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Indian (NIFTY) Tech Sector Analysis

UpdatedMar 16, 2026
DataAggregated Company Financials
Companies356
  • 7D-3.5%
  • 3M-23.1%
  • 1Y-20.1%
  • YTD-22.5%

Over the last 7 days, the Tech industry has dropped 3.5%, driven by a pullback from Tata Consultancy Services of 4.8%. Meanwhile, Waaree Energies actually outperformed within the industry, gaining 8.6% in the last week. The industry has fallen 20% in the last year. As for the next few years, earnings are expected to grow by 12% per annum.

Sector Valuation and Performance

Has the Indian Tech Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 18 Mar 2026₹31.0t₹12.0t₹1.5t22.1x20.8x2.6x
Fri, 13 Feb 2026₹35.2t₹11.9t₹1.5t26.3x23.8x3x
Sun, 11 Jan 2026₹39.5t₹11.6t₹1.5t28.8x26.4x3.4x
Tue, 09 Dec 2025₹40.3t₹11.6t₹1.5t30.2x26.9x3.5x
Thu, 06 Nov 2025₹38.4t₹11.4t₹1.5t34.2x26.1x3.4x
Sat, 04 Oct 2025₹37.4t₹11.3t₹1.5t33.6x25.6x3.3x
Mon, 01 Sep 2025₹37.9t₹11.2t₹1.5t32.1x26x3.4x
Wed, 30 Jul 2025₹37.8t₹11.0t₹1.4t34.4x26.3x3.4x
Fri, 27 Jun 2025₹41.2t₹10.9t₹1.4t33.7x29.2x3.8x
Sun, 25 May 2025₹40.1t₹10.8t₹1.4t32.4x28.6x3.7x
Tue, 22 Apr 2025₹37.0t₹10.7t₹1.4t30.8x26.9x3.5x
Thu, 20 Mar 2025₹38.4t₹10.7t₹1.4t29.6x27.6x3.6x
Sat, 15 Feb 2025₹42.9t₹10.6t₹1.4t34x31x4.1x
Mon, 13 Jan 2025₹47.5t₹10.3t₹1.3t41x35.3x4.6x
Wed, 11 Dec 2024₹48.8t₹10.2t₹1.3t42.5x36.9x4.8x
Fri, 08 Nov 2024₹45.5t₹10.2t₹1.3t42.4x34.5x4.5x
Sun, 06 Oct 2024₹44.8t₹9.8t₹1.3t40.8x35.3x4.5x
Tue, 03 Sep 2024₹46.0t₹9.9t₹1.3t42.4x36.3x4.7x
Thu, 01 Aug 2024₹44.0t₹9.8t₹1.3t45.5x34.8x4.5x
Sat, 29 Jun 2024₹39.5t₹9.7t₹1.2t42.3x32x4.1x
Mon, 27 May 2024₹37.1t₹9.7t₹1.2t42.1x30x3.8x
Wed, 24 Apr 2024₹37.1t₹9.6t₹1.2t46.5x30.1x3.9x
Fri, 22 Mar 2024₹38.4t₹9.6t₹1.2t42.9x31.9x4x
Sun, 18 Feb 2024₹40.7t₹9.6t₹1.2t45.2x33.8x4.2x
Tue, 16 Jan 2024₹39.7t₹9.5t₹1.2t46.4x32.5x4.2x
Thu, 14 Dec 2023₹36.0t₹9.5t₹1.2t42.6x29.3x3.8x
Sat, 11 Nov 2023₹32.9t₹9.5t₹1.2t42.4x27x3.5x
Mon, 09 Oct 2023₹34.4t₹9.3t₹1.2t40.5x28.3x3.7x
Wed, 06 Sep 2023₹33.8t₹9.3t₹1.2t40.9x27.9x3.6x
Fri, 04 Aug 2023₹31.9t₹9.3t₹1.2t39.3x26.4x3.4x
Sun, 02 Jul 2023₹31.4t₹9.0t₹1.2t34.2x26.5x3.5x
Tue, 30 May 2023₹30.9t₹9.1t₹1.2t29.4x25.9x3.4x
Thu, 27 Apr 2023₹28.9t₹8.7t₹1.2t29.2x24.6x3.3x
Sat, 25 Mar 2023₹29.1t₹8.6t₹1.2t25.9x25.1x3.4x
Price to Earnings Ratio

25.1x


Total Market Cap: ₹29.1tTotal Earnings: ₹1.2tTotal Revenue: ₹8.6tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Tech Sector Price to Earnings3Y Average 29.2x202420252026
Current Industry PE
  • Investors are pessimistic on the Indian Information Technology industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 20.8x which is lower than its 3-year average PE of 29.2x.
  • The 3-year average PS ratio of 3.8x is higher than the industry's current PS ratio of 2.6x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 8.8% per year over the last three years.
  • Revenues for these companies have grown 12% 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-4.42%
Tech-3.48%
Semiconductors3.49%
Tech Hardware-0.63%
Software-2.97%
IT-3.85%
Communications-4.71%
Electronic Equipment and Components-5.29%
Industry PE
  • Investors are most optimistic about the Tech Hardware industry even though it's trading below its 3-year average PE ratio of 112x.
    • Analysts are expecting annual earnings growth of 39.3%, which is lower than the prior year's growth of 43.9% per year.
Forecasted Growth
  • Analysts are most optimistic on the Communications industry, expecting annual earnings growth of 62% over the next 5 years.
  • This is better than its past earnings growth rate of 36% per year.
  • 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?

