Mumbai: Shares of IT companies on Thursday fell by as much as 3 percent on growth outlook worries, triggered by a Cognizant filing in a US exchange.
Infosys shares ended 1.84 percent lower at Rs 2,338.50 on BSE, becoming the top loser among the 30-Sensex blue-chip scrips.
TCS was down 1.14 percent, while Wipro lost 0.33 percent.
Among others, Hexaware Tech plunged 3.01 percent, while HCL Tech fell by 2.03 percent and Tech Mahindra (0.61 percent).
Led by losses in these stocks, the BSE IT index settled at 5,700.25, down 1.37 percent and was the biggest dampener among 13 sectoral indices.
"A weaker dollar coupled with the interpretation of Cognizant's US SEC filing, triggered fears of slow revenue growth in 2013 for IT. Selling pressure was evident in several IT scrips following the news," Milan Bavishi Head Research Inventure Growth & Securities said.
Nasdaq-listed IT firm Cognizant, which follows January-December fiscal, has guided its revenue in 2012 to be at least USD 7.34 billion (up at least 20 percent compared to 2011). This was a downward revision from earlier in the year, when the company had hoped to grow at 23 percent.
Cognizant's revenue in 2011 stood at USD 6.12 billion.     

Cognizant has been growing faster than some of its Indian counterparts over the last few quarters and a lower growth target may come as a dampener for Indian IT sector, which is already seeing flat IT budgets and increased cost of operations.


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