Information Technology – Global Economy Drives Performance

Sector: Information Technology Stocks: TCS, Infosys, HCL Technologies, Wipro, $LTM Tech Mahindra Indian IT companies earn a significant proportion of their revenues from overseas clients. Therefore, US economic growth, interest rates, corporate technology spending and AI investments directly affect their future earnings. Investors should avoid focusing only on quarterly profits. Client additions, deal wins, utilisation rates and management guidance provide better indicators of future business performance.