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Indian (NIFTY) IT Industry Analysis

UpdatedMar 27, 2026
DataAggregated Company Financials
Companies161
  • 7D2.8%
  • 3M-24.4%
  • 1Y-25.1%
  • YTD-23.6%

Over the last 7 days, the IT industry has remained flat. As for the longer term, the industry has declined 25% in the last year. Earnings are forecast to grow by 10% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 27 Mar 2026₹25.2t₹9.0t₹1.3t19.9x19.4x2.8x
Sun, 22 Feb 2026₹27.5t₹8.9t₹1.3t22x21.4x3.1x
Tue, 20 Jan 2026₹33.0t₹8.9t₹1.3t24.3x25.8x3.7x
Thu, 18 Dec 2025₹33.0t₹8.7t₹1.3t25.3x25.1x3.8x
Sat, 15 Nov 2025₹31.5t₹8.7t₹1.3t26.9x24.2x3.6x
Mon, 13 Oct 2025₹30.9t₹8.6t₹1.3t27.7x23.9x3.6x
Wed, 10 Sep 2025₹30.6t₹8.5t₹1.3t26.4x23.8x3.6x
Fri, 08 Aug 2025₹30.2t₹8.5t₹1.3t27.1x23.6x3.6x
Sun, 06 Jul 2025₹34.0t₹8.3t₹1.3t30x27.2x4.1x
Tue, 03 Jun 2025₹32.9t₹8.3t₹1.3t28.5x26.3x3.9x
Thu, 01 May 2025₹31.9t₹8.3t₹1.2t26.4x25.5x3.8x
Sat, 29 Mar 2025₹33.0t₹8.2t₹1.3t27.1x26.3x4x
Mon, 24 Feb 2025₹36.1t₹8.3t₹1.3t29x28.7x4.4x
Wed, 22 Jan 2025₹37.1t₹8.1t₹1.2t35.4x29.9x4.6x
Fri, 20 Dec 2024₹39.8t₹8.0t₹1.2t37.1x33.1x5x
Sun, 17 Nov 2024₹37.9t₹8.0t₹1.2t34.5x31.6x4.8x
Tue, 15 Oct 2024₹38.0t₹7.9t₹1.2t41.4x32.4x4.8x
Thu, 12 Sep 2024₹38.9t₹7.8t₹1.2t40.6x33.3x5x
Sat, 10 Aug 2024₹36.0t₹7.8t₹1.2t38.8x30.9x4.6x
Mon, 08 Jul 2024₹34.7t₹7.7t₹1.1t37.4x30.4x4.5x
Wed, 05 Jun 2024₹30.5t₹7.7t₹1.1t29.9x26.6x3.9x
Fri, 03 May 2024₹31.5t₹7.7t₹1.1t38.3x27.8x4.1x
Sun, 31 Mar 2024₹32.6t₹7.7t₹1.1t32.7x29.3x4.2x
Tue, 27 Feb 2024₹34.8t₹7.7t₹1.1t37x31.4x4.5x
Thu, 25 Jan 2024₹34.5t₹7.8t₹1.1t40.8x30.2x4.4x
Sat, 23 Dec 2023₹33.6t₹7.8t₹1.1t41.8x29.4x4.3x
Mon, 20 Nov 2023₹30.2t₹7.7t₹1.1t37.3x26.6x3.9x
Wed, 18 Oct 2023₹29.9t₹7.6t₹1.1t37.5x26.3x3.9x
Fri, 15 Sep 2023₹30.6t₹7.6t₹1.1t36.8x27.2x4x
Sun, 13 Aug 2023₹28.8t₹7.6t₹1.1t37.7x25.7x3.8x
Tue, 11 Jul 2023₹27.5t₹7.4t₹1.1t32.3x25x3.7x
Thu, 08 Jun 2023₹27.5t₹7.4t₹1.1t30.9x24.9x3.7x
Sat, 06 May 2023₹26.5t₹7.4t₹1.1t25.9x24x3.6x
Mon, 03 Apr 2023₹27.1t₹7.1t₹1.1t23.9x25.1x3.8x
Price to Earnings Ratio

25.1x


Total Market Cap: ₹27.1tTotal Earnings: ₹1.1tTotal Revenue: ₹7.1tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian IT Industry Price to Earnings3Y Average 27.2x202420252026
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 19.4x which is lower than its 3-year average PE of 27.2x.
  • The 3-year average PS ratio of 4.1x is higher than the industry's current PS ratio of 2.8x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 6.3% per year over the last three years.
  • Revenues for these companies have grown 8.4% 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 Market1.06%
Tech2.51%
IT2.83%
Data Processing Services4.51%
IT Consulting2.84%
Internet Services and Infrastructure-1.77%
Industry PE
  • Investors are most optimistic about the Internet Services and Infrastructure industry which is trading above its 3-year average PE ratio of 96.1x.
    • 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 27.2x.
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 better than its past earnings growth rate of 11% per year.
  • In contrast, the IT Consulting 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?

