New Delhi, April 25 -- The January-March quarter earnings of major Indian IT players have underscored the persisting concerns- uncertain demand environment in key markets amid increased geopolitical risks, firming pricing pressures, and the artificial intelligence (AI) driving a structural change in the sector.

While the sector has so far delivered a mixed performance in Q4FY26, the hazy outlook heading into FY27 and cautious management tone, because of extended deal cycles, phased investment and delayed decision-making, are making investors worries, prompting them to sell IT stocks on rise. The sector continues to suffer from weak discretionary spending with no remarkable hints of reversal.

For the week ended Friday, 24 April, the Nift...