Rs 82,500 crore rally in 3 days: Why TCS, HCL Tech, other IT stocks jumped up to 12% in 3 days and will the boom last?

What happened: The Nifty IT index rose 8% over three sessions, led by HCLTech, TCS and Tech Mahindra, after better-than-expected Q2 earnings and Accenture comments easing AI disruption fears. Key numbers: Nifty IT up 8% in three sessions, adding Rs 82,500 crore in market cap. HCLTech 12%, TCS 11%, Tech Mahindra 10.60%, Infosys 9%, Wipro 7%. Why it matters: Analysts stay cautiously optimistic, citing global AI adoption as a key concern for IT earnings and valuations, while flagging possible profit-booking and volatility after the sharp rally.

The Nifty IT index rose 8% over three sessions, led by HCLTech, TCS and Tech Mahindra, after better-than-expected Q2 earnings and Accenture comments easing AI disruption fears.

Analysts stay cautiously optimistic, citing global AI adoption as a key concern for IT earnings and valuations, while flagging possible profit-booking and volatility after the sharp rally.