India's IT stocks at record high on bullish HSBC forecast, rating upgrades

Mphasis

10/12/2024 05:46

** India IT index  .NIFTYIT  jumps 1.22% to record high
    ** 9 of 10 index stocks higher, led by roughly 2% gains in
Mphasis  MBFL.NS  and LTIMindtree  LTIM.NS 
    ** HSBC expects industry's growth to pick up to 6%-7% in
FY26 from 3%-4% in last two years
    ** HSBC notes positive U.S. demand outlook, led by improving
macro backdrop, esp for banking and retail, but cautions on
weaker Europe outlook, GenAI uncertainty
    ** Upgrades Infosys  INFY.NS , Mphasis and LTIMindtree to
"buy"
    ** Raises Wipro  WIPR.NS  and TCS  TCS.NS  to "hold"
    ** Cuts Tech Mahindra  TEML.NS  to "reduce" and Coforge
 COFO.NS  to "hold"
    ** TEML only declined on the day in the IT index
    ** IT index's 27% YTD gain is double the Nifty 50's  .NSEI 

 (Reporting by Ashna Teresa Britto in Bengaluru)
 ((AshnaTeresa.Britto@thomsonreuters.com))