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Indian (NIFTY) Tech Sector Analysis

UpdatedFeb 22, 2026
DataAggregated Company Financials
Companies355
  • 7D-1.6%
  • 3M-14.0%
  • 1Y-20.9%
  • YTD-14.9%

Over the last 7 days, the Tech industry has dropped 1.6%, and Tech Mahindra contributed the most with a 5.1% decline. Meanwhile, Netweb Technologies India actually outperformed within the industry, gaining 17% in the last week. Overall the industry is down 21% in 12 months. As for the next few years, earnings are expected to grow by 13% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 22 Feb 2026₹34.0t₹11.9t₹1.5t24.9x22.9x2.9x
Tue, 20 Jan 2026₹39.8t₹11.7t₹1.5t28.2x27.1x3.4x
Thu, 18 Dec 2025₹40.1t₹11.6t₹1.5t29.3x26.7x3.5x
Sat, 15 Nov 2025₹39.3t₹11.5t₹1.5t34.1x26.5x3.4x
Mon, 13 Oct 2025₹38.9t₹11.3t₹1.5t33.6x26.6x3.4x
Wed, 10 Sep 2025₹38.1t₹11.2t₹1.5t33.8x26.2x3.4x
Fri, 08 Aug 2025₹37.2t₹11.1t₹1.4t33.1x25.8x3.4x
Sun, 06 Jul 2025₹41.3t₹10.9t₹1.4t34.1x29.4x3.8x
Tue, 03 Jun 2025₹39.9t₹10.8t₹1.4t32.2x28.4x3.7x
Thu, 01 May 2025₹38.2t₹10.7t₹1.4t31.2x27.7x3.6x
Sat, 29 Mar 2025₹39.0t₹10.6t₹1.4t29.6x28.2x3.7x
Mon, 24 Feb 2025₹42.4t₹10.7t₹1.4t32.2x30.5x4x
Wed, 22 Jan 2025₹44.7t₹10.4t₹1.4t40.7x32.7x4.3x
Fri, 20 Dec 2024₹48.3t₹10.2t₹1.3t42.5x36.5x4.7x
Sun, 17 Nov 2024₹45.4t₹10.2t₹1.3t40x34.3x4.5x
Tue, 15 Oct 2024₹45.1t₹9.9t₹1.3t42.2x35.3x4.6x
Thu, 12 Sep 2024₹45.8t₹9.9t₹1.3t42.9x36.2x4.6x
Sat, 10 Aug 2024₹42.1t₹9.8t₹1.3t42.8x33.3x4.3x
Mon, 08 Jul 2024₹41.0t₹9.7t₹1.2t43.2x33.1x4.2x
Wed, 05 Jun 2024₹35.4t₹9.7t₹1.2t35.3x28.6x3.7x
Fri, 03 May 2024₹36.8t₹9.7t₹1.2t47.6x29.8x3.8x
Sun, 31 Mar 2024₹37.6t₹9.6t₹1.2t40.9x31.1x3.9x
Tue, 27 Feb 2024₹39.9t₹9.6t₹1.2t46.6x33.1x4.2x
Thu, 25 Jan 2024₹39.4t₹9.6t₹1.2t46.3x32x4.1x
Sat, 23 Dec 2023₹38.2t₹9.5t₹1.2t46.4x31.1x4x
Mon, 20 Nov 2023₹34.5t₹9.5t₹1.2t40.5x28.3x3.6x
Wed, 18 Oct 2023₹34.1t₹9.4t₹1.2t42x27.8x3.6x
Fri, 15 Sep 2023₹34.6t₹9.3t₹1.2t40.2x28.6x3.7x
Sun, 13 Aug 2023₹32.6t₹9.3t₹1.2t39.3x26.9x3.5x
Tue, 11 Jul 2023₹31.0t₹9.0t₹1.2t33.8x26.1x3.4x
Thu, 08 Jun 2023₹30.8t₹9.0t₹1.2t33.7x26x3.4x
Sat, 06 May 2023₹29.4t₹8.9t₹1.2t29.2x24.8x3.3x
Mon, 03 Apr 2023₹29.8t₹8.6t₹1.2t25.6x25.7x3.5x
Wed, 01 Mar 2023₹31.5t₹8.9t₹1.2t26x27.2x3.5x
Price to Earnings Ratio

27.2x


Total Market Cap: ₹31.5tTotal Earnings: ₹1.2tTotal Revenue: ₹8.9tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Tech Sector Price to Earnings3Y Average 29.3x202420252026
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 22.9x which is lower than its 3-year average PE of 29.3x.
  • The 3-year average PS ratio of 3.8x is higher than the industry's current PS ratio of 2.9x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 8.7% per year over the last three years.
  • Revenues for these companies have grown 10% 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 Market0.28%
Tech-1.57%
Tech Hardware11.94%
Software-0.87%
Communications-1.44%
IT-1.53%
Electronic Equipment and Components-2.26%
Semiconductors-4.11%
Industry PE
  • Investors are most optimistic about the Tech Hardware industry even though it's trading below its 3-year average PE ratio of 113x.
    • 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
NETWEB Netweb Technologies India₹3.64k17.4%
+₹30.7b		127.4%PE116x
NEWGEN Newgen Software Technologies₹556.9016.1%
+₹10.9b		-42.9%PE25.9x
E2E E2E Networks₹2.88k15.8%
+₹7.9b		31.2%PS31.6x
PREMIERENE Premier Energies₹768.751.3%
+₹4.3b		-20.8%PE26.2x
TATATECH Tata Technologies₹607.701.6%
+₹3.9b		-18.2%PE46.4x

