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Indian (NIFTY) IT Industry Analysis

UpdatedAug 11, 2026
DataAggregated Company Financials
Companies164
  • 7D-0.5%
  • 3M9.1%
  • 1Y-13.5%
  • YTD-20.7%

Last week, the IT industry hasn't moved much but Tata Technologies is up 15% in that time. As for the longer term, the industry has declined 13% in the last year. As for the next few years, earnings are expected to grow by 8.3% per annum.

Industry Valuation and Performance

Has the Indian IT Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 11 Aug 2026₹26.2t₹9.5t₹1.4t23.1x19.3x2.7x
Thu, 09 Jul 2026₹22.8t₹9.3t₹1.3t22x17x2.4x
Sat, 06 Jun 2026₹24.3t₹9.2t₹1.3t23x18.2x2.6x
Mon, 04 May 2026₹25.0t₹9.2t₹1.3t22.6x18.9x2.7x
Wed, 01 Apr 2026₹24.6t₹9.0t₹1.3t19.2x19x2.7x
Fri, 27 Feb 2026₹26.4t₹8.9t₹1.3t21.5x20.6x3x
Sun, 25 Jan 2026₹32.5t₹8.9t₹1.3t24.5x25.3x3.6x
Tue, 23 Dec 2025₹33.8t₹8.7t₹1.3t25.7x25.9x3.9x
Thu, 20 Nov 2025₹32.2t₹8.7t₹1.3t26.1x24.7x3.7x
Sat, 18 Oct 2025₹30.3t₹8.6t₹1.3t27.3x23.4x3.5x
Mon, 15 Sep 2025₹31.4t₹8.5t₹1.3t26.9x24.3x3.7x
Wed, 13 Aug 2025₹30.2t₹8.5t₹1.3t27.3x23.5x3.5x
Fri, 11 Jul 2025₹33.5t₹8.3t₹1.3t30.3x26.7x4x
Sun, 08 Jun 2025₹32.9t₹8.3t₹1.3t29.2x26.2x3.9x
Tue, 06 May 2025₹32.0t₹8.3t₹1.2t27.1x25.7x3.9x
Thu, 03 Apr 2025₹32.5t₹8.2t₹1.3t27.2x25.9x3.9x
Sat, 01 Mar 2025₹33.2t₹8.3t₹1.3t26x26.3x4x
Mon, 27 Jan 2025₹38.3t₹8.1t₹1.2t34.4x30.9x4.7x
Wed, 25 Dec 2024₹38.7t₹8.0t₹1.2t35.5x32.2x4.8x
Fri, 22 Nov 2024₹37.4t₹8.0t₹1.2t34.5x31.2x4.7x
Sun, 20 Oct 2024₹37.8t₹7.9t₹1.2t39.9x31.6x4.8x
Tue, 17 Sep 2024₹39.6t₹7.8t₹1.2t41.6x33.9x5x
Thu, 15 Aug 2024₹36.6t₹7.8t₹1.2t38.2x31.4x4.7x
Sat, 13 Jul 2024₹36.0t₹7.8t₹1.2t37.7x31.2x4.6x
Mon, 10 Jun 2024₹32.8t₹7.7t₹1.1t33.1x28.7x4.2x
Wed, 08 May 2024₹31.9t₹7.7t₹1.1t36.9x28.1x4.1x
Fri, 05 Apr 2024₹33.3t₹7.7t₹1.1t36.9x29.9x4.3x
Sun, 03 Mar 2024₹35.0t₹7.7t₹1.1t35.8x31.5x4.5x
Tue, 30 Jan 2024₹34.1t₹7.8t₹1.1t41.4x30.1x4.4x
Thu, 28 Dec 2023₹33.7t₹7.8t₹1.1t42x29.5x4.3x
Sat, 25 Nov 2023₹30.0t₹7.7t₹1.1t37x26.5x3.9x
Mon, 23 Oct 2023₹29.5t₹7.7t₹1.1t41.1x26x3.9x
Wed, 20 Sep 2023₹30.7t₹7.6t₹1.1t37.4x27.3x4.1x
Fri, 18 Aug 2023₹29.0t₹7.6t₹1.1t35x25.8x3.8x
Price to Earnings Ratio

25.8x


Total Market Cap: ₹29.0tTotal Earnings: ₹1.1tTotal Revenue: ₹7.6tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian IT Industry Price to Earnings3Y Average 26.4x202420252026
Current Industry PE
  • Investors are pessimistic on the Indian IT 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 19.3x which is lower than its 3-year average PE of 26.4x.
  • The 3-year average PS ratio of 3.9x is higher than the industry's current PS ratio of 2.7x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 6.5% per year over the last three years.
  • Revenues for these companies have grown 8.0% 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 industry?

