DBT Bureau
Bengaluru, 22 June 2024
The Nifty IT index, which measures the movement of major IT services and technology firms in India, ended the week (June 17-21) with a 0.76% gain as Accenture’s Q3 earnings raised hopes of a recovery in technology spending in coming quarters.
IT index’s lack of participation in the recent market rally also prompted investors to take position in IT services companies as the broader market hovered near a record high.
The Nifty IT index gained 0.76% to close at 35,200.30 last week. The index was one of the top gainers last week as the Nifty 50 hovered around a record level. The Nifty 50 rose 0.64% on a weekly basis to close at 23,501.10 on Friday.
Last week, the share price of Tata Consultancy Services fell 1.39% to close the trading week at Rs 3,802 on NSE. However, except TCS, all other large IT firms showed buying interest from investors. Infosys share price gained 2.43% to Rs 1,525.10 last week. Wipro was another major gainer, whose share price moved up 2.47% to close the trading week at Rs 491.60. HCL Tech’s share price rose 0.58% to Rs 1,440.45 last week.
Tech Mahindra shares rose 1.59% to Rs 1,392 last week. Among mid-tier IT firms, LTIMindtree was the major gainer as its share price closed 2.24% up at Rs 5,122. This was the consecutive second week when the company’s shares gained 2% each week. Coforge’s share price ended the week at Rs 5,370, a rise of 3.39% over the previous week. The share price of L&T Technology Services (LTTS) rose 0.32% to close at Rs 4,867 last week.
Among new-age stocks, MapMyIndia (CE Info Systems Ltd) was the major gainer as the company’s share price surged 26.89% last week to close at Rs 2,503. Brokerage firm Goldman Sachs in a report indicated that the company was well-positioned to capitalise on its leadership in the burgeoning Indian market.
Nasdaq eked out a sixth straight record closing high last week. The Nasdaq Composite ended 0.39% higher at 17,689.36 during the week. Chip giant Nvidia’s share price dropped 2.49% during the week to close at $126.57 on Friday, limiting the upside for the index.
