Infosys, TCS, Wipro, HCL Tech: Why IT stocks are falling today; is it time to buy?
Infosys, which opened at Rs 1,298, plunged 7.61 per cent to hit a low of Rs 1,387.20 apiece. TCS tanked 6.28 per cent to hit a low of Rs 2,579. Wipro was down 4.45 per cent at Rs 209.15.
- Feb 13, 2026,
- Updated Feb 13, 2026 12:56 PM IST
Top five IT stocks — Tata Consultancy Services Ltd, Infosys Ltd, HCL Technologies Ltd, Wipro Ltd and Tech Mahindra Ltd — fell up to 8 per cent in Friday’s trade, extending their decline to a second consecutive session. The sharp fall came in the backdrop of a 2.03 per cent drop in the Nasdaq Composite overnight and persistent weakness in American Depository Receipts (ADRs) of Indian IT majors Infosys and Wipro, as the market assessed the potential impact of AI-led disruptions on their business models. The real impact of the ‘Anthropic shock’ on the IT sector is yet to be ascertained, said VK Vijayakumar, Chief Investment Strategist, Geojit Investments, who believes a panic selling in IT stocks at this stage may not be a good idea. Investors may wait and watch for the dust to settle, he said.
Infosys, which opened at Rs 1,298, plunged 7.61 per cent to hit a low of Rs 1,387.20 apiece. TCS tanked 6.28 per cent to hit a low of Rs 2,579. Wipro was down 4.45 per cent at Rs 209.15. HCL Technologies Ltd dropped 4.32 per cent to Rs 1,412.40. Tech Mahindra shed 2.41 per cent to Rs 1,499.35.
The IT selloff has triggered a selloff in Indian key benchmarks as technology account for the second largest profit pool of India Inc, Vijayakumar said. This analyst is of view that the ongoing correction in AI stocks globally is overall positive for Indian markets, as last year’s global rally was primarily led by AI trade in which India, an AI laggard, could not participate.
"So the unwinding of the AI trade, if it persists, is a positive from the Indian perspective," he said.
In the overnight trade, Infosys ADRs plunged 9.4 per cent to settle at $14.21 on NYSE. They edged higher 0.49 per cent to $14.28 in after hours. Wipro dropped 4.6 per cent to $2.28. Cognizant, which is not listed in India, also fell 7.16 per cent to $65.83.
Market fears the AI adoption could create headwinds for deal wins, potentially impacting topline of IT firms. The recent advanced AI tools have cut timelines in delivery through automated tasks putting pressure on the traditional headcount-based outsourcing model.
Samir Arora of Helios Capital in a post on X said: "Everything does not have to dramatized so much. Disruption does not mean extinction. Whatsapp disrupted SMS but you still use SMS. OTT disrupted TV and theatres but you still see TV and go to movies. Fear of disruption can mean lower valuations, lower growth expectations, lower terminal growth assumptions- all leading to underperforming stock prices."
"The recent fall in IT services and SaaS stocks appear to be driven by a narrative that marks down terminal growth rate assumptions. In our view the market is focussing on a theoretical end state without assuming what it takes to get there. We argue IT services firms should benefit from legacy code modernization, migration of legacy SaaS applications, building AI foundation layers for enterprises and physical AI among other opportunities," Investec said in a note.
There were fears that artificial intelligence could collapse entire layers of the software value chain, which led to indiscriminate selling across SaaS, consulting and data analytics stocks. In a recent note, Nirmal Bang said that Palantir Technologies and Anthropic had accelerated the re-pricing by attacking time and workflow economics. It said Palantir Technologies’s claim that SAP ECC to S 4 migrations can be completed in weeks rather than years directly compresses duration, labour intensity and client lock-in.
Top five IT stocks — Tata Consultancy Services Ltd, Infosys Ltd, HCL Technologies Ltd, Wipro Ltd and Tech Mahindra Ltd — fell up to 8 per cent in Friday’s trade, extending their decline to a second consecutive session. The sharp fall came in the backdrop of a 2.03 per cent drop in the Nasdaq Composite overnight and persistent weakness in American Depository Receipts (ADRs) of Indian IT majors Infosys and Wipro, as the market assessed the potential impact of AI-led disruptions on their business models. The real impact of the ‘Anthropic shock’ on the IT sector is yet to be ascertained, said VK Vijayakumar, Chief Investment Strategist, Geojit Investments, who believes a panic selling in IT stocks at this stage may not be a good idea. Investors may wait and watch for the dust to settle, he said.
Infosys, which opened at Rs 1,298, plunged 7.61 per cent to hit a low of Rs 1,387.20 apiece. TCS tanked 6.28 per cent to hit a low of Rs 2,579. Wipro was down 4.45 per cent at Rs 209.15. HCL Technologies Ltd dropped 4.32 per cent to Rs 1,412.40. Tech Mahindra shed 2.41 per cent to Rs 1,499.35.
The IT selloff has triggered a selloff in Indian key benchmarks as technology account for the second largest profit pool of India Inc, Vijayakumar said. This analyst is of view that the ongoing correction in AI stocks globally is overall positive for Indian markets, as last year’s global rally was primarily led by AI trade in which India, an AI laggard, could not participate.
"So the unwinding of the AI trade, if it persists, is a positive from the Indian perspective," he said.
In the overnight trade, Infosys ADRs plunged 9.4 per cent to settle at $14.21 on NYSE. They edged higher 0.49 per cent to $14.28 in after hours. Wipro dropped 4.6 per cent to $2.28. Cognizant, which is not listed in India, also fell 7.16 per cent to $65.83.
Market fears the AI adoption could create headwinds for deal wins, potentially impacting topline of IT firms. The recent advanced AI tools have cut timelines in delivery through automated tasks putting pressure on the traditional headcount-based outsourcing model.
Samir Arora of Helios Capital in a post on X said: "Everything does not have to dramatized so much. Disruption does not mean extinction. Whatsapp disrupted SMS but you still use SMS. OTT disrupted TV and theatres but you still see TV and go to movies. Fear of disruption can mean lower valuations, lower growth expectations, lower terminal growth assumptions- all leading to underperforming stock prices."
"The recent fall in IT services and SaaS stocks appear to be driven by a narrative that marks down terminal growth rate assumptions. In our view the market is focussing on a theoretical end state without assuming what it takes to get there. We argue IT services firms should benefit from legacy code modernization, migration of legacy SaaS applications, building AI foundation layers for enterprises and physical AI among other opportunities," Investec said in a note.
There were fears that artificial intelligence could collapse entire layers of the software value chain, which led to indiscriminate selling across SaaS, consulting and data analytics stocks. In a recent note, Nirmal Bang said that Palantir Technologies and Anthropic had accelerated the re-pricing by attacking time and workflow economics. It said Palantir Technologies’s claim that SAP ECC to S 4 migrations can be completed in weeks rather than years directly compresses duration, labour intensity and client lock-in.