IN Market0.11%
Tech0.11%
IT-0.50%
Internet Services and Infrastructure9.78%
IT Consulting-0.54%
Data Processing Services-3.79%
Industry PE
  • Investors are most optimistic about the Internet Services and Infrastructure industry, which is trading close to its 3-year average PE ratio of 431x.
    • 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 Consulting industry, which is trading below its 3-year average of 26.4x.
Forecasted Growth
  • Analysts are most optimistic on the Data Processing Services industry, expecting annual earnings growth of 16% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 8.3% 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
TATATECH Tata Technologies₹879.1515.1%
+₹46.8b		33.2%PE64.1x
LTM LTM₹4.80k2.2%
+₹31.1b		-5.4%PE27.2x
COFORGE Coforge₹1.81k2.4%
+₹18.6b		12.2%PE45.6x
526299 Mphasis₹2.51k3.9%
+₹17.9b		-5.9%PE25.1x
INFY Infosys₹1.18k0.3%
+₹12.1b		-17.2%PE15.1x

Latest News

SONATSOFTW
₹320.10
Sonata Software
7D
-7.4%
1Y
-2.9%
Analysis Article • Aug 09

Sonata Software Limited Just Recorded A 22% Revenue Beat: Here's What Analysts Think

The quarterly results for Sonata Software Limited ( NSE:SONATSOFTW ) were released last week, making it a good time to...
HCLTECH
₹1,357.20
HCL Technologies
7D
-1.4%
1Y
-8.8%
501421
₹5,413.00
TechNVision Ventures
7D
26.9%
1Y
30.1%
HEXT
₹570.30
Hexaware Technologies
7D
1.9%
1Y
-18.7%
Narrative Update • Aug 08

HEXT: AI Alliances And UK Expansion Will Support A Measured Outlook

Analysts have lifted their price target for Hexaware Technologies from ₹554 to about ₹590, citing updated fair value work that reflects slightly adjusted discount rate, revenue growth, profit margin and forward P/E assumptions. What's in the News for Hexaware Technologies Joined the Microsoft Intelligent Security Association, with Hexaware's Azure and Microsoft 365 security solution validated by Microsoft experts and listed on the Microsoft Marketplace.
RSYSTEMS
₹245.05
R Systems International
7D
-10.5%
1Y
-42.2%
Narrative Update • Aug 07

RSYSTEMS: Board Overhaul And Margin Outlook Will Support Future Upside

Analysts have reduced their price target for R Systems International to ₹410 from ₹501, reflecting updated expectations around slower revenue growth, a slightly lower discount rate, improved profit margin assumptions, and a revised future P/E outlook. What’s in the News for R Systems International Board meeting scheduled on May 27, 2026 to review and approve the Board’s Report for the financial year ended December 31, 2025 and to approve convening the 32nd AGM on June 25, 2026 through video conferencing or other audio visual means.
TATATECH
₹879.15
Tata Technologies
7D
15.1%
1Y
33.2%
PERSISTENT
₹5,474.00
Persistent Systems
7D
-1.8%
1Y
5.9%
Narrative Update • Aug 07

PERSISTENT: AI Expansion And Nagarro Bid Will Shape Balanced Long-Term Outlook

Analysts have lifted their price target on Persistent Systems from ₹5,090.71 to ₹5,504.74 as they factor in updated assumptions for revenue growth, profit margins and the stock's future P/E profile. What's in the News for Persistent Systems On August 03, 2026, Persistent Systems held its 36th AGM and approved a final dividend of ₹18 per equity share of face value ₹5, taking the total dividend for the year to ₹40 per share.
TCS
₹2,425.70
Tata Consultancy Services
7D
-1.9%
1Y
-20.2%
Narrative Update • Aug 04

TCS: Future Returns Will Be Constrained By Softer Profitability Assumptions

Analysts have trimmed their fair value estimate for Tata Consultancy Services, revising the price target from ₹1,860 to ₹1,800 as they factor in more measured assumptions on revenue growth, profit margins, the discount rate and future P/E expectations. What's in the News for Tata Consultancy Services F1R3FLY Limited joined the Tata Consultancy Services Alliances and Partnerships ecosystem to deploy its concurrent computing platform on TCS SovereignSecure Cloud, targeting enterprise cloud data security and compute infrastructure needs across industries.
COFORGE
₹1,810.00
Coforge
7D
2.4%
1Y
12.2%
Narrative Update • Aug 04

