview.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Indian IT Sector Set For Q3 Upswing; TCS, Infosys, Tech Mahindra Lead DRChoksey's Bet — Check Full List

IT Q3 results preview: DRChoksey prefers large-cap IT firms under coverage—TCS, Infosys, and Tech Mahindra for their strong large-deal pipelines, rising AI-led, digital transformation spending.

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