Analysts are forecasting that mid‑cap IT companies are set to outperform large-cap firms in the June quarter. Despite soft discretionary spending and macroeconomic uncertainties, mid-cap players like Coforge, Persistent Systems, Mphasis, LTIMindtree, and Hexaware are expected to report constant‑currency sequential revenue growth ranging from 1.5% to 9%, while large-cap firms such as TCS, HCLTech, Wipro, and Tech Mahindra may see modest declines or flat growth .

Stronger deal momentum: Mid‑caps have been securing large and niche contracts, including Coforge’s $120M Sabre deal, while larger firms are facing subdued deal flow. Nimbleness and innovation: Smaller structures allow faster adoption of generative AI and digital services, giving them agility over legacy-heavy big firms Stable leadership & focused verticals: Mid‑caps benefit from CEO continuity and deeper exposure to verticals like BFSI and ER&D, which have remained resilient Currency tailwinds: Dollar weakness against the pound, euro, and yen could boost margins by 80–220 basis points .

In contrast, Nomura and BNP Paribas expect sequential revenue declines for most large caps—TCS (~0.5%), HCL (~1.5%), Wipro (~2.5%), Tech Mahindra (~0.8%)—with only Infosys and LTIMindtree showing modest growth.

Overall, a compelling mix of deal wins, tech agility, leadership, and favorable macro dynamics positions mid‑cap IT players to lead the growth chart this quarter. Investors and industry watchers are increasingly viewing this segment as the current growth engine in India’s IT services landscape.

sources