IT stocks will be in focus in today's trade (May 6, 2021) after the IT major Cognizant Technology Solutions Corp. has raised its 2021 revenue growth guidance from 4-7% to 5.6-7.6% in constant currency. This is on account of growth in digital space. The revenue for the second quarter is expected to grow 8-9% in constant currency in the range of $4.42 billion-$4.46 billion.
It is to be noted here that Cognizant follows the calendar year. At the time of writing this report, IT index was gaining traction and was up around 0.97% at around 12:00 pm.
Some of the stocks that contributed to the gains of the index included Infosys, Wipro, Mindtree and TCS, while there are stocks that also pulling the index down, namely, L&T Infotech, Infotech and HCL.
Individually IT stocks went higher by anyway between 0.5-18 percent. And Mindtree scrip was close to its 52-week high price of Rs. 2275.95 at one point slowly scaled to its fresh 52-week high of Rs. 2301. Similar was the momentum in stock of Coforge and Mphasis , which also hit their new 52-week high. Notably the stock of Coforge ahead of its earnings for Q4FY21 which are expected today have surged by close to 18%.