MUMBAI, June 19, 2026, 16:34 IST
- Infosys dropped roughly 7%, the worst performer among big Indian IT names.
- Nifty IT ended at its lowest in three years. Accenture trimmed its revenue-growth outlook for fiscal 2026.
- Analysts pointed to soft client spending as the real concern in the market, rather than results from any single company.
Infosys Ltd tumbled 6.5% on Friday to finish at 1,054.20 rupees on the National Stock Exchange, with nearly 45.67 million shares traded, after sinking as low as 1,030. The drop came as Accenture cut its full-year revenue-growth outlook and global tech recovery bets faded, dragging Indian tech stocks lower.
Accenture’s results matter to investors as a read on demand for Indian IT exporters, who also serve big global clients with software, consulting and outsourcing. The Nifty IT index cut some of its early steep losses, but closed off 3.65%. The Nifty 50 dropped 0.64% to 24,013. Sensex was down 0.78% at 76,803.
Accenture cut its fiscal 2026 local-currency revenue growth outlook to 3% to 4%. The range was 3% to 5% back in March. Local-currency growth does not include currency fluctuations. Accenture said third-quarter new bookings came in at $19.32 billion, slipping from $19.7 billion a year ago. CEO Julie Sweet said demand for “large-scale reinvention remains strong.” investor.accenture.com
Infosys got hit by slow demand for discretionary tech projects. Clients continue to hold off on work that isn’t essential to core operations. That’s a drag on firms like Infosys that rely on big digital transformation budgets to grow.
India’s $315 billion IT industry is feeling pressure as clients put off non-essential tech projects, Reuters reported. The sector is also dealing with risks from artificial intelligence and geopolitical worries. Mayuresh Joshi at William O’Neil & Co told Reuters that growth is “clearly missing,” with the market looking for better results. He said Indian IT firms need to “get their act together very fast” since hyperscalers and platform companies are changing enterprise IT work. Reuters
Infosys shares led the declines, closing 6.69% lower on the BSE as sector selling hit its rivals. Tata Consultancy Services dropped 3.55%, HCL Technologies lost 2.59%, and Wipro slipped 1.12%, MarketWatch data showed.
The drop doesn’t seem driven by just an earnings miss at the company. Investors are questioning when IT demand will pick up again. Infosys may manage margins using automation and tighter costs, but the market is looking for stronger revenue signs, not just better efficiency.
But that’s not the only scenario. If Accenture’s warning is just about brief client holdups, softer U.S. federal demand or issues in the Middle East, Indian IT stocks might settle fast. The worry is deals keep slipping, ramp-ups drag, and clients hold off on extra projects for another one or two quarters.
Shashwat Singh, a fundamental analyst at Bajaj Broking, said Accenture confirmed clients are “highly cautious with their wallets,” and warned that Indian IT companies depend on the same global work. Rupak De, senior technical analyst at LKP Securities, thinks “near-term consolidation looks likely,” and set Nifty’s range at 23,800–24,200. Reuters
Infosys faces a clear test: prove large deals are actually turning into revenue, not just filling its pipeline. Until that happens, each major global IT earnings report could act almost like an update for Infosys too.
