Infosys falls nearly 5 per cent on downgrade; m-cap down Rs 10K crore

Mumbai: Shares of IT services major Infosys lost 5 per cent on October 8, wiping-out Rs 10,341.31 crore from its market capitalisation, after Citigroup downgraded India's second largest software exporter.

The company's stock settled 4.70 per cent lower at Rs 3,650.20 on the BSE. During the day, it plunged 4.88 per cent to Rs 3,643.25. At the NSE, the scrip ended 4.73 per cent down at Rs 3,650.25. Ahead of Infosys' July-September quarter earnings announcement, global financial services major Citigroup has downgraded the stock to 'neutral' from 'buy'.

The stock was the biggest loser among the 30-Sensex blue- chips, dragging the BSE IT sector index by 3.44 per cent. Following the dip in the stock, the company's market value tumbled Rs 10,341.31 crore to Rs 2,09,607.69 crore. In terms of volume, 1.64 lakh shares of the company changed hands at the BSE, while more than 25 lakh shares were traded at the NSE during the day.

Besides, Tech Mahindra and MindTree also faced selling pressure, down 4.53 per cent and 3.88 per cent respectively on the BSE. Meanwhile, the broader market was also sluggish with the benchmark Sensex falling 25.18 points to settle at 26,246.79.