JPMorgan warns IT sector slowdown, trims fiscal 2027 revenue forecasts
JPMorgan is sounding the alarm for IT companies, pointing to slower growth this year thanks to generative AI shaking up the industry and global uncertainties.
The firm has trimmed its revenue forecasts for fiscal 2027, saying a weak start and delayed deals could make it tough for companies to hit their targets.
Usual early-year momentum isn't showing up, so things might stay sluggish.
JPMorgan downgrades HCL Tata Technologies Wipro
JPMorgan has downgraded HCL Technologies, Tata Technologies, and Wipro, saying their stock prices don't really match the risks out there.
Meanwhile, TCS, Infosys, TechM, Coforge, Persistent, and Sagility are still favorites.
The brokerage advises everyone to stay cautious: real growth will depend on whether AI can shift from being a drag on profits to actually helping the industry bounce back.
For now, a full recovery looks uncertain.