Indian IT Sector: Market Brief The Indian IT sector experienced a notable uptick following a **FY26 revenue guidance upgrade** by a leading large-cap firm. This shift has recalibrated near-term expectations across the index, drawing fresh liquidity into technology equities. Market experts maintain a cautious stance despite the positive momentum. The sector is increasingly categorized as a **mature industry**, suggesting that the era of aggressive, high-growth expansion may be narrowing. Investors are currently utilizing IT stocks as a **quasi-cash substitute**. This rotation serves as a defensive hedge against expensive valuations in other domestic sectors, such as FMCG. Current valuations remain a primary concern for analysts. Many believe multiples are **stretched**, leaving limited room for further upside without a significant acceleration in global enterprise spending.