Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

Indian (NIFTY) Tech Sector Analysis

UpdatedApr 07, 2026
DataAggregated Company Financials
Companies358
  • 7D5.3%
  • 3M-19.0%
  • 1Y-9.8%
  • YTD-19.3%

The Tech industry is up 5.3% in the last week, with Tata Consultancy Services up 7.7%. In the same time, PG Electroplast was down 6.4%. In contrast, the industry has lost 9.8% in the last 12 months. Earnings are forecast to grow by 13% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 07 Apr 2026₹32.4t₹12.0t₹1.5t22.7x21.7x2.7x
Thu, 05 Mar 2026₹32.3t₹12.0t₹1.5t22.7x21.6x2.7x
Sat, 31 Jan 2026₹39.0t₹11.8t₹1.5t26.5x26.3x3.3x
Mon, 29 Dec 2025₹40.5t₹11.6t₹1.5t29.9x27x3.5x
Wed, 26 Nov 2025₹39.5t₹11.5t₹1.5t32.1x26.4x3.4x
Fri, 24 Oct 2025₹39.1t₹11.3t₹1.5t33.6x26.7x3.5x
Sun, 21 Sep 2025₹39.6t₹11.2t₹1.5t34.1x27.3x3.5x
Tue, 19 Aug 2025₹37.2t₹11.1t₹1.4t32x25.7x3.3x
Thu, 17 Jul 2025₹40.0t₹10.9t₹1.4t34.7x28.4x3.7x
Sat, 14 Jun 2025₹40.8t₹10.9t₹1.4t34.6x29x3.8x
Mon, 12 May 2025₹38.1t₹10.8t₹1.4t29.8x27.4x3.5x
Wed, 09 Apr 2025₹35.7t₹10.7t₹1.4t28.1x25.7x3.3x
Fri, 07 Mar 2025₹40.0t₹10.7t₹1.4t31.1x28.8x3.7x
Sun, 02 Feb 2025₹44.6t₹10.5t₹1.4t37.3x32.5x4.3x
Tue, 31 Dec 2024₹47.2t₹10.3t₹1.3t40.8x35.5x4.6x
Thu, 28 Nov 2024₹47.0t₹10.2t₹1.3t41.3x35.6x4.6x
Sat, 26 Oct 2024₹44.3t₹10.1t₹1.3t39.9x33.6x4.4x
Mon, 23 Sep 2024₹45.3t₹9.9t₹1.3t42.2x35.8x4.6x
Wed, 21 Aug 2024₹44.7t₹9.8t₹1.3t42.3x35.3x4.5x
Fri, 19 Jul 2024₹43.3t₹9.8t₹1.3t43.5x34.5x4.4x
Sun, 16 Jun 2024₹38.2t₹9.7t₹1.2t41.4x30.9x3.9x
Tue, 14 May 2024₹36.6t₹9.7t₹1.2t43.3x29.7x3.8x
Thu, 11 Apr 2024₹38.3t₹9.6t₹1.2t46.7x31.7x4x
Sat, 09 Mar 2024₹39.8t₹9.6t₹1.2t43.5x33x4.2x
Mon, 05 Feb 2024₹40.0t₹9.6t₹1.2t47x32.7x4.2x
Wed, 03 Jan 2024₹37.9t₹9.5t₹1.2t46.3x30.8x4x
Fri, 01 Dec 2023₹35.3t₹9.5t₹1.2t40.9x28.7x3.7x
Sun, 29 Oct 2023₹32.8t₹9.4t₹1.2t42.9x26.9x3.5x
Tue, 26 Sep 2023₹34.3t₹9.3t₹1.2t40.4x28.3x3.7x
Thu, 24 Aug 2023₹32.7t₹9.3t₹1.2t39.3x27x3.5x
Sat, 22 Jul 2023₹31.7t₹9.1t₹1.2t37x26.3x3.5x
Mon, 19 Jun 2023₹30.5t₹9.0t₹1.2t33.7x25.7x3.4x
Wed, 17 May 2023₹30.0t₹8.9t₹1.2t30x25.2x3.3x
Fri, 14 Apr 2023₹29.6t₹8.7t₹1.2t27.6x25.3x3.4x
Price to Earnings Ratio

25.3x


Total Market Cap: ₹29.6tTotal Earnings: ₹1.2tTotal Revenue: ₹8.7tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Tech Sector Price to Earnings3Y Average 29.1x202420252026
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 21.7x which is lower than its 3-year average PE of 29.1x.
  • The 3-year average PS ratio of 3.8x is higher than the industry's current PS ratio of 2.7x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 8.5% per year over the last three years.
  • Revenues for these companies have grown 11% 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 Market3.69%
Tech5.33%
Communications8.78%
Software7.32%
IT5.33%
Tech Hardware5.27%
Electronic Equipment and Components4.92%
Semiconductors2.47%
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 63% 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 11% 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
TCS Tata Consultancy Services₹2.54k7.7%
+₹654.5b		-22.9%PE19.3x
INFY Infosys₹1.34k7.1%
+₹359.3b		-6.3%PE18.2x
HCLTECH HCL Technologies₹1.44k7.5%
+₹270.6b		2.7%PE22.2x
507685 Wipro₹204.709.1%
+₹179.7b		-17.2%PE16.2x
LTM LTM₹4.44k10.7%
+₹127.1b		6.4%PE27.7x

