Nifty IT’s 18% rally may mark a durable leadership cycle; 35,000 next: LKP's Vatsal Bhuva
Swiggy is in focus.
· Economic Times Markets, ET Stocks
Nifty IT’s 18% October rally could signal a sustained leadership cycle, supported by improving momentum, a bullish RSI crossover and capital rotation from global AI stocks. Analyst Vatsal Bhuva sees the index targeting 35,000. He remains cautious on Swiggy, bullish on Acutaas Chemicals, and recommends buying Persistent Systems and Eternal based on positive technical setups.
The analysis
Swiggy reported movement of 18%. Those are the figures as filed — what moves the price is how they sit against what the market already expected, not their absolute size.
Against that, the stock is -4.7% on the day at ₹176.60, and has returned -40.3% over three months. It sits 58% below its 52-week high, which means a good deal of bad news was already in the price. The hotels & restaurants sector has moved -0.9% over the same period, so Swiggy is running 39.4 points behind its peers.
For Swiggy, the question is how much of this is already reflected in the price and how much re-rates the hotels & restaurants peer set alongside it.
Market context
- The 3 companies named span 3 sectors, so these are separate company stories rather than one sector-wide move.
- On the day, 2 of 3 are higher: Persistent Systems leads at +2.9% and Swiggy trails at -4.7%.
- Over three months: Swiggy -40.3% against Hotels & Restaurants -0.9% (39.4 points behind); Acutaas Chemicals +23.8% against Pharma & Healthcare -0.9% (24.7 points ahead); Persistent Systems +9.7% against IT -3.1% (12.8 points ahead).
- At least 25% below the 52-week high: Swiggy (58%).
| Company | Price | Day | 1M | 3M | From 52-wk high | Volume vs 20-day | Market cap |
|---|---|---|---|---|---|---|---|
| SwiggySWIGGY · Hotels & Restaurants | ₹176.60 | -4.7% | -29.4% | -40.3% | -57.7% | 1.5× | — |
| Acutaas ChemicalsACUTAAS · Pharma & Healthcare | ₹4,003.60 | +0.7% | +22.1% | +23.8% | 0.0% | 1.4× | — |
| Persistent SystemsPERSISTENT · IT | ₹6,048.00 | +2.9% | +14.6% | +9.7% | -7.9% | 1.4× | — |
Hotels & Restaurants
1M -3.1% · 3M -0.9%
Swiggy
Pharma & Healthcare
1M -0.6% · 3M -0.9%
Acutaas Chemicals
IT
1M +5.2% · 3M -3.1%
Persistent Systems
Chemicals
1M -10.6% · 3M -14.2%
Prices as of 30 Oct 2026, 16:11 IST. Sector moves are the average of the stocks we track in each sector.
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