Reliance Industries stock is currently on a rise. The stock price is hovering around Rs. 2,750 and has gone up by more than 12% in the last month. While on the other hand, the Indian Information Technology (IT) sector is currently witnessing a correction on account of several factors. What are the reasons behind the surge in Reliance Industries stock price and downfall in the India IT Sector stock price, let’s discuss this all in this article as we move ahead.
Why Reliance Industries Stock Price is Going Up?
Indian IT Sector:
What Should Investors Do?
For IT Sector, The high valuations of the Indian IT sector were backed by the expectations of the growth which was and is visible in this sector. Major IT Stocks like TCS, Infosys, etc. cannot justify such high valuations where these stocks are currently trading at much higher levels as compared to their median PE levels. Also, currently, the high attrition rate is another big problem for the Indian IT Companies which is affecting their margins.
Further, an investor should have a close look at the performance of the O2C business of Reliance Industries as and when the Q4FY22 results are declared.
Disclaimer: The information here is provided for reference purposes only and should not be misconstrued as investment advice. Under no circumstances does this information represent are commendation to buy or sell stocks or MF.
Originally Published On:https://blog.investyadnya.in/why-indian-it-sector-is-under-pressure-what-factor-is-leading-to-the-rise-in-stock-price-of-reliance-industries%ef%bf%bc/