IT stocks outlook: TCS, HCL Tech shares at 52-week low - Fresh price targets by experts

Shares of IT majors such as Tata Consultancy Services Ltd (TCS) and HCL Technologies are trading near their 52-week lows after Anthropic launched a new AI model that increased the risk to the revenue for domestic technology players. The outlook is cautious and selective for the IT sector, say analysts. 

On June 9, Anthropic released Claude Fable 5, a Mythos-class artificial intelligence (AI) model equipped with new safeguards designed for the general public. Amid the fears of AI-led disruption, the Nifty IT index has slipped 26% this year.  

Meanwhile, Tata Consultancy Services Ltd (TCS) and HCL Technologies shares slipped to their 52 week lows in the previous session as the new AI model raised the risk to the revenue for domestic technology players. 

TCS share price targets 

Shares of India's biggest IT major Tata Consultancy Services Ltd slipped 2% to hit a fresh 52 week low of Rs 2110 on Thursday. In the current session, the stock was trading on a flat note at Rs 2147 against the previous close of Rs 2135.30. 

TCS stock has lost 34% in 2026 and fallen 38% in a year. 

Virat Jagad, Sr. Technical Research Analyst at Bonanza  said, "Tata Consultancy Services is trading near its 52-week low zone, reflecting persistent weakness and a bearish market structure. The stock remains below all key EMAs, indicating a strong downtrend, while RSI below 40 signals subdued momentum. A breakdown below the recent low around Rs 2,087 could extend selling pressure, whereas sustained trading above Rs 2,209 may provide the first indication of a relief rebound."

Hitesh Rathi, Technical Analyst (Equity & Derivatives) at Angel One appears bearish on the outlook of the stock. "The ongoing weakness is reflected in the formation of a consistent lower-high, lower-low structure, which remains the hallmark of a bearish trend. The stock is currently approaching a crucial support zone in the Rs 2180–2150 band, which coincides with the 78.6% Fibonacci retracement of its rally from the 2020 lows. Given the significance of this level, some buying interest or a temporary relief rally cannot be ruled out. However, the broader technical structure remains decisively bearish, with no meaningful signs of trend reversal visible at present. A decisive break down below the Rs 2180–2150 support zone could trigger a fresh wave of selling pressure and open the door for a deeper retracement towards the 2020 breakout region," said Rathi

Hitesh Tailor, Technical Research Analyst at Choice Broking said, "TCS is witnessing a weak technical structure on the weekly chart after a decisive breakdown below key support levels and extending its corrective trend. The stock has been forming a series of lower highs and lower lows, indicating persistent selling pressure and bearish market sentiment. The recent breakdown below the crucial support zone around Rs 2,250 has further strengthened the negative bias. The weekly RSI is placed near 27, indicating oversold conditions and weak momentum, though a technical pullback cannot be ruled out. Immediate support is seen around Rs 2,000–2,050, while any recovery may face resistance near Rs 2,250, followed by Rs 2,850–3,150. However, the oversold RSI and proximity to a long-term support zone suggest that a buy-on-dips approach may be considered, while sustained trading below key moving averages is likely to keep the near-term bias cautious."

HCL Technologies share price targets

Shares of another Sensex component HCL Technologies slipped 4% to hit a fresh 52 week low of Rs 1090 on Thursday. In the current session, HCL Technologies shares were trading at Rs 1103. 

HCL Technologies stock has lost 33% in 2026 and fallen 34% in six months. 

The stock hit a 52 week high of Rs 1770 on February 3, 2026. 

In terms of technicals, the relative strength index (RSI) of the IT stock stands at 36.5, signaling it's trading neither in the oversold nor in the overbought zone. HCL Technologies shares are trading lower than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day and 200 day moving averages.

Virat Jagad said, "HCL Technologies has entered a strong corrective phase after breaking below the crucial support zone around Rs 1,240–1,250, which had acted as a major demand area over the past year. The stock has also broken below a steep descending trendline support, reinforcing bearish momentum. Immediate resistance is now placed at Rs 1,170 and Rs 1,240, while support is seen near Rs 1,020. A breakdown below 1,020 could accelerate selling pressure and drag the stock towards 900–850 over the medium term. Until HCL Tech reclaims 1,240 on a closing basis, the technical outlook remains bearish and any recovery is likely to face strong selling pressure at higher levels."

Hitesh Rathi, Technical Analyst (Equity & Derivatives) at Angel One said is bearish on the outlook of the stock. 

"In addition, prices continue to remain in a confirmed primary downtrend, characterized by a sequence of lower highs and lower lows, indicating that sellers continue to maintain control of the broader trend. Given the prevailing technical structure and the absence of any meaningful signs of reversal at this stage, we expect the ongoing downtrend to extend further, with the stock potentially moving towards the Rs 900 level over the medium term. That said, there are early signs of selling exhaustion emerging near the recent swing lows. The 14-day Smoothed RSI has also developed a bullish divergence while hovering in oversold territory, suggesting that downside momentum may begin to moderate. Therefore, despite the broader bearish setup remaining intact, a short-term relief rally cannot be ruled out, with prices potentially moving towards the 20 DEMA in the Rs 1150–1200 zone initially before the next directional move unfolds," said Rathi. 

Hitesh Tailor, Technical Research Analyst at Choice Broking said , "Immediate support is seen around Rs 1,000–1,050, while any recovery may face resistance near Rs 1,200, followed by Rs 1,300–1,390. However, the oversold RSI and proximity to a long-term support zone suggest that a buy-on-dips approach may be considered, while sustained trading below key moving averages is likely to keep the near-term bias cautious."