Accenture forecast boosts Indian IT stocks, lifts Nifty IT index

IT stocks gained attention on Monday following Accenture's strong Q4FY26 results and optimistic FY27 guidance. The company's forecast of stronger-than-expected annual revenue growth lifted sentiment and eased concerns that AI-driven disruption could dampen technology spending. Accenture CEO Julie Sweet stated, "We exceeded our fourth-quarter revenue guidance range and capped off another year of broad-based growth across our business, grew adjusted EPS 8 per cent, returned a record $11.5 billion to shareholders and reached a new high of 141 quarterly client bookings of $100 million or more."

Brokerage Nuvama suggested that the results, bookings, and guidance were slightly positive for Indian IT. The Nifty IT index rose 1.5 per cent in early trade, with shares of Persistent Systems, TCS, Wipro, Coforge, and MphasiS leading the gains, while Infosys and HCL Tech were in negative territory. As the focus shifts to the September quarter earnings of Indian IT companies, analysts will examine how quickly strong bookings convert into revenue and the extent to which AI deflates traditional services.

The Q2 earnings season kicks off on October 8 with Tata Consultancy Services, followed by HCLTech on October 12 and Infosys on October 23.