Adani Power has officially surpassed Infosys in market capitalisation, becoming the 11th most valuable company on Indian bourses. According to The Economic Times, the Adani Group company's market capitalisation stood at ₹4.79 lakh crore on Wednesday, pipping the IT bigwig's ₹4.70 lakh crore. However, the most significant milestone came on May 27 when Adani Power touched an intraday high of ₹252.65, pushing its market cap to approximately ₹4.82 lakh crore, surpassing Infosys's ₹4.75 lakh crore. This shift reflects a dramatic divergence in investor sentiment between traditional energy and IT sectors.
The market capitalisation shift is primarily driven by Adani Power's extraordinary stock performance over the past year. As reported by The Economic Times, Adani Power shares have rallied nearly 125% over the last year, climbing from around ₹139 in March 2026 to hit a fresh 52-week high of ₹252.65 on May 27. In contrast, Infosys shares have declined around 26% this year amid rising concerns over AI-led disruption and muted growth outlook. On Wednesday, Adani Power shares ended at ₹248.75, up 1.7% from the previous day, while Infosys closed at ₹1,159.15, down 0.7%. The latest data from Moneycontrol confirms that India's IT stocks have slid 25.4% so far this year, highlighting the stark contrast with Adani Power's performance.
The IT sector has faced significant headwinds from artificial intelligence developments, with Infosys particularly affected by AI-led disruption concerns. According to The Economic Times, Infosys hit a 52-week low of ₹1,089 on May 14 after the company issued subdued FY27 guidance. Infosys projected revenue growth of 1.5% to 3.5% for the financial year, signaling a cautious demand environment. Earlier this month, IT stocks came under heavy selling pressure after renewed fears that rapid advances in artificial intelligence could hurt the business models of large IT outsourcing firms. The Nifty IT index fell 3.6% to its lowest level since May 2023, with analysts noting that rising global spending on AI may be "crowding out" demand for conventional IT services. HSBC analysts warned that India's top-tier IT firms largely failed to meet street expectations for earnings in March quarter and outlooks for the new financial year, adding that strong spending globally on AI could be "crowding out" demand for traditional IT services.
Despite the market capitalisation shift, Infosys maintains superior financial metrics. As reported by The Economic Times, Infosys posted revenue of about ₹1.78 lakh crore and profit after tax of ₹29,440 crore in FY26, nearly double of Adani Power's ₹54,240 crore in revenue and ₹12,834 crore in profit for the year ended March 31. Infosys remains a constituent of the benchmarks Nifty 50 and Sensex, while Adani Power is part of Nifty Next 50 and BSE 100 index. The latest challenges come after OpenAI announced a new AI venture backed by more than $4 billion, embedding engineers into organisations to identify where AI can make the most impact, representing the latest threat to Indian IT firms' business models.
