Infosys, TCS, Wipro and other IT stocks rise up to 4%. Here are 3 important triggers to watch

Shares of information technology companies such as TCS, Infosys, HCLTech and Wipro, among others, rose up to 4% on Friday after a confluence of factors, ranging from second-quarter earnings to the US suspending a certification programme.

In today’s session, Wipro gained nearly 3% to hit a day’s high of Rs 163, while TCS jumped over 4% to a day’s high of Rs 2,163 after its Q2 results. HCLTech and Tech Mahindra shares gained 3% each, while midcap stocks such as Coforge and Persistent Systems rallied 3% and 4%, respectively.

Here are key reasons for IT stocks to be in focus

1.) TCS Q2 results: India’s largest IT services company reported a 15% year-on-year (YoY) growth in its consolidated net profit at Rs 13,884 crore for the second quarter. The same stood at Rs 12,075 crore a year ago. The board has declared a second interim dividend of Rs 12 per share for the financial year 2026-27.


In constant currency terms, revenue rose 0.5% quarter-on-quarter. Operating margin came in at 24%, while net margin stood at 19%.

CEO and MD K Krithivasan said the company saw broad-based growth across international markets and most industry segments. He said the Porsche and Best Buy deals represent a new category of transformation partnerships and that TCS is building repeatable platforms with clients to industrialise AI at scale.

2.) PERMs suspended: The US Labor Department on Thursday announced the suspension of Microsoft and Adobe from the Permanent Labor Certification Program, citing multiple ongoing federal investigations involving the companies, according to US Labor Secretary Keith Sonderling.

The department also said it would stop accepting or processing new applications from Cognizant, Infosys, Capgemini, Wipro, TCS, and HCLTech. Sonderling said these companies had sought nearly three million foreign workers since 2009, securing more than 230,000 H-1B visa approvals and over 100,000 permanent labor certifications.

In response, IT industry body NASSCOM said Indian IT companies had substantially reduced their reliance on H-1B visas while steadily increasing local hiring to strengthen their workforce in the US.

3.) OpenAI misses revenue run rate forecast: OpenAI told investors that its annualised revenue for September was nearly $50 billion, lower than the figure it had indicated earlier, Reuters reported. The company had previously told investors at a separate event that its revenue run rate for September was approaching $70 billion.

The discrepancy largely stemmed from an effort to make a direct comparison with revenue figures from rival Anthropic, the Reuters report added.

OpenAI’s revenue disclosure could benefit Indian IT firms by highlighting the growing demand for AI services, implementation, and enterprise integration. As global AI companies expand, Indian IT players could secure more contracts to help businesses deploy AI tools, modernise systems, and manage costs. However, the opportunity will depend on how effectively they adapt their offerings and convert AI demand into sustainable revenue growth. OpenAI’s lower-than-previously-indicated revenue run rate could ease concerns that AI companies are growing rapidly enough to disrupt traditional IT services.

Infosys and Wipro US-listed ADRs recovered from day lows to end flat-to-positive overnight.

Disclaimer: This article has been written by Veer Sharma, who is not a SEBI-registered Research Analyst or an Investment Adviser. Veer Sharma and his ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.