Latest News

INTELLECT
₹704.20
Intellect Design Arena
7D
3.7%
1Y
-2.9%
HCLTECH
₹1,436.50
HCL Technologies
7D
-1.3%
1Y
-15.5%
LTIM
₹4,889.50
LTIMindtree
7D
-4.4%
1Y
-7.7%

LTIM: AI Tax Mandate Will Drive Future Upside Potential

Analysts have made a small trim to their price target on LTIMindtree, nudging it from ₹6,391.33 to ₹6,376.75 as they refresh their model inputs for discount rate, revenue growth, profit margin and forward P/E assumptions. What's in the News The board approved a proposed change of name from "LTIMindtree Limited" to "LTM Limited", with the change subject to shareholder and regulatory approvals and updates to the Memorandum and Articles of Association (board meeting held on February 11, 2026).
NEWGEN
₹556.90
Newgen Software Technologies
7D
16.1%
1Y
-42.9%

NEWGEN: Recent Large Contracts Will Support Future Upside Potential

Analysts have kept their fair value estimate for Newgen Software Technologies steady at ₹1,200, citing largely unchanged assumptions for revenue growth, profit margins and future P/E, along with a slightly higher discount rate in their updated price target work. What's in the News Newgen Software Technologies L.L.C, the Dubai based wholly owned subsidiary, signed a 3 year agreement with a large government organisation in the UAE for an Automatic Exchange of Information Pillar 2 tax compliance system.
TATATECH
₹607.70
Tata Technologies
7D
1.6%
1Y
-18.2%

TATATECH: Battery Identity Platform And Margin Gains Will Support Future Earnings Power

Analysts have trimmed their fair value estimate for Tata Technologies from about ₹1,108 to roughly ₹1,073, reflecting updated assumptions around slightly higher revenue growth, modestly improved profit margins, a lower discount rate, and a reduced future P/E multiple. What's in the News Tata Technologies announced that its WATTSync battery intelligence platform is designed to meet India's upcoming Battery Aadhaar digital identity and traceability requirements while remaining aligned with the EU Battery Regulation (EU BR 2023/1542).
TECHM
₹1,456.90
Tech Mahindra
7D
-5.1%
1Y
-11.7%

TECHM: Tighter P E Multiple Will Likely Undercut The Margin Story

Analysts have trimmed their price target for Tech Mahindra by about ₹20 to reflect a slightly lower fair value and P/E assumption, even as they factor in marginally higher revenue growth and profit margin expectations. Analyst Commentary Bearish analysts appear to be using the recent trim in Tech Mahindra's fair value and P/E assumptions as a reminder of the execution and growth risks that can sit behind headline numbers.
501421
₹6,702.00
TechNVision Ventures
7D
9.6%
1Y
44.0%
NETWEB
₹3,636.50
Netweb Technologies India
7D
17.4%
1Y
127.4%

NETWEB: AI Partnership Will Support Upcoming Earnings And Shareholder Actions

Analysts have adjusted their price target on Netweb Technologies India slightly higher from ₹4,110 to ₹4,150, reflecting updated assumptions on the discount rate, revenue growth, profit margin and future P/E multiples in their models. What's in the News Board meeting scheduled for January 17, 2026 at 13:30 Indian Standard Time to consider and approve the unaudited financial results, along with the limited review report, for the quarter ended December 31, 2025, and to address any other items with the chair's permission (company filing).
WAAREEENER
₹2,897.60
Waaree Energies
7D
-6.4%
1Y
28.2%
517544
₹2,537.20
Centum Electronics
7D
10.8%
1Y
96.9%
PREMIERENE
₹768.75
Premier Energies
7D
1.3%
1Y
-20.8%

Premier Energies Limited's (NSE:PREMIERENE) Business Is Trailing The Market But Its Shares Aren't

Feb 15
Premier Energies Limited's (NSE:PREMIERENE) Business Is Trailing The Market But Its Shares Aren't
HEXT
₹520.95
Hexaware Technologies
7D
-7.2%
1Y
-36.3%

Risks Still Elevated At These Prices As Hexaware Technologies Limited (NSE:HEXT) Shares Dive 26%

Feb 13
Risks Still Elevated At These Prices As Hexaware Technologies Limited (NSE:HEXT) Shares Dive 26%
INFY
₹1,353.20
Infosys
7D
-1.2%
1Y
-25.4%

INFY: Gradual IT Spend Recovery And AI Adoption Will Support 2026 Repricing

Infosys' analyst price targets have edged higher, with recent increases ranging from about $0.20 to $2.50 per share, as analysts factor in slightly updated assumptions around discount rates, revenue growth, profit margins, and future P/E levels. Analyst Commentary Recent Street research on Infosys has focused on fine tuning fair value estimates rather than making drastic revisions, with several price targets adjusted in small increments between about $0.20 and $2.50 per share.
PERSISTENT
₹5,092.00
Persistent Systems
7D
-7.1%
1Y
-10.8%

Persistent Systems Limited's (NSE:PERSISTENT) Popularity With Investors Is Under Threat From Overpricing

Feb 11
Persistent Systems Limited's (NSE:PERSISTENT) Popularity With Investors Is Under Threat From Overpricing
E2E
₹2,878.60
E2E Networks
7D
15.8%
1Y
31.2%

Market Participants Recognise E2E Networks Limited's (NSE:E2E) Revenues Pushing Shares 28% Higher

Feb 04
Market Participants Recognise E2E Networks Limited's (NSE:E2E) Revenues Pushing Shares 28% Higher
507685
₹209.95
Wipro
7D
-1.9%
1Y
-31.4%