AI jitters trigger another sell-off in IT stocks
Bengaluru, June 18 -- Accenture Plc plunged 18% to a nine-year low on Thursday, sparking a wider sell-off in homegrown information technology (IT) companies listed in the US, as the world's biggest IT outsourcer reported its lowest quarterly new order bookings since the first quarter of 2024-25 and provided a softer guidance than in the previous quarter.
Shares of Nasdaq-listed Cognizant Technology Solutions Corp. fell 9%, while the American depositary receipts (ADRs) of Infosys Ltd and Wipro Ltd on the New York Stock Exchange were down 8% and 6%, respectively.
"A sharp fall in Accenture's price indicates that AI will eat away the IT services revenue at a much faster pace than previously anticipated," said Amit Chandra, vice-president a...
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