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IT stocks witness bargain hunting

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Capital Market
Last Updated : Sep 24 2019 | 3:31 PM IST

Seven IT stocks gained 0.65% to 4.01% on BSE, recovering from a recent slide.

Infosys (up 4.01%), Tech Mahindra (up 3.28%), Hexaware Technologies (up 3.27%), HCL Technologies (up 1.64%), TCS (up 1.52%), Mphasis (up 0.93%) and Wipro (up 0.65%) edged higher.

However, Oracle Financial Services Software (down 3%), Persistent Systems (down 2.05%) and MindTree (down 0.68%) edged lower.

The S&P BSE IT index was up 2.48% at 15,440.93. It outperformed the S&P BSE Sensex, which was up 0.08% at 39,120.66.

The BSE IT index fell 5.58% in the past three trading sessions to settle at 15,067.22 yesterday, 23 September 2019, from its close of 15,957.73 points on 18 September 2019.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 70.9125, compared with its close of 70.94 during the previous trading session.

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Meanwhile, the Finance Minister Nirmala Sitharaman on Friday, 20 September 2019, slashed corporate tax rate to 22% without exemptions. The effective corporate tax rate after surcharge now stands at 25.17%. The step has significant positive implications for corporates' profitability, broader economy and market valuations.

As on 31 March 2019, Oracle Financial Services Software paid a corporate tax of 35.44%. Infosys paid a corporate tax of 26.22%. Persistent Systems paid a corporate tax of 26.66%.

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First Published: Sep 24 2019 | 2:41 PM IST

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