Earthquake in HCL Tech shares Why did the stock fall by 10% even after record profits? Investors surprised, know the whole inside story
News India Live, Digital Desk: Today in the stock market, the day was no less than a nightmare for the investors of IT sector giant HCL Technologies. After the announcement of the results of the fourth quarter (Q4) of the financial year 2025-26, while it was expected that the stock would touch new heights, on the contrary, a sharp decline of 10 percent was recorded in the company’s shares. Despite the increase in profits, this ‘tsunami’ in the stock market has forced even the market leaders to think. The shine of profits faded, guidance spoiled the game. The surprising thing is that HCL Tech has recorded better net profit than expected in the fourth quarter. But the market’s focus is not just on current profits but on future possibilities. Experts say that the ‘Revenue Growth Guidance’ issued by the company for the upcoming financial year is very disappointing. The company fears that there may be a decline in IT spending globally, which will have a direct impact on the company’s earnings. This weak estimate dampened the enthusiasm of investors. Clouds of deepening crisis over the IT sector. This huge fall in HCL Tech has put the entire IT index under pressure. There is a fear among investors whether the slowdown in the US and European markets is going to break the back of Indian IT companies? Despite the strong deal pipeline, delays in execution of new deals have forced brokerage houses to downgrade their ratings. Many big analysts have ‘downgraded’ this stock, due to which there was heavy selling pressure as soon as the market opened. Should investors be afraid now? Market experts believe that this 10 percent fall could be a ‘knee-jerk reaction’ (sudden reaction). This could be an opportunity or a warning for long-term investors, depending entirely on global economic conditions. At present, the stock has broken its important support level on the technical charts. In such a situation, retail investors are being advised to avoid ‘bottom fishing’ (buying falling shares) without thinking and wait for the next steps of the company.
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