TCS, Infosys, HCL Tech, KPIT Tech, Mphasis, Coforge: Check fresh price target, Q4 previews
Indian IT sector is set to announce its results for the quarter and financial year ended on March 31, 2026, beginning with Tata Consultancy Services (TCS) on April 09, 2026.
- Mar 30, 2026,
- Updated Mar 30, 2026 2:15 PM IST
The Indian IT sector is set to announce its results for the quarter and financial year ended on March 31, 2026, beginning with Tata Consultancy Services Ltd (TCS) on April 09, 2026. On the back of recent carnage in the IT sectors, experts believe that demand remains stable with guidance and order inflows remaining key factors for the IT majors.
Investor sentiment in the Indian IT sector shifted notably in the fourth quarter of fiscal year 2026, according to a JM Financial report. Concerns over the impact of Generative AI led NSEIT to underperform by approximately 15 per cent in February and March. The ongoing crisis in the Middle East further added uncertainty for IT services companies, note the brokerage.
Generative AI presents a structural challenge for investors, while the Middle East situation introduces short-term risks. The depreciation of the Indian rupee offers some relief by supporting margins in the near term. Investor focus is expected to centre on revenue guidance and order books for fiscal year 2027 it said.
The Indian IT sector's demand environment remains broadly stable despite ongoing macroeconomic uncertainty, according to a report by YES Securities. While discretionary spending is cautious, selective strength is noted in the banking, financial services, and insurance (BFSI) sector. Technology budgets have mostly held steady, although spending deferrals continue, it said.
Deal activity is focused on cost reduction, productivity-led transformation, and vendor consolidation. Revenue conversion is generally on track, though some vendor consolidation deals face execution delays. YES Securities identifies BFSI as the key growth driver, supported by legacy modernisation and technology debt reduction.
YES Securities revisited IT sector valuations, suggesting a moderated multiple band of 18-25 times for large-cap IT firms, with Tech Mahindra as an outlier. The report concludes that resilient earnings, strong deal pipelines, and gradual recovery support attractive long-term valuations.
Among major IT firms, YES Securities believes that TCS may post 1.1 per cent constant currency quarter-on-quarter growth, led by BFSI and telecom. Margins remained stable at 25.3 per cent, supported by currency tailwinds. Deal wins remain strong at $7–9 billion, though conversion may be uneven. It has a 'buy' rating on TCS with a target price 3,162.
Infosys Ltd may achieve about 3.4 per cent constant currency revenue growth in FY26, with life sciences gaining momentum, notes YES. It may post strong total contract value (TCV) deal wins of approximately $11.7 billion. Margins may come in at 20.7 per cent, slightly lower year-on-year due to higher third-party costs, it said, giving a 'buy' rating with a target price of Rs 1,672.
HCL Technologies Ltd is projected to see around 4.5 per cent constant currency year-on-year growth in FY26, driven by BFSI and technology ramp-ups. Margins are forecast to remain under pressure at 17.4 per cent, affected by restructuring costs estimated at 40-50 basis points, according to YES Securities. It has an 'add' rating on HCL Tech with a target price of Rs 1,524.
Wipro Ltd may report a 1.1 per cent constant currency decline year-on-year, impacted by retail, EMR weakness, and healthcare headwinds. Margins stayed stable at 16.6 per cent, supported by operational efficiencies. Large deal wins are anticipated between $1-$1.2 billion, noted YES Securities. It has a 'buy' rating with a target price of Rs 272 in Wipro.
Tech Mahindra Ltd may show modest 0.5 per cent constant currency quarter-on-quarter growth, led by BFSI. Margin improvement of 40-60 basis points is expected from fixed-price productivity measures. Deal wins are forecast to remain steady at about $900 million to $1.1 billion. It has 'buy' rating on Tech Mahindra with a target price of Rs 2,002.
JM Financial recommends a selective investment approach, favouring stocks with reasonable operational visibility. This reflects caution amid ongoing structural and geopolitical uncertainties. The near-term outlook for the Indian IT sector remains influenced by these dynamics, with currency movements providing some margin support, said the brokerage firm.
Investors are advised to monitor upcoming revenue guidance closely to assess sector performance. Overall, JM Financial’s report highlights the importance of careful stock selection as the IT sector navigates technological disruptions and geopolitical risks in FY27.
From the IT pack, JM Financial has a 'buy' rating on Infosys (Target Price: Rs 1,525), Mphasis (Target Price: Rs 2,695), KPIT Technologies (Target Price: Rs 860), Sagility (Target Price: Rs 56) and Firstsource Solutions (Target Price: Rs 260). It has given a 'reduce' rating on Wipro (Target Price: Rs 200), LTIMindTree (Target Price: Rs 4,285) and Tata Technologies (Target Price: Rs 560)
JM has an 'add' rating on TCS (Target Price: Rs 2,660), HCL Tech (Target Price: Rs 1,440), Tech Mahindra (Target Price: Rs 1,550), Coforge (Target Price: Rs 1,300), Persistent Systems (Target Price: Rs 5,595), Hexaware Technologies (Target Price: Rs 490), IKS Health (Target Price: Rs 1,520), BlackBox (Target Price: Rs 502) and CE Infosystems (Target Price: Rs 950).
