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Nifty IT Index Jumps Over 2% as Infosys, Wipro, TCS, and HCL Tech Rally

Strategic Insights

— 2 min read

Infosys' buyback plan, combined with the rupee's depreciation and improved investor sentiment, lifted IT stocks, despite US tariff risks. The Nifty IT index surged over 2% in intraday trading, with all 10 constituents trading in the green. The buying spree was broad-based, with Infosys emerging as the top gainer and Tech Mahindra, LTIMindtree, HCL Tech, and Coforge also adding 2-3%.

Key Takeaways:

  • Infosys' share buyback plan announcement lifted the stock price by over 2% and the entire IT sector, as the company's board will meet on September 11 to consider the proposal.
  • The rupee's depreciation to a record low of 88.36 against the US dollar is expected to boost margins for IT companies earning most of their revenues in dollars.
  • US tariff risks, including the HIRE Act's proposed 25% tax on outsourcing payments, could negatively impact Indian IT exporters, but are currently being ignored by markets.
  • The Nifty IT index has slipped 19% year-to-date, while the broader Nifty 50 has gained about 5%.
  • The buying spree was broad-based, with Infosys, Wipro, Tech Mahindra, LTIMindtree, HCL Tech, Coforge, TCS, Persistent Systems, Mphasis, and Oracle Financial all trading in the green.
  • Infosys' share buyback will be the company's first in three years if approved.
  • The regulatory filing for the Infosys buyback proposal was made in accordance with the Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018, as amended.

Statistics:

  • Nifty IT index surged over 2% in intraday trading.
  • Infosys share price rose over 2% and emerged as the top gainer.
  • Wipro followed, rising close to 3%.
  • Tech Mahindra, LTIMindtree, HCL Tech, and Coforge added around 2-3%.
  • TCS, Persistent Systems, Mphasis, and Oracle Financial climbed between 1-2%.
  • The rupee recently slid below 88 against the US dollar, hitting a record low of 88.36.
  • The Nifty IT index has slipped almost 19% year-to-date.
  • The broader Nifty 50 has gained about 5% year-to-date.

Sources:

  • "The Board of Directors of Infosys Limited will consider a proposal for buyback of fully paid-up equity shares of the Company at its meeting to be held on September 11, 2025, in accordance with the Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018, as amended." (Source: Infosys regulatory filing)
  • "The rupee recently slid below 88 against the US dollar, hitting a record low of 88.36." (Source: No specific reference)
  • "The Nifty IT index has slipped almost 19% year-to-date, while the broader Nifty 50 has gained about 5%." (Source: No specific reference)

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