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Indian (NIFTY) IT Industry Analysis

UpdatedJan 10, 2026
DataAggregated Company Financials
Companies160
  • 7D-1.0%
  • 3M6.1%
  • 1Y-18.5%
  • YTD-0.5%

Over the last 7 days, the IT industry has dropped 1.0%, driven by Tata Consultancy Services declining 1.3%. However, the industry is down 18% over the past year. As for the next few years, earnings are expected to grow by 8.6% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 10 Jan 2026₹32.7t₹8.7t₹1.3t25.2x24.9x3.7x
Mon, 08 Dec 2025₹33.3t₹8.7t₹1.3t25.6x25.4x3.8x
Wed, 05 Nov 2025₹30.6t₹8.7t₹1.3t27.6x23.5x3.5x
Fri, 03 Oct 2025₹29.5t₹8.6t₹1.3t25.9x22.9x3.4x
Sun, 31 Aug 2025₹30.6t₹8.5t₹1.3t25.9x23.8x3.6x
Tue, 29 Jul 2025₹30.8t₹8.5t₹1.3t28.3x24.1x3.6x
Thu, 26 Jun 2025₹34.1t₹8.4t₹1.3t29.9x27.2x4.1x
Sat, 24 May 2025₹33.2t₹8.3t₹1.3t29x26.5x4x
Mon, 21 Apr 2025₹30.1t₹8.3t₹1.2t26.9x24.2x3.6x
Wed, 19 Mar 2025₹32.8t₹8.3t₹1.3t25x26.1x4x
Fri, 14 Feb 2025₹36.5t₹8.2t₹1.2t29.7x29.2x4.5x
Sun, 12 Jan 2025₹39.6t₹8.1t₹1.2t34.6x32.4x4.9x
Tue, 10 Dec 2024₹40.2t₹8.0t₹1.2t37.3x33.5x5x
Thu, 07 Nov 2024₹37.8t₹8.0t₹1.2t38.7x31.5x4.7x
Sat, 05 Oct 2024₹38.0t₹7.8t₹1.2t37.9x32.5x4.8x
Mon, 02 Sep 2024₹39.3t₹7.8t₹1.2t40.9x33.6x5x
Wed, 31 Jul 2024₹37.5t₹7.8t₹1.2t41.9x32.2x4.8x
Fri, 28 Jun 2024₹33.6t₹7.7t₹1.1t36.5x29.4x4.3x
Sun, 26 May 2024₹31.7t₹7.7t₹1.1t35.5x27.9x4.1x
Tue, 23 Apr 2024₹31.5t₹7.7t₹1.1t38x27.7x4.1x
Thu, 21 Mar 2024₹33.5t₹7.7t₹1.1t33.8x30.1x4.3x
Sat, 17 Feb 2024₹35.6t₹7.7t₹1.1t38.7x32.1x4.6x
Mon, 15 Jan 2024₹34.3t₹7.8t₹1.1t44.7x30.2x4.4x
Wed, 13 Dec 2023₹32.0t₹7.8t₹1.1t39x28x4.1x
Fri, 10 Nov 2023₹28.9t₹7.7t₹1.1t38.2x25.4x3.7x
Sun, 08 Oct 2023₹30.2t₹7.6t₹1.1t38.3x26.9x4x
Tue, 05 Sep 2023₹29.6t₹7.6t₹1.1t36.6x26.4x3.9x
Thu, 03 Aug 2023₹28.3t₹7.5t₹1.1t36x25.3x3.8x
Sat, 01 Jul 2023₹27.9t₹7.4t₹1.1t33.6x25.4x3.8x
Mon, 29 May 2023₹27.8t₹7.4t₹1.1t25.8x25.1x3.7x
Wed, 26 Apr 2023₹25.9t₹7.2t₹1.1t25.6x23.7x3.6x
Fri, 24 Mar 2023₹26.5t₹7.1t₹1.1t23.4x24.6x3.7x
Sun, 19 Feb 2023₹30.2t₹7.4t₹1.1t25.8x28.1x4.1x
Tue, 17 Jan 2023₹28.9t₹7.3t₹1.1t26x27.2x4x
Price to Earnings Ratio

27.2x


Total Market Cap: ₹28.9tTotal Earnings: ₹1.1tTotal Revenue: ₹7.3tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian IT Industry Price to Earnings3Y Average 27.6x202420252026
Current Industry PE
  • Investors are relatively neutral on the Indian IT 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 27.6x.
  • The industry is trading close to its 3-year average PS ratio of 4.1x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 7.3% per year over the last three years.
  • Revenues for these companies have grown 6.3% 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 Market-2.80%
Tech-1.59%
IT-1.01%
IT Consulting-1.00%
Internet Services and Infrastructure-3.49%
Data Processing Services-4.77%
Industry PE
  • Investors are most optimistic about the Data Processing Services industry which is trading above its 3-year average PE ratio of 50.8x.
    • Analysts are expecting annual earnings growth of 17.1%, which is lower than the prior year's growth of 21.2% per year.
  • Investors are most pessimistic about the IT Consulting industry, which is trading close to its 3-year average of 27.5x.
Forecasted Growth
  • Analysts are most optimistic on the Data Processing Services industry, expecting annual earnings growth of 17% 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 8.6% 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
HCLTECH HCL Technologies₹1.66k1.3%
+₹57.4b		-16.7%PE25.3x
PERSISTENT Persistent Systems₹6.42k2.0%
+₹19.0b		1.5%PE57.5x
COFORGE Coforge₹1.68k1.9%
+₹10.5b		-10.6%PE51.4x
532175 Cyient₹1.16k5.0%
+₹6.1b		-33.3%PE22.3x
526299 Mphasis₹2.84k1.1%
+₹6.0b		-2.6%PE30.3x

