Indian IT stocks fall as much as 7% after Accenture cuts outlook

Indian information technology stocks dropped sharply Friday after Accenture lowered its revenue growth forecast for the fiscal year ending August 2026, adding to concerns about demand across the sector. Shares of Tata Consultancy Services fell more than 5%, Infosys lost more than 7% and Tech Mahindra declined over 4%, while the Nifty IT Index slid more than 5%. Accenture cut its annual revenue growth guidance to 3% to 4% from 4% to 5% after reporting third-quarter results. Citi said it remains cautious on Indian IT, noting the Nifty IT Index trades at about 16 times one-year forward earnings compared with 10 times for Accenture, and pointing to AI disruption, stronger competition and macro uncertainty.