CompanyLast Price7D1YValuation
WAAREEENER Waaree Energies₹2.88k8.6%
+₹65.4b		32.3%PE25.4x
PREMIERENE Premier Energies₹811.208.5%
+₹28.7b		-9.3%PE27.6x
523610 ITI₹275.107.1%
+₹17.4b		9.4%PS10.2x
EMMVEE Emmvee Photovoltaic Power₹216.885.4%
+₹7.7b		n/aPE16.8x
TECHM Tech Mahindra₹1.34k0.4%
+₹4.6b		-6.2%PE25.7x

Latest News

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1Y
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507685
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Wipro
7D
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1Y
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AI Adoption And Vendor Consolidation Will Drive Stronger Long Term Earnings Quality

Catalysts About Wipro Wipro is a global IT services and consulting company that provides technology, engineering and business process solutions to clients across multiple industries and regions. What are the underlying business or industry changes driving this perspective?
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Oracle Financial Services Software
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1Y
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INFY
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Infosys
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1Y
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TCS
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Tata Consultancy Services
7D
-4.8%
1Y
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TCS: AI Partnerships And New Outsourcing Wins Will Support Future Upside

Analysts now see slightly less upside for Tata Consultancy Services, trimming their price target from ₹3,583.72 to ₹3,497.86. They are factoring in a marginally higher discount rate and a modestly lower future P/E, while keeping revenue growth and profit margin expectations broadly steady.
PERSISTENT
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Persistent Systems
7D
-6.2%
1Y
-14.7%

PERSISTENT: Dividend Payout And AI Expansion Will Support Upbeat Outlook

Analysts have trimmed their price target on Persistent Systems from about ₹6,818 to roughly ₹6,603, mainly reflecting a slightly higher discount rate applied to broadly unchanged expectations for revenue growth, profit margins, and future P/E multiples. What's in the News Persistent Systems launched a Melbourne Innovation Center as a hub for AI driven enterprise reinvention across Australia and New Zealand, with plans to grow local engineering and AI capabilities through hiring, partnerships, hackathons and skilling programs under Persistent University (Key Developments).
LTM
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LTIMindtree
7D
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1Y
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Analysts have trimmed their price target on LTIMindtree from ₹6,376.75 to ₹6,219.67. This reflects small shifts in assumptions around the discount rate, long term revenue growth, profit margin and future P/E multiples.
TECHM
₹1,341.80
Tech Mahindra
7D
0.4%
1Y
-6.2%

TECHM: AI Partnerships And Margin Discipline Will Support Future Upside

Analysts have inched up their fair value estimate for Tech Mahindra to ₹2,196 from ₹2,182, reflecting slightly higher assumptions for revenue growth, profit margins and the future P/E multiple in their updated price target work. Analyst Commentary Bullish analysts are reading the recent tweak to Tech Mahindra's fair value estimate as a sign that assumptions around growth, profitability and the P/E multiple still support a constructive view on the stock.
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Mphasis
7D
-6.1%
1Y
-9.7%

AI Agent Adoption In BFSI Will Transform This IT Services Leader

Catalysts About Mphasis Mphasis is an IT services company focused on application development, modernization, cloud and AI led transformation for global enterprises, with a strong presence in BFSI and insurance. What are the underlying business or industry changes driving this perspective?
539724
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HyperSoft Technologies
7D
27.6%
1Y
506.6%
HCLTECH
₹1,321.10
HCL Technologies
7D
-3.0%
1Y
-15.2%

HCLTECH: AI Partnerships And New Client Wins Will Support Upside Potential

Analysts have trimmed their price target for HCL Technologies by about ₹27 to roughly ₹1,740. This reflects small tweaks to fair value estimates, discount rate assumptions and expected future P/E levels, while keeping revenue growth and profit margin expectations broadly in line with earlier views.
WAAREEENER
₹2,883.10
Waaree Energies
7D
8.6%
1Y
32.3%
523610
₹275.10
ITI
7D
7.1%
1Y
9.4%
PREMIERENE
₹811.20
Premier Energies
7D
8.5%
1Y
-9.3%

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531201
₹3,965.65
Shilchar Technologies
7D
3.2%
1Y
15.9%
EMMVEE
₹216.88
Emmvee Photovoltaic Power
7D
5.4%
1Y
n/a