The Indian IT sector is set to announce its results for the quarter and financial year ended on March 31, 2026, beginning with Tata Consultancy Services Ltd (TCS) on April 09, 2026. On the back of recent carnage in the IT sectors, experts believe that demand remains stable with guidance and order inflows remaining key factors for the IT majors.
Investor sentiment in the Indian IT sector shifted notably in the fourth quarter of fiscal year 2026, according to a JM Financial report. Concerns over the impact of Generative AI led NSEIT to underperform by approximately 15 per cent in February and March. The ongoing crisis in the Middle East further added uncertainty for IT services companies, note the brokerage.
Generative AI presents a structural challenge for investors, while the Middle East situation introduces short-term risks. The depreciation of the Indian rupee offers some relief by supporting margins in the near term. Investor focus is expected to centre on revenue guidance and order books for fiscal year 2027 it said.
The Indian IT sector's demand environment remains broadly stable despite ongoing macroeconomic uncertainty, according to a report by YES Securities. While discretionary spending is cautious, selective strength is noted in the banking, financial services, and insurance (BFSI) sector. Technology budgets have mostly held steady, although spending deferrals continue, it said.
Deal activity is focused on cost reduction, productivity-led transformation, and vendor consolidation. Revenue conversion is generally on track, though some vendor consolidation deals face execution delays. YES Securities identifies BFSI as the key growth driver, supported by legacy modernisation and technology debt reduction.
YES Securities revisited IT sector valuations, suggesting a moderated multiple band of 18-25 times for large-cap IT firms, with Tech Mahindra as an outlier. The report concludes that resilient earnings, strong deal pipelines, and gradual recovery support attractive long-term valuations.
Among major IT firms, YES Securities believes that TCS may post 1.1 per cent constant currency quarter-on-quarter growth, led by BFSI and telecom. Margins remained stable at 25.3 per cent, supported by currency tailwinds. Deal wins remain strong at $7–9 billion, though conversion may be uneven. It has a 'buy' rating on TCS with a target price 3,162.
Infosys Ltd may achieve about 3.4 per cent constant currency revenue growth in FY26, with life sciences gaining momentum, notes YES. It may post strong total contract value (TCV) deal wins of approximately $11.7 billion. Margins may come in at 20.7 per cent, slightly lower year-on-year due to higher third-party costs, it said, giving a 'buy' rating with a target price of Rs 1,672.
HCL Technologies Ltd is projected to see around 4.5 per cent constant currency year-on-year growth in FY26, driven by BFSI and technology ramp-ups. Margins are forecast to remain under pressure at 17.4 per cent, affected by restructuring costs estimated at 40-50 basis points, according to YES Securities. It has an 'add' rating on HCL Tech with a target price of Rs 1,524.
Wipro Ltd may report a 1.1 per cent constant currency decline year-on-year, impacted by retail, EMR weakness, and healthcare headwinds. Margins stayed stable at 16.6 per cent, supported by operational efficiencies. Large deal wins are anticipated between $1-$1.2 billion, noted YES Securities. It has a 'buy' rating with a target price of Rs 272 in Wipro.
Tech Mahindra Ltd may show modest 0.5 per cent constant currency quarter-on-quarter growth, led by BFSI. Margin improvement of 40-60 basis points is expected from fixed-price productivity measures. Deal wins are forecast to remain steady at about $900 million to $1.1 billion. It has 'buy' rating on Tech Mahindra with a target price of Rs 2,002.
JM Financial recommends a selective investment approach, favouring stocks with reasonable operational visibility. This reflects caution amid ongoing structural and geopolitical uncertainties. The near-term outlook for the Indian IT sector remains influenced by these dynamics, with currency movements providing some margin support, said the brokerage firm.
Investors are advised to monitor upcoming revenue guidance closely to assess sector performance. Overall, JM Financial’s report highlights the importance of careful stock selection as the IT sector navigates technological disruptions and geopolitical risks in FY27.
From the IT pack, JM Financial has a 'buy' rating on Infosys (Target Price: Rs 1,525), Mphasis (Target Price: Rs 2,695), KPIT Technologies (Target Price: Rs 860), Sagility (Target Price: Rs 56) and Firstsource Solutions (Target Price: Rs 260). It has given a 'reduce' rating on Wipro (Target Price: Rs 200), LTIMindTree (Target Price: Rs 4,285) and Tata Technologies (Target Price: Rs 560)
JM has an 'add' rating on TCS (Target Price: Rs 2,660), HCL Tech (Target Price: Rs 1,440), Tech Mahindra (Target Price: Rs 1,550), Coforge (Target Price: Rs 1,300), Persistent Systems (Target Price: Rs 5,595), Hexaware Technologies (Target Price: Rs 490), IKS Health (Target Price: Rs 1,520), BlackBox (Target Price: Rs 502) and CE Infosystems (Target Price: Rs 950).