JPMorgan turns cautious on IT, sees growth headwinds ahead (opens original article in a new tab)

JPMorgan warns of growth challenges for IT companies over the next two years due to uncertain demand, AI-led deflation, and geopolitical factors, downgrading several firms and adjusting revenue forecasts.

• JPMorgan predicts growth headwinds for IT sector due to uncertain demand, AI-led deflation, and geopolitical issues
• JPMorgan downgrades HCL Technologies, Tata Technologies, and Wipro to underweight, keeping TCS, Infosys, TechM, Coforge, Persistent, and Sagility as top picks
• Revenue growth expectations for FY27 are cut due to delayed deal closures and revenue conversion