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

Indian (NIFTY) IT Industry Analysis

UpdatedSep 01, 2026
DataAggregated Company Financials
Companies164
  • 7D2.1%
  • 3M-1.6%
  • 1Y-17.5%
  • YTD-22.1%

The IT industry is up 2.1% in the last week, with Tata Consultancy Services up 3.2%. During this same period, the Happiest Minds Technologies underperformed, falling 19%. In contrast, the industry has lost 17% in the last 12 months. Earnings are forecast to grow by 8.6% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 01 Sep 2026₹25.6t₹9.5t₹1.4t21.9x18.9x2.7x
Thu, 30 Jul 2026₹25.8t₹9.5t₹1.4t23.1x19x2.7x
Sat, 27 Jun 2026₹22.7t₹9.3t₹1.3t21.9x17.1x2.5x
Mon, 25 May 2026₹24.5t₹9.3t₹1.3t22.2x18.3x2.6x
Wed, 22 Apr 2026₹27.1t₹9.1t₹1.3t22.1x20.7x3x
Fri, 20 Mar 2026₹24.4t₹9.0t₹1.3t19.8x18.9x2.7x
Sun, 15 Feb 2026₹27.9t₹8.9t₹1.3t23x21.8x3.1x
Tue, 13 Jan 2026₹32.7t₹8.7t₹1.3t25.1x25x3.7x
Thu, 11 Dec 2025₹32.7t₹8.7t₹1.3t25.1x25x3.7x
Sat, 08 Nov 2025₹30.5t₹8.7t₹1.3t27.2x23.4x3.5x
Mon, 06 Oct 2025₹29.6t₹8.6t₹1.3t25.5x22.9x3.4x
Wed, 03 Sep 2025₹31.0t₹8.5t₹1.3t26.2x24.1x3.6x
Fri, 01 Aug 2025₹30.6t₹8.5t₹1.3t27.9x23.9x3.6x
Sun, 29 Jun 2025₹33.9t₹8.3t₹1.3t30.1x27.1x4.1x
Tue, 27 May 2025₹33.5t₹8.3t₹1.3t29x26.8x4x
Thu, 24 Apr 2025₹31.7t₹8.3t₹1.2t28.1x25.4x3.8x
Sat, 22 Mar 2025₹32.9t₹8.3t₹1.3t26.8x26.2x4x
Mon, 17 Feb 2025₹36.5t₹8.2t₹1.2t29.1x29.3x4.5x
Wed, 15 Jan 2025₹38.4t₹8.1t₹1.2t35.3x31.4x4.8x
Fri, 13 Dec 2024₹40.7t₹8.0t₹1.2t37.8x33.9x5.1x
Sun, 10 Nov 2024₹37.8t₹8.0t₹1.2t37.2x31.5x4.7x
Tue, 08 Oct 2024₹38.1t₹7.8t₹1.2t36.4x32.6x4.9x
Thu, 05 Sep 2024₹38.9t₹7.8t₹1.2t39.7x33.3x5x
Sat, 03 Aug 2024₹36.7t₹7.8t₹1.2t40.4x31.4x4.7x
Mon, 01 Jul 2024₹33.5t₹7.7t₹1.1t35.2x29.3x4.3x
Wed, 29 May 2024₹31.8t₹7.7t₹1.1t35.7x27.9x4.1x
Fri, 26 Apr 2024₹31.9t₹7.7t₹1.1t37.3x28x4.1x
Sun, 24 Mar 2024₹32.9t₹7.7t₹1.1t34x29.6x4.3x
Tue, 20 Feb 2024₹35.5t₹7.7t₹1.1t38.3x32x4.6x
Thu, 18 Jan 2024₹34.6t₹7.8t₹1.1t44.3x30.5x4.4x
Sat, 16 Dec 2023₹33.8t₹7.8t₹1.1t43x29.6x4.3x
Mon, 13 Nov 2023₹28.8t₹7.7t₹1.1t38.5x25.4x3.7x
Wed, 11 Oct 2023₹30.4t₹7.6t₹1.1t37.9x27.1x4x
Fri, 08 Sep 2023₹29.9t₹7.6t₹1.1t36.4x26.6x4x
Price to Earnings Ratio

26.6x


Total Market Cap: ₹29.9tTotal Earnings: ₹1.1tTotal Revenue: ₹7.6tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian IT Industry Price to Earnings3Y Average 26.3x202420252026
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 18.9x which is lower than its 3-year average PE of 26.3x.
  • 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 6.4% per year over the last three years.
  • Revenues for these companies have grown 7.9% 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-0.33%
Tech1.67%
IT2.06%
Data Processing Services3.20%
IT Consulting2.07%
Internet Services and Infrastructure0.72%
Industry PE
  • Investors are most optimistic about the Internet Services and Infrastructure industry which is trading above its 3-year average PE ratio of 440x.
    • 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 26.3x.
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 8.6% 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
TCS Tata Consultancy Services₹2.37k3.2%
+₹263.4b		-23.9%PE17.2x
HCLTECH HCL Technologies₹1.35k2.7%
+₹96.3b		-7.8%PE20.1x
INFY Infosys₹1.16k1.0%
+₹48.6b		-22.9%PE14.8x
COFORGE Coforge₹1.99k5.1%
+₹42.6b		13.4%PE50.1x
TECHM Tech Mahindra₹1.64k2.4%
+₹33.8b		8.3%PE28.3x