CompanyLast Price7D1YValuation
INFY Infosys₹1.28k4.8%
+₹236.2b		-20.2%PE17.2x
HCLTECH HCL Technologies₹1.38k5.3%
+₹188.0b		-15.3%PE21.1x
TCS Tata Consultancy Services₹2.38k0.9%
+₹77.4b		-34.9%PE18x
TECHM Tech Mahindra₹1.41k5.1%
+₹60.1b		-1.1%PE27x
PERSISTENT Persistent Systems₹4.93k7.1%
+₹48.7b		-12.6%PE42.5x

Latest News

INFY
₹1,279.10
Infosys
7D
4.8%
1Y
-20.2%
HCLTECH
₹1,381.30
HCL Technologies
7D
5.3%
1Y
-15.3%

AI Factory And Data Intelligence Expansion Will Reshape Long Term Prospects

Catalysts About HCL Technologies HCL Technologies is a global IT services and software company providing IT and business services, engineering and R&D, and software products to clients across industries and geographies. What are the underlying business or industry changes driving this perspective?
PERSISTENT
₹4,928.80
Persistent Systems
7D
7.1%
1Y
-12.6%
COFORGE
₹1,163.10
Coforge
7D
6.5%
1Y
-28.3%

COFORGE: AI Platforms And Data Capabilities Will Drive Bullish Repricing

Analysts have trimmed Coforge's fair value estimate slightly from ₹2,500 to ₹2,440, reflecting updated assumptions around revenue growth, profit margins, the discount rate, and a modest change in expected future P/E levels. What's in the News Coforge announced advances in its Forge X platform, an AI native engineering and delivery platform built on autonomous AI agents across the full software development lifecycle, designed to support complex technology transformations at scale (Key Developments).
TCS
₹2,377.40
Tata Consultancy Services
7D
0.9%
1Y
-34.9%

TCS: AI Collaborations And Special Dividend Will Support Future Upside

Analysts have reduced their price target for Tata Consultancy Services by about ₹100 to reflect slightly softer revenue growth expectations, a marginally lower discount rate, and a small uplift in projected profit margins and future P/E multiples. What's in the News TCS declared a special dividend of ₹46 per equity share, with a record date of January 17, 2026, and dividend payout scheduled for February 3, 2026.
LTM
₹4,292.90
LTM
7D
2.2%
1Y
-7.8%
532175
₹815.95
Cyient
7D
-1.8%
1Y
-36.3%

532175: Data Partnership And Leadership Shift Will Support Stronger Long Term Outlook

Analysts have trimmed their fair value estimate for Cyient from ₹1,601.59 to ₹1,558.62 as they factor in a slightly higher discount rate, a modestly higher revenue growth assumption of 13.28%, an improved profit margin outlook of 11.04% and a lower future P/E of 22.95x. What's in the News Cyient announced a partnership with Prospecta to combine Cyient's engineering and asset lifecycle expertise with Prospecta's cloud-native master data management and data governance platform, targeting unified, AI-ready master data for large industrial operations (Key Developments).
TECHM
₹1,408.50
Tech Mahindra
7D
5.1%
1Y
-1.1%

TECHM: AI And Telecom Partnerships Will Support Medium Term Upside Potential

Analysts have increased Tech Mahindra's fair value estimate from ₹1,577.74 to ₹1,686.33, citing updated assumptions around revenue growth, profit margins, a slightly adjusted discount rate, and a modestly lower future P/E multiple. Analyst Commentary Recent changes to Tech Mahindra's fair value estimate reflect a mix of optimism and caution around how the company can execute on its revenue, profitability, and valuation assumptions over time.
504067
₹535.15
Zensar Technologies
7D
-4.2%
1Y
-22.2%

504067: Long Term Upside Will Depend On US$210 Million Deal Execution

Analysts have adjusted their price target on Zensar Technologies from ₹1,106 to ₹1,000, linking the change to updated assumptions for discount rate, revenue growth, profit margin, and future P/E, while continuing to view the stock from a long-term earnings perspective. What's in the News Zensar Technologies secured a 5.5-year framework deal with an expected revenue of US$210 million from a large financial company, focused on rethinking work delivery and using AI led automation to improve efficiencies across the enterprise (Key Developments).
SONATSOFTW
₹227.75
Sonata Software
7D
-1.8%
1Y
-36.1%
RSYSTEMS
₹255.65
R Systems International
7D
-3.2%
1Y
-23.6%
526299
₹2,132.75
Mphasis
7D
4.3%
1Y
-15.6%

AI Modernization Pipeline Will Shape Banking Exposure And Margin Stability

Catalysts About Mphasis Mphasis is an IT services company that provides application, infrastructure and AI led solutions to global clients, with a large presence in banking, financial services and insurance. What are the underlying business or industry changes driving this perspective?
SAHANA
₹870.35
Sahana System
7D
-11.1%
1Y
-25.1%
539895
₹26.28
Spice Lounge Food Works
7D
-6.8%
1Y
129.5%
506109
₹241.90
Genesys International
7D
-10.4%
1Y
-66.9%
500463
₹479.10
Black Box
7D
-4.3%
1Y
31.7%