India’s technology sector showed strong momentum as TCS and Infosys led a major rise in market value among the country’s biggest companies. In the past week, five of the ten most-valued listed firms together added ₹72,284.74 crore to their market capitalisation. The largest gains came from Tata Consultancy Services, which added ₹35,909.52 crore, followed by Infosys with ₹23,404.55 crore. Bharti Airtel, ICICI Bank and Bajaj Finance also added value, but the rise in TCS and Infosys stood out because of its scale and timing.
This increase happened during a quiet week for the overall stock market. The Sensex barely moved, ending with a gain of only around six points, while the Nifty 50 slipped by about sixteen-and-a-half points. Even in such a flat market, the strong performance of India’s top IT companies helped support the wider indices and highlighted the importance of the technology sector to India’s market leadership.
TCS now holds a market value of about ₹11,71,862 crore after the sharp addition of over ₹35,900 crore in a single week. Infosys reached a market capitalisation of around ₹6,71,367 crore after gaining more than ₹23,400 crore. While some major companies such as Reliance Industries, HDFC Bank, SBI, L&T and LIC saw a fall in market value, the jump in TCS and Infosys lifted overall sentiment and showed that investors are again trusting India’s biggest IT exporters.
The rally also reflects improving trends in quarterly results. TCS announced Q2 FY26 revenue of ₹65,799 crore, a rise of 3.7 percent compared to the previous quarter. The company’s constant currency growth was 0.8 percent. Operating margin increased to 25.2 percent and net profit rose to about ₹12,075 crore, an annual growth of 1.4 percent. Infosys also delivered strong Q2 numbers with revenue from operations at ₹44,490 crore, which is nine percent higher than the previous year. The company reported a net profit of ₹7,364 crore, up thirteen percent year-on-year. Infosys also narrowed its full-year FY26 revenue guidance to a range of two to three percent, showing cautious but steady optimism for the rest of the year.
These figures suggest stability in global technology spending and continued demand for digital transformation. Companies across the world are still investing in cloud services, AI-led solutions and technology upgrades, which benefits Indian IT leaders who supply these services at scale.
The current rise in TCS and Infosys shares is driven by both company-level performance and bigger economic trends. The Reserve Bank of India recently cut interest rates by 25 basis points. Lower interest rates usually support sectors that depend on long-term growth expectations, and IT companies fall in this category. Cheaper borrowing costs and better liquidity in the system often make investors more willing to buy growth-focused stocks.
Another reason behind the renewed interest is the improving environment in global markets. If the US Federal Reserve also chooses to lower interest rates in the coming months, fears of a global slowdown may ease further. This would allow companies in the US and Europe to increase or normalise their technology budgets. Since Indian IT companies earn most of their revenue from these regions, any improvement in global business sentiment directly supports their growth outlook.
The heavy buying in TCS and Infosys shows that investors are placing their trust in strong, stable and profitable businesses. During uncertain market phases, investors often look for companies with predictable earnings, strong cash flows and solid balance sheets. TCS and Infosys hold these qualities and have been long-term favourites among both domestic and foreign investors.
TCS remains India’s second most valuable company after Reliance Industries, and its performance is often seen as a reflection of global technology demand. Infosys, known for its deep capabilities in digital services, cloud adoption and large BFSI clients, is also seen as a reliable measure of the outsourcing environment. Their leading role in the ₹72,285 crore market-cap increase highlights their continued importance in the Indian equity market.
The future for both companies will be shaped by the strength of their deal pipelines. TCS reported a total contract value of about 10 billion dollars in Q2 FY26, indicating that clients continue to trust the company with major long-term projects. If more deals convert into active revenue streams, the coming quarters may show stronger growth. Infosys is also investing heavily in artificial intelligence platforms and cloud services, areas that global enterprises are increasingly prioritising.
A key trend benefiting both companies is the shift from AI experiments to large-scale AI adoption. Enterprises are beginning to implement AI in core operations, automation and customer experiences. If this continues, TCS and Infosys may see rising demand in the next 12 to 18 months.
At the same time, both companies must manage rising costs. Wage hikes, onsite expenses and investments in new technologies can impact margins. TCS currently maintains a strong operating margin above 25 percent, which gives it flexibility to invest without hurting profitability. Infosys has guided for an EBIT margin of 20 to 22 percent for the year, showing its focus on balancing growth with operational efficiency.
Global risks, however, remain. Slower economic growth in the US or Europe could delay spending decisions from clients. Currency fluctuations may also affect earnings. Yet both companies have long experience navigating these challenges and continue to remain resilient even during volatile periods.
The market-cap surge of ₹72,285 crore led by TCS and Infosys signals renewed confidence in India’s IT sector. Strong quarterly numbers, stable global demand for technology services, supportive macroeconomic conditions and increasing interest in AI and cloud transformation are driving this momentum. Even though global uncertainties may bring short-term volatility, the solid foundations, strategic direction and financial strength of TCS and Infosys suggest that they will continue to play a central role in India’s market performance in the months ahead.