Latest News

HAPPSTMNDS
₹362.70
Happiest Minds Technologies
7D
-18.7%
1Y
-36.4%
IVALUE
₹236.35
iValue Infosolutions
7D
-15.9%
1Y
n/a
TECHM
₹1,638.00
Tech Mahindra
7D
2.4%
1Y
8.3%
Narrative Update • Aug 26

TECHM: Rich Multiple Will Face Test If New Alliances Disappoint

Analysts have raised their fair value estimate for Tech Mahindra to ₹1,256.65 from ₹1,184.98, citing slightly improved profit margin assumptions and a modestly lower future P/E multiple. These changes together offset a higher discount rate in their valuation models.
500463
₹721.40
Black Box
7D
-3.5%
1Y
60.3%
Narrative Update • Aug 26

500463: AI Alliance And Hyperscaler Wins Will Drive Future Re-Rating Potential

Analysts have trimmed their fair value estimate for Black Box from ₹1,000 to ₹900 as they now apply slightly higher discount rates, expect lower revenue growth and profit margins, and use a modestly reduced future P/E assumption. What’s in the News for Black Box Black Box secured a US$131 million order from a new U.S. based global Tier 1 hyperscaler for a major data centre project in the U.S., with delivery planned over roughly three years and potential further expansion in future.
532175
₹1,164.30
Cyient
7D
18.9%
1Y
-3.2%
PERSISTENT
₹5,800.00
Persistent Systems
7D
2.6%
1Y
7.4%
Narrative Update • Aug 25

PERSISTENT: Eastern Europe Expansion And AI Partnerships Will Support Future Rerating Potential

Analysts have raised their price target for Persistent Systems from ₹6,600 to ₹6,931, citing updated assumptions for revenue growth, profit margins, and a lower future P/E multiple in their refreshed models. What’s in the News for Persistent Systems Board meeting on June 8, 2026 to consider the reappointment of independent directors Ms. Avani Davda and Mr. Arvind Goel, along with other matters.
INFY
₹1,156.00
Infosys
7D
1.0%
1Y
-22.9%
SONATSOFTW
₹289.00
Sonata Software
7D
-3.2%
1Y
-18.9%
544021
₹510.00
Protean eGov Technologies
7D
-10.2%
1Y
-42.7%
HEXT
₹551.10
Hexaware Technologies
7D
-1.0%
1Y
-26.8%
Narrative Update • Aug 22

HEXT: AI Delivery Framework And UK Expansion Will Support Future Upside

Analysts have raised the Hexaware Technologies price target from ₹620.00 to ₹730.00, citing updated assumptions for the discount rate, revenue growth, profit margin, and future P/E multiples in their valuation work. What's in the News for Hexaware Technologies Hexaware Technologies launched the Zero Friction Enterprise delivery framework, which connects its capabilities in modernization, cybersecurity, engineering, operations, quality, and enterprise software into a single system for clients.
TCS
₹2,369.00
Tata Consultancy Services
7D
3.2%
1Y
-23.9%
Narrative Update • Aug 18

TCS: JFK Digital Terminal Partnership Will Drive Future ReRating Potential

Analysts now set a revised fair value price target for Tata Consultancy Services at ₹3,125, compared with the prior ₹3,228, reflecting updated views on discount rate assumptions, revenue, profit margin expectations, and future P/E multiples. What's in the News F1R3FLY Limited joined the Tata Consultancy Services Alliances and Partnerships ecosystem, with both companies working together to deploy F1R3FLY's concurrent computing on the TCS SovereignSecure Cloud to address enterprise cloud data security and compute infrastructure needs.
COFORGE
₹1,988.90
Coforge
7D
5.1%
1Y
13.4%
Narrative Update • Aug 18

COFORGE: AI Expansion And China Entry Will Support Balanced Medium-Term Upside

Analysts have raised their price target for Coforge from ₹1,719.86 to ₹1,904.40, based on updated assumptions regarding fair value, discount rate, revenue growth, profit margin and future P/E. What's in the News for Coforge Coforge launched a new business unit focused on the private equity sector that uses the Coforge Nuuron AI operating system to support portfolio-wide technology and operational programs.
539895
₹22.32
Spice Lounge Food Works
7D
-14.0%
1Y
-54.0%
LTM
₹4,625.00
LTM
7D
2.1%
1Y
-11.8%
Narrative Update • Aug 13

LTM: Sector Tailwinds And Earnings Momentum Will Support Future Upside

Analysts have trimmed their fair value estimate for Latam Airlines to ₹5,688.67 from ₹7,353.07, reflecting lower assumed revenue growth and profit margins as well as a reduced future P/E, even as recent research highlights improving sector conditions after geopolitical de escalation, along with expectations for steady air travel penetration and more rational competition. Analyst Commentary on Latam Airlines Recent Street research on Latam Airlines highlights a broadly constructive tone, with bullish analysts emphasizing both the sector backdrop and company specific attributes.
HCLTECH
₹1,351.40
HCL Technologies
7D
2.7%
1Y
-7.8%
Narrative Update • Aug 12

HCLTECH: AI Data Centres And New Deals Will Support Steady Outlook

Analysts have reduced their fair value estimate for HCL Technologies from about ₹1,551 to around ₹1,517. This reflects updated assumptions for discount rates, revenue growth, profit margins and future P/E multiples.
511144
₹546.10
Axis Solutions
7D
-9.6%
1Y
2,034.0%