TCS, Wipro Shares Hit 52-Week Low as AI Concerns and Global Tech Rout Weigh on IT Stocks

8 Jun 2026 , 07:01 PM

Wipro Ltd.

52-Week Low: ₹181.00, 52-Week High: ₹273.10

Tata Consultancy Services (TCS) Ltd.

52-Week Low: ₹2,143.30, 52-Week High: ₹3,538.00

Reason for 52 weeks Low

India’s IT sector witnessed sharp selling pressure, dragging both TCS and Wipro close to or at their 52-week lows as investors reacted to a combination of global technology weakness, AI-related concerns, and company-specific challenges.

For TCS

• The stock touched a multi-year low as investors remained concerned about the long-term impact of Artificial Intelligence on traditional IT outsourcing businesses.

• While TCS reported strong Q4 FY26 performance with a 12% YoY rise in net profit, a four-year high operating margin of 25.3%, and annualized AI revenues crossing $2.3 billion, the company’s FY26 dollar revenue declined 0.5% and constant currency revenue fell 2.4%.

• Investors fear that increasing AI adoption could reduce demand for legacy IT services, leading to slower long-term growth.

• Additionally, foreign institutional selling, concerns over a potential US Federal Reserve rate hike, and a sharp correction in global technology stocks further weighed on sentiment.

For Wipro

• The decline was driven by both sector-wide weakness and company-specific factors. The stock fell sharply after turning ex-record date for its ₹15,000 crore buyback at ₹250 per share.

• Investors who purchased shares to become eligible for the buyback started exiting after the record date, creating significant selling pressure.

• At the same time, Wipro’s Q1 FY27 guidance disappointed the Street, indicating flat to negative sequential growth despite strong deal wins.

• Weak revenue growth, cautious demand outlook, and concerns surrounding AI-led disruption in the IT services industry added to the pressure.

The broader Nifty IT Index declined nearly 9% in four trading sessions, reflecting a global technology selloff triggered by rising US bond yields, stronger-than-expected US jobs data, and fears that AI-driven transformation could disrupt traditional IT service providers.

As a result, investors reduced exposure to major IT stocks, pushing both TCS and Wipro toward their 52-week lows despite their stable operational performance and continued deal wins.

Stock Performance Context

TCS Stock Performance

• Over the past one week, TCS declined 6.44%, compared to a 1.11% decline in the Nifty 50.

• In the last one month, the stock fell 10.23%, substantially underperforming the benchmark index decline of 4.36%.

• On a year-to-date (YTD) basis, TCS has dropped 33.40%, versus an 11.56% decline in the Nifty 50, reflecting continued weakness in the IT sector.

• Over the past one year, the stock has corrected 36.49%, significantly lagging the benchmark’s decline of 7.52%.

• Long-term performance has also remained weak, with TCS delivering negative returns of 33.59% over three years and 32.83% over five years, while the Nifty 50 gained 24.09% and 46.91%, respectively, during the same periods.

Trading activity remained robust, with approximately 65.37 lakh shares changing hands and a traded value of over ₹1,410 crore, indicating strong investor participation despite the ongoing weakness. TCS currently commands a market capitalization of around ₹7.78 lakh crore, maintaining its position as one of India’s largest IT services companies despite the recent decline in share price.

Wipro Stock Performance

• Over the past one week, Wipro declined 12.02%, compared to a 1.11% decline in the Nifty 50.

• In the last one month, the stock dropped 8.24%, underperforming the benchmark decline of 4.36%.

• On a year-to-date (YTD) basis, Wipro has fallen 32.07%, considerably worse than the Nifty 50’s decline of 11.56%.

• Over the past one year, the stock has corrected 26.95%, compared to a 7.52% decline in the benchmark index.

• Long-term performance has also remained weak, with Wipro delivering negative returns of 9.10% over three years and 34.04% over five years, while the Nifty 50 generated positive returns of 24.09% and 46.91%, respectively.

Trading activity remained elevated with approximately 751.64 lakh shares traded, while traded value exceeded ₹1,396 crore, indicating heightened investor activity amid the stock’s decline. The company currently commands a market capitalization of around ₹1.91 lakh crore, maintaining its position as one of India’s leading IT services companies despite the recent correction.

Disclaimer – The stock/s and indices mentioned in this article is discussed solely for informational and educational purposes. It should not be construed as investment advice or a recommendation to buy or sell any securities. Investors should conduct their own research or consult a financial advisor before making any investment decisions. Investments in securities market are subject to market risks. Read all the related documents carefully before investing.