The Infosys share price has taken a sharp hit in the stock market today, marking one of the most painful months for the IT giant in over a decade.
February turned brutal for investors.
India’s second-largest software exporter, Infosys, is heading toward its worst monthly performance since 2013. And this isn’t just a routine correction. The numbers clearly show the pressure.
Let’s break down what’s really happening.
Market Performance: Infosys Share Price Under Heavy Selling Pressure
There’s no sugarcoating it.
- 20.34% fall in February
- Share price slipped to ₹1,308
- Worst monthly drop since April 2013 (-22.75%)
- Down 26.3% from 52-week high of ₹1,775
The Infosys share price erosion has placed it among the weakest large-cap performers this month in the stock market today.
This fall did not happen overnight. Selling pressure remained consistent throughout February. Each rebound attempt was met with fresh exits.
For long-term investors, the 26.3% drop from the 52-week peak tells the bigger story. The correction has shaved off significant wealth in a matter of weeks.
Massive Market Cap Erosion: ₹1.33 Lakh Crore Wiped Out
When price falls this sharply, valuation impact is unavoidable.
- Market capitalisation erosion: ₹1,33,824 crore
- Earlier peak valuation: ₹8.37 lakh crore
This is not small money. Over ₹1.33 lakh crore has vanished from the company’s total market value.
In the stock market today, such erosion reflects not just company-specific worries but broad sector weakness.
Domestic Mutual Funds Face Heavy Notional Losses
Domestic institutions were heavily invested.
At the end of the December quarter:
- 45 mutual funds
- Combined holding: 22.12% stake
- Up by 2.07 percentage points year-on-year
Now here’s where the pain shows.
With the Infosys share price falling 26.3% from ₹1,775:
- Value earlier: ₹1,59,223 crore
- Current value: ₹1,17,331 crore
- Notional loss: ₹41,892 crore
That’s a sharp erosion in portfolio value.
Some of the key fund houses with exposure include:
- SBI Mutual Fund – 4.66%
- ICICI Prudential Mutual Fund – 4.11%
- HDFC Mutual Fund – 1.86%
- UTI Mutual Fund – 1.81%
Apart from domestic funds:
- FIIs hold 30.3%
- General shareholders hold 13.7%
The broad institutional exposure has amplified the impact of this correction in the stock market today.
AI Disruption Fears Trigger 19% Crash in Nifty IT
This isn’t only about one company.
The entire IT pack has come under pressure.
- Nifty IT dropped 19.13% in February
- At the lowest point, it crashed 21.45%
- Touched lowest level since November 2023
The trigger?
The rapid emergence of advanced AI tools.
Particularly from global startups like Anthropic.
New product unveilings, including Claude Cowork Agent, intensified concerns across Dalal Street. Investors started questioning how artificial intelligence may reshape India’s $300-billion IT services industry.
This sector is labour-intensive. And application services form a significant chunk — roughly 40% to 70% of total revenue for such companies.
The fear is simple.
If AI tools improve productivity and reduce traditional service demand, revenue streams could see structural pressure.
In the stock market today, perception shifts move faster than fundamentals. And this month, the narrative changed quickly.
FPI Selling Intensifies in 2026
Foreign investors have reacted strongly.
In the first half of February:
- FPIs sold ₹11,000 crore worth of IT stocks
- Investments stood at ₹4,48,938 crore as of 15 February 2026
- Down from ₹5,33,953 crore at end of January
That’s the lowest combined investment level in four years.
While FPIs were selectively positive on the broader market in February, the IT space clearly saw consistent outflows.
And since Infosys share price carries heavy weight in the IT index, selling pressure naturally reflected on the stock market today.
Broader IT Sector Impact
February began on a positive note.
IT stocks had already seen a four-month winning streak before this downturn. Sentiment was stable. Momentum was intact.
But once global AI developments accelerated, panic selling followed.
The correction wasn’t gradual. It picked speed.
The result?
- Heavy erosion in large-cap IT stocks
- Billions wiped from sectoral market value
- Nifty IT at multi-month lows
The Infosys share price became the headline, but the impact was sector-wide.
Why This Matters in Stock Market Today?
When a bellwether like Infosys corrects over 20% in a single month, it sends a strong signal.
This is a company deeply held by:
- Mutual funds
- FIIs
- Retail investors
Its movements influence:
- Benchmark indices
- IT sector sentiment
- Institutional portfolios
The stock market today is reacting not just to numbers, but to future uncertainty driven by AI-led transformation.
Company Snapshot: Infosys at a Glance
Infosys remains:
- India’s second-largest IT services exporter
- A key player in global outsourcing
- Part of the roughly $300-billion Indian IT services industry
Despite current pressure, it continues to be one of the most tracked stocks in the stock market today.
Summary: A Tough February for Infosys Share Price
Here’s the situation in numbers:
- 20.34% fall in February
- Worst monthly drop since 2013
- 26.3% correction from ₹1,775 high
- ₹1,33,824 crore market cap erosion
- ₹41,892 crore notional loss for mutual funds
- Nifty IT down 19.13%
- ₹11,000 crore FPI selling in IT stocks
February 2026 will be remembered as one of the most volatile months for the IT sector.
The Infosys share price story reflects broader concerns around artificial intelligence, investor positioning, and rapid shifts in market sentiment.
In the stock market today, narrative changes are happening faster than ever. And for now, the IT space is clearly at the center of that storm.
Source: Livemint
Easy & quick
Leave A Comment?