Wipro, Infosys ADRs fall over 2% after TCS reports Q4 results. What to expect on Friday?

The American Depository Receipts of Wipro and Infosys slumped in early trade on the New York Stock Exchange (NYSE) after peer TCS reported its fourth quarter results. Wipro ADRs were down nearly 2% even as the company announced that it will consider a share buyback proposal on April 16. Meanwhile, the ADRs of Infosys were also down just over 2%.

Going by the early ADR reaction, the stocks could be heading for a muted opening, when the market opens on Friday.

TCS on Thursday reported a 12% growth in net profit at Rs 13,718 crore in the fourth quarter, while revenues from operations rose 10% YoY to Rs 70,698 crore. The IT major bagged three mega deals during the fourth quarter, with the total contract value (TCV) of $12 billion.


Management commentary largely focused on adapting to AI and how the company is positioning itself in an age of uncertainty. In the fourth quarter, its annualised AI revenue crossed $2.3 billion in Q4FY26.

Analysts said the numbers were largely in line with expectations with strong deal wins a likely positive in the earnings card.

"At a CMP of Rs 2,590, currently, TCS is trading at a PE of 17.6x its FY28E EPS of Rs 147.2. We currently have an Accumulate rating on the stock," said Abhishek Jain, Head of Research, Arihant Capital Markets.

Management commentary hinted that the company is clearly placing more emphasis on AI other areas, even though traditional service models are still driving the growth.

CEO K Krithivasan said Q4 growth was supported by an AI-led positioning across services, while COO Aarthi Subramanian described FY26 as a pivotal year for enterprise AI adoption, with accelerated deployment driving revenue scale. The messaging suggests AI is now embedded across core service lines rather than being treated as a separate vertical.

Despite stepping up investments in AI infrastructure and partnerships, TCS expanded margins during the year. CFO Samir Seksaria said the company continued to invest in AI-led growth opportunities while maintaining operational discipline, indicating that AI spending is not yet dilutive to profitability.

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