Investors Will Want Intellect Design Arena's (NSE:INTELLECT) Growth In ROCE To Persist
Sep 20
Indian (NIFTY) Tech Sector Analysis
UpdatedSep 21, 2023
DataAggregated Company Financials
Companies284
- 7D0.3%
- 3M12.5%
- 1Y20.2%
- YTD14.3%
Over the last 7 days, the Tech industry has remained flat. The past year has been better, since the industry has gained 20% in that time. Earnings are forecast to grow by 11% annually.
Sector Valuation and Performance
Has the Indian Tech Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Thu, 21 Sep 2023 | ₹34.6t | ₹9.3t | ₹1.2t | 39.5x | 28.5x | 3.7x |
| Sat, 19 Aug 2023 | ₹32.3t | ₹9.3t | ₹1.2t | 38.6x | 26.7x | 3.5x |
| Mon, 17 Jul 2023 | ₹32.8t | ₹9.1t | ₹1.2t | 35.8x | 27.2x | 3.6x |
| Wed, 14 Jun 2023 | ₹30.8t | ₹9.0t | ₹1.2t | 34.3x | 26x | 3.4x |
| Fri, 12 May 2023 | ₹29.9t | ₹8.9t | ₹1.2t | 29.5x | 25.1x | 3.3x |
| Sun, 09 Apr 2023 | ₹29.9t | ₹8.6t | ₹1.2t | 26.9x | 25.8x | 3.5x |
| Tue, 07 Mar 2023 | ₹32.1t | ₹8.9t | ₹1.2t | 25.4x | 27.8x | 3.6x |
| Thu, 02 Feb 2023 | ₹32.2t | ₹8.8t | ₹1.1t | 28.6x | 28x | 3.6x |
| Sat, 31 Dec 2022 | ₹31.1t | ₹8.6t | ₹1.1t | 29.1x | 27.6x | 3.6x |
| Mon, 28 Nov 2022 | ₹32.1t | ₹8.5t | ₹1.1t | 28.9x | 28.5x | 3.8x |
| Wed, 26 Oct 2022 | ₹30.4t | ₹8.4t | ₹1.1t | 28.3x | 26.9x | 3.6x |
| Fri, 23 Sep 2022 | ₹28.9t | ₹8.1t | ₹1.1t | 28.4x | 26.2x | 3.6x |
| Sun, 21 Aug 2022 | ₹32.0t | ₹8.1t | ₹1.1t | 26.7x | 29x | 4x |
| Tue, 19 Jul 2022 | ₹28.5t | ₹7.9t | ₹1.1t | 27.3x | 25.6x | 3.6x |
| Thu, 16 Jun 2022 | ₹29.9t | ₹7.7t | ₹1.1t | 28.4x | 27.2x | 3.9x |
| Sat, 14 May 2022 | ₹31.5t | ₹7.6t | ₹1.1t | 28.5x | 28.8x | 4.1x |
| Mon, 11 Apr 2022 | ₹36.6t | ₹7.3t | ₹1.1t | 34.5x | 34.6x | 5x |
| Wed, 09 Mar 2022 | ₹34.9t | ₹7.4t | ₹1.1t | 30.4x | 32.8x | 4.7x |
| Fri, 04 Feb 2022 | ₹37.0t | ₹7.3t | ₹1.1t | 33.9x | 35x | 5.1x |
| Sun, 02 Jan 2022 | ₹39.7t | ₹7.0t | ₹1.0t | 32.3x | 38.1x | 5.7x |
| Tue, 30 Nov 2021 | ₹36.2t | ₹7.0t | ₹1.0t | 26.7x | 34.7x | 5.2x |
| Thu, 28 Oct 2021 | ₹35.5t | ₹6.9t | ₹1.1t | 29.5x | 32.9x | 5.1x |
| Sat, 25 Sep 2021 | ₹37.6t | ₹6.6t | ₹1.0t | 29.9x | 36.5x | 5.7x |
| Mon, 23 Aug 2021 | ₹34.9t | ₹6.7t | ₹1.0t | 25.4x | 33.7x | 5.2x |
| Sat, 10 Jul 2021 | ₹31.3t | ₹6.7t | ₹1.0t | 23.9x | 30.1x | 4.7x |
| Fri, 02 Apr 2021 | ₹27.9t | ₹6.4t | ₹969.9b | 21.8x | 28.8x | 4.4x |
| Mon, 04 Jan 2021 | ₹25.6t | ₹6.2t | ₹919.7b | 22.4x | 27.9x | 4.1x |
| Thu, 08 Oct 2020 | ₹21.4t | ₹6.1t | ₹882.2b | 19.6x | 24.3x | 3.5x |
Price to Earnings Ratio
24.3x
Current Industry PE
- Investors are relatively neutral on the Indian Information Technology industry at the moment, indicating that they anticipate long term growth rates to remain steady.
- The industry is trading close to its 3-year average PE ratio of 29.2x.
- The 3-year average PS ratio of 4.2x is higher than the industry's current PS ratio of 3.7x.
Past Earnings Growth
- The earnings for companies in the Information Technology industry have grown 11% per year over the last three years.
- Revenues for these companies have grown 15% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Indian Tech sector?
| IN Market | 0.0094% | |
| Tech | 0.30% | |
| Electronic Equipment and Components | 0.44% | |
| IT | 0.43% | |
| Software | -0.18% | |
| Tech Hardware | -1.20% | |
| Semiconductors | -2.02% | |
| Communications | -4.41% | |
Industry PE
- Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 71.6x.
- It looks like they are confident that earnings will grow faster in the future than they have historically.
- Investors are most pessimistic about the IT industry, which is trading close to its 3-year average of 29.0x.
Forecasted Growth
- Analysts are most optimistic on the Communications industry, expecting annual earnings growth of 41% over the next 5 years.
- This is roughly in line with its past earnings growth rate.
- In contrast, the IT industry is expected to see its earnings grow by 10% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| TCS Tata Consultancy Services | ₹3.61k | 1.1% +₹139.8b | 20.2% | PE30.2x | |
| HCLTECH HCL Technologies | ₹1.29k | 1.4% +₹49.1b | 43.6% | PE22.9x | |
| TECHM Tech Mahindra | ₹1.27k | 1.1% +₹12.3b | 20.2% | PE25.6x | |
| 517174 Honeywell Automation India | ₹40.68k | 3.5% +₹12.1b | -1.3% | PE81.8x | |
| 526299 Mphasis | ₹2.48k | 1.6% +₹7.5b | 19.7% | PE28.7x |
