Coforge, Tech Mahindra, Wipro, Persistent Systems, Infosys Share Price Slip on US H-1B Visa Changes

The Indian IT sector witnessed marginal declines on December 24, 2025, as shares of leading companies like Coforge, Tech Mahindra, and Wipro recorded losses amid fresh developments in the US H-1B visa framework. Persistent Systems and Infosys also saw slight declines, reflecting broader market sensitivity to global policy shifts.

Market Performance

• At 10:15 am IST, Nifty IT traded 0.3% lower at 39,050, showing a mild correction after four consecutive sessions of gains.
• Coforge, Tech Mahindra, and Wipro led the declines, falling between 0.7% and 1%.
• Persistent Systems and Infosys slipped 0.5% each, contributing to the subdued momentum in the IT index.

This marked the second consecutive day of fall for IT stocks, highlighting the immediate market response to regulatory changes overseas.

Main News: US H-1B Lottery Replacement

The US Department of Homeland Security has said it will do away with the existing H-1B lottery system and introduce a new selection process that gives preference to foreign professionals with higher skill levels and stronger pay packages.

• Weighted selection process: Visas will no longer be randomly assigned. Higher-skilled, higher-paid professionals will receive priority.
• Effective date: The system will come into effect on February 27, 2026, ahead of the upcoming H-1B cap registration season.
• Additional eligibility condition: Employers may be required to pay an extra $100,000 per visa under certain circumstances.

For years, H-1B visas were distributed purely through a lottery system. During this period, Amazon emerged as the largest recipient with over 10,000 approvals in the year, followed by Tata Consultancy Services, Microsoft, Apple, and Google, while California continued to host the highest number of H-1B workers.

Company Impact

While all IT companies relying on H-1B visas will feel some pressure, the immediate market impact has been modest. Shares of Coforge, Tech Mahindra, Wipro, Persistent Systems, and Infosys reflected cautious trading rather than steep sell-offs.

The Indian IT sector has already been reducing its dependence on H-1B visas over the past decade. Companies are increasingly relying on offshoring, automation, and expanding Global Capability Centres (GCCs) in India to meet client requirements without over-reliance on US-based work permits.

Summary

The recent policy shift in the US has introduced uncertainty in the H-1B visa process, prompting short-term market corrections for IT stocks. Key takeaways for investors following stock market today trends:

• IT stocks fell 0.5%-1% on December 24 amid H-1B changes.
• Coforge, Tech Mahindra, Wipro led declines, while Persistent Systems and Infosys slipped slightly.
• The new visa system favors higher-paid, highly skilled foreign workers and will start from February 27, 2026.
• Indian IT companies are strategically mitigating reliance on H-1B visas through offshoring and automation.

The market’s reaction reflects short-term caution, but the structural adjustments within Indian IT firms indicate that the sector remains resilient in the face of regulatory shifts abroad.

Source: Moneycontrol