Mastek shares drop 4% despite 15% profit rise in Q1FY27

Investors reject the IT services firm's top-line growth, echoing a broader sell-off in Indian tech stocks following mixed fiscal results.

By Handelsavisen Newsroom · Automated 2026-07-22 05:57 UTC · 1 min read

Mastek shares fell more than 4% in Wednesday trading on the National Stock Exchange, closing at ₹1,687.40 after dipping to a low of ₹1,669.

The decline came despite the Pune-based IT services company reporting a 15% year-on-year increase in consolidated profit after tax (PAT) to ₹105.88 crore for the quarter ended June 2026.

HCL Technologies, for instance, saw its shares drop more than 3% following its own first-quarter fiscal 2027 results, which included a 20.

The market reaction underscores a cautious sentiment among investors in the Indian technology sector, where strong headline growth is increasingly being scrutinized for underlying momentum and margin sustainability.

Mastek's stock underperformed the broader market index, reflecting a preference for quality and visibility over mere top-line expansion in the current risk-off environment.

This move mirrors a wider trend in Indian equities, where several large-cap technology names have faced selling pressure despite reporting positive earnings.

HCL Technologies, for instance, saw its shares drop more than 3% following its own first-quarter fiscal 2027 results, which included a 20.34% year-on-year profit increase.