Shares in Indian software majors Infosys, TCS and HCL Technologies hit 52-week highs as investors continued to bet on software stocks.
Software stocks have become the new darling of investors as they continue to dump banking stocks on fears of deterioration in asset quality. Other sectors like Infra, Power and Real Estate offer very little investing interest on account of the dismal state of the Indian economy, while FMCG stocks and pharma stocks have become very expensive.
Q1 2014 results posted by software companies have renewed optimism on the growth front and raised hopes of a better quarters for the sector.
TCS and HCL have painted an optimistic picture for the future, while Infosys has maintained its dollar revenue guidance.
According to analysts these stocks are likely to outperform the broader markets in the future.