HCL Technologies (HCLTech) ended FY26 on a subdued note, reporting a 6% growth in dollar revenue, the highest among its competitors, including Tata Consulting Services (TCS) and Wipro. However, the company faced sequentially lower revenue due to project ramp-up delays and reduced discretionary spending by clients, leading to shrinking profitability and a three-quarter low total contract value (TCV) of new deals for the March quarter. For FY27, HCLTech provided a growth forecast of 1.5-4.5% for services revenue, which falls short of the 3-6% range anticipated by analysts. This decline reflects the growing reliance on artificial intelligence (AI) capabilities, which HCLTech estimates could lead to a 2-3% annual revenue reduction from traditional IT services. In response, the company is focusing on advanced AI solutions, generating $620 million in revenue for FY26, growing at 7% year-on-year. Despite these challenges, HCLTech's stock trades at a trailing price-earnings multiple of about 23, higher than TCS's 18, but may experience weakness in the near term due to the lower growth guidance.