BSE INDEX BSE IT (BSE IT) live share price today at BSE

The Indian IT sector has emerged as a key economic driver, making a significant contribution to GDP, generating employment, and driving digital transformation. The BSE IT is a sectoral analysis that tracks the performance of the top IT companies that are listed on the Bombay Stock Exchange. It also works as a benchmark for investors; with the help of this index, the growth and stability of the sector can be measured. The Bombay Stock Exchange introduced the BSE IT Index in 1999, with a base date of 1st February 1999 and a base value of 1,000 points. It includes large-cap giants like TCS, Wipro, and HCL Technologies, along with mid-cap players such as Mahindra, Mphasis, and Coforge. On the other hand, the investor gets a clear idea of the performance of the large-cap and mid-cap companies, which helps them to make better-informed investment decisions.

• The yearly price return of the BSE IT is -16.265%, and over 5 years, it is 98.36%.
• The P/B ratio in the fundamentals is 7%, the P/E ratio is 27%, and the dividend yield is 2.0%.
• Top constituent companies are Infosys, TCS, Wipro, HCL, and Tech Mahindra. These top 5 stocks have 80% index weightage.
• A better investment option for investors with exposure to the Indian IT sector, focusing on long-term technology growth and innovation.

• This INDEX is particularly designed for IT sector companies that are Software services, IT Consulting, IT-enabled Services and Digital Transformation and AI Companies.
• The stock must be listed on the Bombay Stock Exchange.
• The company's trading frequency must be a minimum of 90% of trading days in the last 6 months.
• The company should have a strong market cap, and it must be included in the top leading IT sector companies.
• The final selection of stocks for the index should be based on the company’s free-float market capitalisation. 
• The index review period is Semi-annually.

The BSE IT is calculated using the free-float market capitalisation method. This method calculates the index share price, considering its base market capitalisation and base index value. 

The free-float market cap refers to the aggregate market capitalisation of only those outstanding shares that are available for trading in the secondary market, excluding all the restricted shares. 

BSE IT = Free Float market capitalisation / (base market capitalisation* base index value)

• In the BSE IT Index, the top leading Indian companies include TCS, HCL, Wipro, and Tech Mahindra; these are globally established companies with a strong presence in international markets.
• BSE IT companies generate major revenue from the US, Europe, and the global market.
• Over the last two decades, the Indian sector has been rapidly growing.
• Investing in indexes like the BSE IT index allows you to gain exposure to high-quality stocks.
• This company's stock has high liquidity and high trading volume, which makes entry and exit easy.
• The BSE IT index has a strong financial performance.

• In the BSE IT Index, monitor the performance of the IT sector so that it lacks diversification of risk.
• BSE IT Index does not include small-cap company they has high growth potential, but they are ignored due to low liquidity and low trading volume.
• Few companies in the BSE IT Index have a high weightage; if a company underperforms, it may affect the whole index. 
• There is a delay in capturing new trends in the index as IT companies upgrade their technology at a fast pace.
• Any such disruption in IT projects affects the overall performance.

BSE IT Index is a reliable tool that tracks the performance of the Indian IT sector. Through this index, investors have the opportunity to invest in India's leading IT companies, such as TCS, Infosys, and Wipro. India has established a remarkable position on the global stage, driven by the increasing demand for digital transformation. With the help of this IT index, investors get a chance to get exposure to the IT sector and believe in long-term technology growth. As these IT stocks have high liquidity and high trading volume, they are known as freely traded stocks with easy entry and exit. Although it also has some limitations, like limited diversification of portfolio, being highly dependent on global markets, and a delay in capturing the latest technology changes in the index. Before investing in particular stocks, investors should gain an understanding of the sectoral analysis, risk and market sentiment. BSE IT Index is considered a substantial and long-term growth investment option.