Summary:
Indian markets traded lower on June 19 as weakness in IT stocks weighed on benchmark indices after Accenture cut its FY26 growth guidance. Berger Paints, NIACL, and IFCI emerged as top gainers on earnings and NSE IPO-related optimism. Meanwhile, Infosys and TCS led the decline amid concerns over global technology spending and demand recovery.
The Indian stock markets started their trading day in red territory, on Friday, June 19, after posting five days of gains, with selling pressure seen in the IT stocks. The Nifty 50 dropped by 0.82% to close at 23,970.60, while the Sensex lost 0.94% to end at 76,688.63 in early sessions. This was after reports that IT major, Accenture, posted a lower than expected earnings guidance.
On the flip side, Berger Paints India, NIACL, and IFCI stood out as the best performers among the Nifty 500 stocks, while Infosys and Tata Consultancy Services(TCS) were among the worst performing stocks.
Berger Paints Rallies Nearly 7% on Strong Earnings Performance
Berger Paints India’s stock went up almost 7%, thus becoming one of the highest performers within the Nifty 500 index. The move was justified by good trading volume – about 13.69 lakh shares were traded at the NSE, which is higher compared to the 30-day average volume of 8.46 lakh shares.
Investor sentiment was positive after Berger Paints’ impressive Q4FY26 results. Volume growth stood at 11.8% for the company, whereas value growth amounted to 6.7%. Moreover, gross margins hit the 12-quarter record and reached 42.3%. Net profit surged 38% year-on-year and amounted to ₹327 crore.
Berger Paints’ stock climbed almost 35% since April due to investors’ expectations about the gradual increase in demand and possible price increases in FY27. There is no news from the company that may have affected the market in any way – only fundamentals played a role.
NIACL Gains 7% on NSE IPO-Related Optimism
The shares of The New India Assurance Company gained by about 7%, with volumes shooting up over sixteen times their monthly averages. Shares have risen by close to 30% for the week following NSE filing its draft red herring prospectus for an IPO.
As per the document, the company intends to offer up to 1.05 crore shares of NSE on offer for sale. Investors are of the view that the deal will provide huge capital gains as the insurer had bought the stake at a much cheaper price.
Analysts opine that the sale of the stake will bolster NIACL’s balance sheet.
IFCI Advances on Indirect NSE Exposure
The stocks of IFCI rallied close to 7% on high volumes. The government-owned financial firm has been rallying nearly 20% in the last six trading days.
The rally has been spurred by expectations of NSE’s impending IPO. This is because IFCI is a majority owner of Stock Holding Corporation of India that has an interest in the NSE.
Infosys and TCS Lead IT Sector Decline
Infosys tumbled 7.76% and emerged as one of the largest laggards in the Nifty 500. The fall was triggered by Accenture’s reduction of its revenue growth forecast for FY26 due to lower than expected bookings, creating apprehensions regarding global tech spending.
This guidance may result in an earnings downgrade among the IT companies of India and will put off hopes of a revival of demand.
TCS too was hit, declining 5.72%. Worries related to the discretionary spending by global customers and doubts regarding the effects of artificial intelligence on the traditional IT services business kept investors jittery.
The large disparity in winners and losers indicated the preference of the market for stocks having company-specific catalysts, whereas worries over the global tech demand were continuing to drag IT stocks.
