TCS, HCL, Wipro, Infosys Bleeding: Why Are IT Stocks Down? Check Q1 Result Dates, Preview, Dividend Rewards

IT stocks crashed as investors booked profits ahead of its first quarterly earnings report for FY '27. The Q1FY27 result season will commence with major tech earnings in early August. Investors are cautious in the sector after Accenture trimmed its guidance forecast and signaled tepid deal wins. On June 30th, heavyweight tech players like TCS, Infosys, Wipro, HCL Tech and Tech Mahindra dropped significantly despite strong buying in Magnificent 7 tech stocks on Wall Street overnight.

IT Stocks Crashed

At the time of writing, the Nifty IT index dropped by 469.90 points or 1.74% to trade around 26,568.60. While the BSE-focused IT index plunged by 541.98 points or 1.64% to 32,500.18.

All tech stocks traded in red.

Heavyweights Infosys and LTIMindtree took lead in the top losers list with 2.4% and 2.6% decline. Further, the largest Indian tech player, Tata Consultancy Services (TCS) dropped by 2.2%, followed by Wipro and HCL Tech which plummeted by 1.8% and 1.42% respectively.

Also, Tech Mahindra dipped by 1.23% and Mphasis slipped by 1.2%. Stocks like Persistent Systems, Coforge and Oracle Financial Services recorded marginal to 0.5% downtrend.

The reason is broader bearish market tone and upcoming Q1 quarterly season.

"For IT, more than results, the management commentary is important. Sentiments are unlikely to favour the sector," Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited.

IT Sector: Q1 Results Date

TCS will commence the Q1 result season with its quarterly financial report scheduled on July 9, 2026. Meanwhile, HCL Tech will follow on July 13, and L&T Technology Services on July 14. Furthermore, Infosys and Mphasis are scheduled to declare its Q1 result on July 23, while KFin Tech and Coforge on July 24 and July 27.

Other companies are yet to declare their Q1 result dates.

IT Sector Q1 Results Preview:

It needs to be noted that tech players are under pressure for quite sometime now as fears of AI prospects lingered. It is believed that adoption of AI is beneficial, but for now it has not managed to give growth on an expected line and subside shocks of macro uncertainties like geopolitical tensions in West Asia, discritionary spending and tepid deals.

As per Nishchal Jain, Quant Researcher, Share.Market by PhonePe, the market is grappling with an "AI Disruption Paradox"-while long-term generative AI enterprise bookings are healthy, immediate monetization is slow, raising structural concerns that AI-driven efficiencies will steadily erode traditional headcount-based billing models.

After Accenture earnings, sentiment only soured further. This is because the guidance comes as a shocker for Indian tech sector's growth prospects in FY27.

According to a report of Kotak Institutional Equities, Accenture's results provide no solace to a sector beleaguered by multiple headwinds and the risk of higher AI deflation from sharp GenAI capability increase in software tasks.

Analysts at Kotak identified three inferences, i.e., (1) incremental headwinds to growth led by the Middle East conflict, with indirect impact focused more on discretionary spending and product vertical; Infosys can be a tad more vulnerable than Tier 1 peers to indirect impact, (2) the possibility of the lack of sufficiently managed services opportunities in the market and (3) growth moderation in the existing services market may not recover soon as Accenture looks to expand TAM by targeting mid-market enterprises and using expensive acquisitions to move into new high-growth areas.

TCS Vs HCL Tech Vs Infosys: Who Is Going To Reward Dividends?

Except Infosys, both TCS and HCL Tech are planning to reward investors with an interim dividend for FY27. The decision will be made during the board meeting of Q1 results next month.

For FY26, TCS paid up to Rs 110 dividend per share. The last dividend payout was of Rs 31 per share, which was the fifth dividend of 2025-26 fiscal.

Earlier, HCL Tech declared first interim dividend of Rs 24 per share for FY27, whose record date was April 5, 2026 and payment date was May 5, 2026. HCL Tech has a solid history of delivering hefty dividends to its investors. In the fiscal FY26, the company delivered as much as Rs 60 dividend per share.