IT Stocks Crash: Nifty IT Down 4.6%, TCS & Infosys Trigger ₹6 Lakh Crore Sell-Off

Posted by : Kashish Aggarwal | Mon Feb 16 2026

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The shares of India’s leading technology companies, particularly Tata Consultancy Services and Infosys, continued to plummet today. This resulted in a loss of over ₹1.3 lakh crore in market value in a single day, while cumulative losses over the past trading days have already crossed ₹6 lakh crore. The $250 billion IT services industry in India saw a sharp correction on Monday, with leading stocks plummeting amid global tech weakness and concerns about AI disruption. The current Infosys share price is ₹1,341.10, and the HCL Tech share price is ₹1,451.30.

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Nifty IT Index Performance Today

The Nifty IT index continued to decline, falling around 4.6% in early trade amid global sell-offs in the technology sector. The sharp fall wiped over ₹1.3 lakh crore off the collective market value of IT stocks. The current Infosys share price is ₹1,341.10.

Weekly / Recent Trend

The Nifty IT index has fallen by over 8% in the past week, marking its worst performance in several months and raising fears about AI automation. The HCL Tech share price is ₹1,451.30, and the Infosys share price is ₹1,341.10.

Market Capitalisation Impact

The top IT companies in India have constantly lost over ₹6 lakh crore in market value in the past trading sessions.

Key Reasons Behind IT Stocks’ Falling

There are several reasons behind the fall in IT stocks, including Global Tech Stocks Fall, Fear of AI, and changing market sentiments.

Below are the key reasons why IT Stocks are falling

Global Tech Stocks Fall: Indian IT stocks have been moving lower alongside global technology markets, which have shown better performance over the past week. Selling in U.S. and global technology stocks has kept the Nifty IT index under pressure.
AI Disruption Fears Traditional Business Models: Investors are concerned that new breeds of AI, with the potential to automate complex business workflows, could undermine demand for labour-intensive IT services, which form the backbone of India’s outsourcing industry.
Shift in Market Narrative: Industry stalwarts and technology leaders, including AWS CEO, have termed the sell-off an “overreaction,” which indicates that the fear factor is much more pronounced than the actual threat, thus creating mixed signals in the market.

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Today’s Market Snapshot (Indicative)

Company / Index	Trend (Today)	Recent Notes
Infosys	Sharp declines persist	Major contributor to the sector’s fall
TCS	Heavy selling pressure	Among the largest market-cap losers
Nifty IT Index	Down significantly	Continuing near multi-session lows
IT Sector Market Cap	Shrinking rapidly	Losses in several lakh crore

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Expert Views & Insider Commentary

Market Analysts: Industry observers point to volatility but also note that short-term market sentiment is weak, and that fear of AI replacing service-based income is driving sharp sell-offs. The current Infosys share price is ₹1,339.70, and the HCL Tech share price is ₹1,448.30.

AWS CEO Matt Garman: In recent statements, industry tech leaders have said that most of the worries fueling the sell-off are overstated, and that AI investment can open up new service opportunities rather than just disrupting existing ones.

Also Read: Why is the HCL Tech Share Price Falling?

Investor Takeaway

Short-term market volatility remains high, particularly in labour-intensive IT services stocks such as TCS and Infosys.
AI concerns are driving market sentiment, but industry observers note that a shift toward AI services may eventually calm market valuations.
Market sentiment is cautious, with the tech sector remaining a prime driver of overall equity market performance.