TCS, Infosys In Value Zone? Why AI Could Be The Key To Their Next Big Re-Rating

Indian I.T. stocks remain in a value zone, but the market is still waiting for stronger visibility on their AI growth strategy. Harendra Kumar, MD - Institutional Equities, Elara Capital, says the AI opportunity is increasingly expected to require technology integrators and customised solutions, creating potential opportunities for Indian I.T. companies. TCS and Infosys have significant scale and cash generation, but investors are still questioning how effectively they can adapt to the rapidly changing AI ecosystem. According to Harendra Kumar, Indian I.T. companies need to demonstrate stronger execution and clearly communicate how AI can reshape their business models. Until that visibility improves, the sector may continue to face valuation pressure despite its long-term potential.