Key facts
- TCS shares fell over 9% on Wednesday.
- This is the stock's worst single-day performance since the March 2020 COVID-19 market crash.
- Technical analysts warn of further downside if the stock breaks below Rs 2,200.
- Concerns about AI and weak growth are impacting the stock.
Tata Consultancy Services (TCS) shares experienced a significant decline of over 9% on Wednesday. This marks the stock's most substantial single-day fall since the market crash triggered by the COVID-19 pandemic in March 2020. Technical analysts have indicated that a breach of the crucial support level around Rs 2,200 could lead to further downward pressure on the stock price. The ongoing concerns surrounding the impact of artificial intelligence (AI) on the IT sector, coupled with a general slowdown in growth, are contributing factors to the negative sentiment surrounding TCS.