Newgen Software Technologies Limited (NSE:NEWGEN) May Have Run Too Fast Too Soon With Recent 26% Price Plummet
Jan 22
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Indian (NIFTY) Tech Sector Analysis
UpdatedJan 21, 2026
DataAggregated Company Financials
Companies355
- 7D-2.3%
- 3M0.8%
- 1Y-14.9%
- YTD-2.8%
Over the last 7 days, the Tech industry has dropped 2.3%, driven by declines in Tata Consultancy Services and Wipro of 2.2% and 7.9%, respectively. However, the industry is down 15% over the past 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?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Thu, 22 Jan 2026 | ₹39.0t | ₹11.7t | ₹1.5t | 26.7x | 26.6x | 3.3x |
| Sat, 20 Dec 2025 | ₹40.6t | ₹11.6t | ₹1.5t | 29.6x | 27.2x | 3.5x |
| Mon, 17 Nov 2025 | ₹39.3t | ₹11.5t | ₹1.5t | 35.4x | 26.5x | 3.4x |
| Wed, 15 Oct 2025 | ₹38.4t | ₹11.3t | ₹1.5t | 33.9x | 26.2x | 3.4x |
| Fri, 12 Sep 2025 | ₹39.0t | ₹11.2t | ₹1.5t | 33.8x | 26.8x | 3.5x |
| Sun, 10 Aug 2025 | ₹36.8t | ₹11.1t | ₹1.4t | 31.7x | 25.5x | 3.3x |
| Tue, 08 Jul 2025 | ₹41.0t | ₹10.9t | ₹1.4t | 34x | 29.2x | 3.8x |
| Thu, 05 Jun 2025 | ₹39.7t | ₹10.9t | ₹1.4t | 32x | 28.2x | 3.7x |
| Sat, 03 May 2025 | ₹38.3t | ₹10.7t | ₹1.4t | 30.8x | 27.7x | 3.6x |
| Mon, 31 Mar 2025 | ₹39.0t | ₹10.6t | ₹1.4t | 29.6x | 28.2x | 3.7x |
| Wed, 26 Feb 2025 | ₹41.0t | ₹10.7t | ₹1.4t | 32x | 29.4x | 3.8x |
| Fri, 24 Jan 2025 | ₹45.6t | ₹10.4t | ₹1.4t | 40.1x | 33.4x | 4.4x |
| Sun, 22 Dec 2024 | ₹47.1t | ₹10.3t | ₹1.3t | 41.6x | 35.5x | 4.6x |
| Tue, 19 Nov 2024 | ₹44.5t | ₹10.2t | ₹1.3t | 39x | 33.6x | 4.4x |
| Thu, 17 Oct 2024 | ₹44.9t | ₹9.9t | ₹1.3t | 43.2x | 35.1x | 4.5x |
| Sat, 14 Sep 2024 | ₹46.8t | ₹9.9t | ₹1.3t | 44x | 37x | 4.7x |
| Mon, 12 Aug 2024 | ₹42.1t | ₹9.8t | ₹1.3t | 42.8x | 33.3x | 4.3x |
| Wed, 10 Jul 2024 | ₹40.8t | ₹9.7t | ₹1.2t | 43x | 33x | 4.2x |
| Fri, 07 Jun 2024 | ₹37.2t | ₹9.7t | ₹1.2t | 38.8x | 30.1x | 3.8x |
| Sun, 05 May 2024 | ₹36.6t | ₹9.7t | ₹1.2t | 47x | 29.6x | 3.8x |
| Tue, 02 Apr 2024 | ₹37.9t | ₹9.6t | ₹1.2t | 43.3x | 31.4x | 3.9x |
| Thu, 29 Feb 2024 | ₹40.2t | ₹9.6t | ₹1.2t | 45.2x | 33.3x | 4.2x |
| Sat, 27 Jan 2024 | ₹39.0t | ₹9.6t | ₹1.2t | 47x | 31.8x | 4.1x |
| Mon, 25 Dec 2023 | ₹38.2t | ₹9.5t | ₹1.2t | 46.4x | 31.1x | 4x |
| Wed, 22 Nov 2023 | ₹34.7t | ₹9.5t | ₹1.2t | 40.4x | 28.4x | 3.7x |
| Fri, 20 Oct 2023 | ₹33.8t | ₹9.4t | ₹1.2t | 43.9x | 27.5x | 3.6x |
| Sun, 17 Sep 2023 | ₹34.9t | ₹9.3t | ₹1.2t | 40.1x | 28.8x | 3.8x |
| Tue, 15 Aug 2023 | ₹32.7t | ₹9.3t | ₹1.2t | 39x | 27x | 3.5x |
| Thu, 13 Jul 2023 | ₹31.0t | ₹9.0t | ₹1.2t | 34.1x | 26.1x | 3.4x |
| Sat, 10 Jun 2023 | ₹30.3t | ₹9.0t | ₹1.2t | 34x | 25.5x | 3.4x |
| Mon, 08 May 2023 | ₹29.4t | ₹8.9t | ₹1.2t | 29.4x | 24.8x | 3.3x |
| Wed, 05 Apr 2023 | ₹29.8t | ₹8.6t | ₹1.2t | 26.2x | 25.7x | 3.5x |
| Fri, 03 Mar 2023 | ₹31.5t | ₹8.9t | ₹1.2t | 25.3x | 27.3x | 3.5x |
| Sun, 29 Jan 2023 | ₹31.9t | ₹8.8t | ₹1.1t | 28.9x | 27.9x | 3.6x |
Price to Earnings Ratio
27.9x
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 29.4x.
- The 3-year average PS ratio of 3.8x is higher than the industry's current PS ratio of 3.3x.
Past Earnings Growth
- The earnings for companies in the Information Technology industry have grown 8.6% 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 Market | -2.63% | |
| Tech | -2.32% | |
| IT | -1.86% | |
| Tech Hardware | -3.25% | |
| Semiconductors | -3.86% | |
| Electronic Equipment and Components | -4.23% | |
| Software | -4.73% | |
| Communications | -6.72% | |
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 expect its future annual earnings growth (39.3%) to be largely in line with prior year's earnings growth.
Forecasted Growth
- Analysts are most optimistic on the Communications industry, expecting annual earnings growth of 46% over the next 5 years.
- This is better than its past earnings growth rate of 24% 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?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| INFY Infosys | ₹1.65k | 3.4% +₹220.9b | -10.9% | PE22.8x | |
| TECHM Tech Mahindra | ₹1.69k | 6.2% +₹87.0b | 0.2% | PE32.3x | |
| HCLTECH HCL Technologies | ₹1.68k | 0.8% +₹37.9b | -7.9% | PE26.3x | |
| 532466 Oracle Financial Services Software | ₹7.68k | 1.9% +₹12.7b | -19.9% | PE28.2x | |
| MASTEK Mastek | ₹2.18k | 6.4% +₹4.1b | -16.7% | PE17.8x |