COFORGE: AI Expansion And Rich P/E Will Likely Restrain Long-Term Returns

Analysts have raised their fair value estimate for Coforge from ₹1,207.03 to ₹1,370.75, citing updated assumptions on revenue growth, profit margins, and future P/E levels. What’s in the News for Coforge Coforge launched Momentuum AI, a specialized operating unit built around its Forward Deployed Engineer model, with FDEs and human plus agent pods already working at multiple global enterprises and supported by the Coforge Nuuron AI Operating System.
507685
₹185.00
Wipro
7D
-1.1%
1Y
-23.5%
Narrative Update • Jul 31

507685: AI Collaboration And Share Buyback Will Support Future Upside

Analysts have lowered their price target on Wipro to ₹216 from about ₹321 as they factor in updated assumptions for slightly lower revenue growth, a modestly adjusted discount rate and a reduced future P/E multiple. What’s in the News for Wipro Wipro expanded its collaboration with Databricks to create a dedicated Databricks business practice that focuses on data modernization and AI adoption across industries, integrating Databricks capabilities with Wipro Intelligence.
LTM
₹4,795.00
LTM
7D
2.2%
1Y
-5.4%
Narrative Update • Jul 30

LTM: Earnings Momentum Will Be Tested By Slower Latin America Traffic

Analysts have lifted their fair value estimate for Latam Airlines to ₹3,360 from ₹3,285, citing fresh coverage with higher Street price targets that highlight expectations for earnings momentum, a relatively lighter balance sheet and a sector view supported by steady air travel penetration and more disciplined competition. Analyst Commentary on Latam Airlines (LTM) Street research on Latam Airlines highlights a mix of optimism on earnings momentum and balance sheet health, alongside clear caution around macro and sector risks.
INFY
₹1,183.00
Infosys
7D
0.3%
1Y
-17.2%
Narrative Update • Jul 30

INFY: AI Headwinds And CEO Transition Will Test Margin Resilience

Infosys' updated fair value estimate has shifted lower to about ₹1,199 from roughly ₹1,395. This reflects the recent wave of reduced analyst price targets as they respond to softer Q1 performance, trimmed revenue guidance, and concerns around weaker organic growth, pricing pressure, and AI related productivity impacts.
TECHM
₹1,640.00
Tech Mahindra
7D
-0.5%
1Y
10.7%
Narrative Update • Jul 29

TECHM: AI Partnerships And Margins Will Support Measured Medium Term Outlook

Analysts have raised their price target for Tech Mahindra to ₹1,615 from ₹1,528, pointing to updated assumptions for slightly higher revenue growth, a modestly improved profit margin, and a broadly similar future P/E multiple. Together, these factors support a higher fair value estimate despite a marginally higher discount rate.
504067
₹498.85
Zensar Technologies
7D
-3.7%
1Y
-36.9%
Narrative Update • Jul 24

504067: Lower Forward P/E And AI Assurance Risk Will Drive Bearish View

Analysts have revised their price target for Zensar Technologies from ₹501.00 to about ₹425.34, citing updated fair value estimates based on a slightly adjusted discount rate, revenue growth outlook and forward P/E assumptions, along with a marginally different profit margin view. What's in the News for Zensar Technologies Zensar Technologies has scheduled a board meeting for July 29, 2026, to consider and approve its unaudited standalone and consolidated financial results for the quarter ended June 30, 2026, and to take on record the related limited review report.
526299
₹2,510.95
Mphasis
7D
3.9%
1Y
-5.9%
Narrative Update • Jul 22

526299: Future Returns Will Likely Be Pressured By Lower Profitability Assumptions

Analysts have trimmed their price target on Mphasis from ₹2,164.64 to ₹2,044.86, reflecting updated assumptions for discount rate, revenue growth, profit margins, and future P/E levels. What’s in the News for Mphasis Mphasis scheduled a board meeting for July 23, 2026, to consider and approve audited standalone and consolidated financial results for the quarter ended June 30, 2026, along with the auditor's report.
E2E
₹602.80
E2E Networks
7D
11.0%
1Y
197.1%