Latest News

532175
₹1,162.10
Cyient
7D
5.0%
1Y
-33.3%

532175: Higher Discount Rate Will Pressure Future Returns Despite New Initiatives

Analysts have trimmed their fair value estimate for Cyient from ₹1,050 to ₹1,000, citing updated assumptions around slightly higher discount rates, a modestly different revenue growth outlook, and a small adjustment to expected profit margins and future P/E levels. What's in the News A board meeting is scheduled on January 22, 2026 to consider and approve unaudited financial results for the quarter and nine months ended December 31, 2025 (company filing).
526299
₹2,839.30
Mphasis
7D
1.1%
1Y
-2.6%

526299: AI And Quantum Offerings Will Drive Future Earnings Quality

Analysts have nudged their fair value estimate for Mphasis from ₹3,064.34 to ₹3,156.57, citing updated assumptions around revenue growth, profit margins, and future P/E expectations. What's in the News Mphasis has scheduled a board meeting on January 22, 2026, to consider and approve audited standalone and consolidated financial results for the quarter ended December 31, 2025, along with the auditor's report and other matters (company filing).
534535
₹174.75
String Metaverse
7D
-18.8%
1Y
299.8%
TECHM
₹1,582.20
Tech Mahindra
7D
-1.8%
1Y
-7.2%

TECHM: AI Partnerships And Margin Discipline Will Drive Future Earnings Upside

Narrative Update Analysts have raised their fair value estimate for Tech Mahindra from ₹1,947.93 to ₹2,043.82 as they factor in slightly higher growth, stronger profit margins, and a modestly richer future P/E multiple in their models. Analyst Commentary Recent research activity around Tech Mahindra signals that bullish analysts are willing to recognize higher fair value when they see a combination of improving growth assumptions, firmer margins, and support for a richer P/E multiple.
LTIM
₹6,037.00
LTIMindtree
7D
-0.5%
1Y
-1.4%

LTIM: Future Performance Will Reflect AI Partnerships While Remaining Fairly Valued

Analysts have raised their price target on LTIMindtree to ₹6,087.68 from ₹5,867.44, citing small adjustments to fair value estimates, the discount rate, revenue growth, profit margin, and future P/E assumptions in their updated models. What's in the News A board meeting is scheduled for January 19, 2026 to review and approve unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, along with the statutory auditor's limited review reports (Board Meeting).
504067
₹709.05
Zensar Technologies
7D
1.4%
1Y
-9.1%

504067: Higher Discount Rate Will Weigh On Prospects Despite Margin Optimism

Analysts have inched up their fair value estimate for Zensar Technologies to ₹629.84 from ₹626.36, citing slightly firmer profit margin assumptions and a modestly lower future P/E multiple, partly offset by softer expectations for revenue growth and a higher discount rate. What's in the News A board meeting is scheduled for October 31, 2025, at 16:00 Indian Standard Time to review and approve the unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025 (company filing).
507685
₹261.90
Wipro
7D
-2.7%
1Y
-12.9%
SILVERTUC
₹1,667.00
Silver Touch Technologies
7D
33.5%
1Y
139.4%
PERSISTENT
₹6,417.00
Persistent Systems
7D
2.0%
1Y
1.5%
TCS
₹3,207.80
Tata Consultancy Services
7D
-1.3%
1Y
-24.8%

Tata Consultancy Services Limited's (NSE:TCS) Share Price Could Signal Some Risk

Dec 31
Tata Consultancy Services Limited's (NSE:TCS) Share Price Could Signal Some Risk
INFY
₹1,614.10
Infosys
7D
-1.6%
1Y
-17.9%

Capital Investments At Infosys (NSE:INFY) Point To A Promising Future

Dec 31
Capital Investments At Infosys (NSE:INFY) Point To A Promising Future
534758
₹1,655.05
Cigniti Technologies
7D
2.2%
1Y
-1.6%
COFORGE
₹1,681.60
Coforge
7D
1.9%
1Y
-10.6%

COFORGE: Future AI Spending Wave Will Likely Pressure Margins And Returns

Analysts have modestly raised their price target on Coforge from ₹1,226 to ₹1,334, citing a slightly higher required return, somewhat tempered expectations for revenue growth and margins, and a lower assumed future price to earnings multiple that still supports upside from current levels. What's in the News The board will meet on December 26, 2025 to consider raising funds via equity or other eligible securities through routes such as private placement, QIP, or preferential issue, subject to regulatory and shareholder approvals (board meeting, fund-raising proposal).
HCLTECH
₹1,661.40
HCL Technologies
7D
1.3%
1Y
-16.7%
HEXT
₹729.75
Hexaware Technologies
7D
-3.2%
1Y
n/a
500463
₹511.50
Black Box
7D
-8.2%
1Y
-17.3%