Nifty IT Index Crash: Set for Worst Fall in a Month Since September 2008

The Nifty IT index has posted a 19% decline in February 2026, marking the lowest monthly performance since September 2008 and extending a broad sell‑off across the sector. 

Nifty IT Index Performance in February 2026 

By February 24, 2026, the index was down 19% for the month with three trading sessions remaining. Every constituent of the ten‑stock index is down more than 10% on a year‑to‑date basis. Six of the ten stocks have slipped more than 20% since the start of the year, highlighting a pronounced weakness in the sector. 

Individual Stock Declines 

Coforge leads the decline with a fall of nearly 25% in the first two months. Wipro follows with a drop of 23.5%. Persistent Systems, a mid‑cap IT player, is also down 23.5%. LTIMindtree records a loss of 22.5%. Infosys, the second largest IT services firm, is down 20%.  

Other constituents include Mphasis (down 20%), TCS (down 19%), HCLTech (down 16%), Oracle Financial (down 15%) and Tech Mahindra (down 12%). 

Read More: ‘No Need to Panic’: TCS CEO Says AI Will Add Roles and Workloads, Not Job Cuts! 

Why IT Index is Down?  

The uniform decline across the Nifty IT constituents has contributed to broader market pressure, with technology‑focused funds experiencing outflows and investors rotating into defensive sectors. The index’s performance underscores heightened sensitivity to global risk factors and domestic earnings expectations. 

Conclusion 

The February 2026 session saw the Nifty IT index register its lowest monthly decline since 2008, with all ten stocks posting double‑digit losses YTD and a majority slipping beyond 20% in the first two months of the year. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

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