Latest News

LTM
₹4,442.50
LTM
7D
10.7%
1Y
6.4%

LTM: AI Tax Modernization Wins And Airline Oil Resilience Will Support Upside

Analysts have trimmed the LTM price target from ₹5,951.97 to ₹5,435.49 as they balance slightly higher revenue growth and profit margin assumptions with a lower future P/E multiple and updated sector views following recent rating and target changes from major firms. Analyst Commentary Recent Street research on Latam Airlines points to a split view, with some analysts turning more positive on the stock while others take a more cautious line on valuation and targets.
PERSISTENT
₹5,386.20
Persistent Systems
7D
10.4%
1Y
17.2%

PERSISTENT: AI Drug Discovery And Healthcare Tie Up Will Drive Future Rerating

Analysts have adjusted their price target for Persistent Systems from ₹8,500 to ₹7,861, reflecting updated views on fair value, profit margin assumptions, and future P/E expectations. What's in the News Persistent Systems is working with NVIDIA to support AI powered solutions for Healthcare and Life Sciences, aiming to use the full stack NVIDIA AI platform and NVIDIA AI Enterprise for use cases such as preclinical research and computational drug discovery (Key Developments).
TECHM
₹1,473.40
Tech Mahindra
7D
6.5%
1Y
12.1%

TECHM: Higher Discount Rate And Lower P E Multiple Will Pressure Returns

Narrative Update on Tech Mahindra Analysts have reduced the updated fair value estimate for Tech Mahindra from about ₹1,327 to roughly ₹1,205. This reflects recalibrated expectations around discount rates, revenue growth, profit margins and future P/E multiples.
WAAREEENER
₹3,083.80
Waaree Energies
7D
-0.8%
1Y
45.8%

Order Book And Value Chain Expansion Will Support Long Term Energy Transition Upside

Catalysts About Waaree Energies Waaree Energies is a solar and broader energy transition manufacturer with operations across modules, cells and adjacent power infrastructure products. What are the underlying business or industry changes driving this perspective?
507685
₹204.70
Wipro
7D
9.1%
1Y
-17.2%
WEL
₹77.69
Wonder Electricals
7D
-19.0%
1Y
-51.9%
533581
₹440.60
PG Electroplast
7D
-6.4%
1Y
-49.1%
526299
₹2,331.10
Mphasis
7D
13.5%
1Y
7.4%
INFY
₹1,339.40
Infosys
7D
7.1%
1Y
-6.3%

INFY: AI Services Mix Reset Will Support 2026 IT Spending Turnaround

Infosys' updated analyst price target edges lower, with fair value moving from ₹1,724.32 to ₹1,667.80 as analysts factor in slightly softer revenue growth assumptions, a modestly lower future P/E, and higher perceived risk from AI driven shifts in the IT services mix. Analyst Commentary Recent Street research on Infosys reflects a mixed setup, with some analysts trimming expectations and others adjusting targets higher while staying cautious on execution and the evolving role of AI in IT services.
HCLTECH
₹1,441.60
HCL Technologies
7D
7.5%
1Y
2.7%

AI Factory And Data Intelligence Expansion Will Reshape Long Term Prospects

Catalysts About HCL Technologies HCL Technologies is a global IT services and software company providing IT and business services, engineering and R&D, and software products to clients across industries and geographies. What are the underlying business or industry changes driving this perspective?
TCS
₹2,539.80
Tata Consultancy Services
7D
7.7%
1Y
-22.9%

TCS: AI Collaborations And Special Dividend Will Support Future Upside

Analysts have reduced their price target for Tata Consultancy Services by about ₹100 to reflect slightly softer revenue growth expectations, a marginally lower discount rate, and a small uplift in projected profit margins and future P/E multiples. What's in the News TCS declared a special dividend of ₹46 per equity share, with a record date of January 17, 2026, and dividend payout scheduled for February 3, 2026.
539724
₹106.95
HyperSoft Technologies
7D
-10.1%
1Y
426.6%
517544
₹2,706.85
Centum Electronics
7D
-2.1%
1Y
68.5%
542866
₹164.55
Colab Platforms
7D
-1.0%
1Y
208.1%
BLACKBUCK
₹561.85
BlackBuck
7D
-2.6%
1Y
43.4%