Accenture signals caution, but analysts see long-term IT opportunity

Accenture has cut its full-year revenue growth guidance from 3-5% to 3-4%, signalling weak discretionary tech spending, slower AI adoption, and client caution amid Middle East geopolitical tensions. According to Centrum analyst Piyush Pandey, Indian IT companies face a similar challenging environment for the next three to four months, though their managed-services-heavy business mix offers some protection against consulting-led weakness seen at Accenture. While near-term earnings recovery is expected to be gradual with TCS and Infosys trading at around 12-13 times FY28 earnings (described as rock-bottom valuations), the long-term structural opportunity in AI services implementation remains intact.