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Indian (NIFTY) Software Industry Analysis

UpdatedApr 06, 2026
DataAggregated Company Financials
Companies76
  • 7D2.8%
  • 3M-23.5%
  • 1Y-16.8%
  • YTD-22.2%

The Software industry is up 2.8% in the last week, with Oracle Financial Services Software up 4.3%. However, the industry is down 17% over the past year. As for the next few years, earnings are expected to grow by 23% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 07 Apr 2026₹2.2t₹552.2b₹77.7b24.7x27.8x3.9x
Thu, 05 Mar 2026₹2.2t₹551.0b₹77.7b24.4x28.1x4x
Sat, 31 Jan 2026₹2.5t₹526.8b₹73.9b31.4x34x4.8x
Mon, 29 Dec 2025₹2.6t₹506.2b₹74.4b36.2x35.5x5.2x
Wed, 26 Nov 2025₹2.7t₹506.0b₹74.3b38.4x35.8x5.3x
Fri, 24 Oct 2025₹2.7t₹487.3b₹69.0b39.1x38.7x5.5x
Sun, 21 Sep 2025₹2.8t₹485.2b₹69.9b35.8x40x5.8x
Tue, 19 Aug 2025₹2.7t₹483.4b₹69.8b38.8x38x5.5x
Thu, 17 Jul 2025₹2.8t₹474.6b₹68.9b38.4x41x6x
Sat, 14 Jun 2025₹2.9t₹484.4b₹71.2b34.4x40.5x6x
Mon, 12 May 2025₹2.5t₹481.5b₹67.3b29.3x37.3x5.2x
Wed, 09 Apr 2025₹2.3t₹473.0b₹64.5b29x36x4.9x
Fri, 07 Mar 2025₹2.5t₹473.0b₹64.5b29.6x39.3x5.4x
Sun, 02 Feb 2025₹2.9t₹470.8b₹66.1b37.3x43.6x6.1x
Tue, 31 Dec 2024₹3.5t₹465.6b₹67.4b42.2x51.8x7.5x
Thu, 28 Nov 2024₹3.2t₹466.5b₹70.2b34.6x45.8x6.9x
Sat, 26 Oct 2024₹3.1t₹462.6b₹69.5b34.7x44.2x6.6x
Mon, 23 Sep 2024₹3.4t₹452.8b₹66.6b38x50.9x7.5x
Wed, 21 Aug 2024₹3.3t₹452.8b₹66.7b41x49.7x7.3x
Fri, 19 Jul 2024₹3.4t₹440.1b₹64.5b42.7x52x7.6x
Sun, 16 Jun 2024₹3.0t₹438.1b₹64.4b42.4x46.6x6.8x
Tue, 14 May 2024₹2.7t₹444.1b₹63.4b37.1x42.8x6.1x
Thu, 11 Apr 2024₹2.9t₹432.1b₹62.1b40.7x46.4x6.7x
Sat, 09 Mar 2024₹2.9t₹432.0b₹62.0b40.8x46.4x6.7x
Mon, 05 Feb 2024₹2.8t₹429.9b₹61.4b35.9x45.1x6.4x
Wed, 03 Jan 2024₹2.5t₹411.9b₹53.4b40.1x47.6x6.2x
Fri, 01 Dec 2023₹2.4t₹411.1b₹53.4b36.5x44.9x5.8x
Sun, 29 Oct 2023₹2.3t₹470.8b₹60.2b33.6x38.8x5x
Tue, 26 Sep 2023₹2.3t₹458.7b₹57.9b36.3x39x4.9x
Thu, 24 Aug 2023₹2.2t₹453.0b₹57.6b34.4x38.6x4.9x
Sat, 22 Jul 2023₹2.1t₹434.8b₹54.6b32.2x38.5x4.8x
Mon, 19 Jun 2023₹2.0t₹432.0b₹54.3b31.1x37.8x4.7x
Wed, 17 May 2023₹1.8t₹424.8b₹52.8b30.1x34.3x4.3x
Fri, 14 Apr 2023₹1.6t₹406.7b₹52.9b24.9x31x4x
Price to Earnings Ratio

31x


Total Market Cap: ₹1.6tTotal Earnings: ₹52.9bTotal Revenue: ₹406.7bTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Software Industry Price to Earnings3Y Average 41.2x202420252026
Current Industry PE
  • Investors are pessimistic on the Indian Software 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 27.8x which is lower than its 3-year average PE of 41.2x.
  • The 3-year average PS ratio of 5.8x is higher than the industry's current PS ratio of 3.9x.
Past Earnings Growth
  • The earnings for companies in the Software industry have grown 14% per year over the last three years.
  • Revenues for these companies have grown 11% 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 Market0.0067%
Tech2.41%
Software2.81%
Systems Software4.68%
Application Software1.95%
Industry PE
  • Investors are most optimistic about the Systems Software industry even though it's trading below its 3-year average PE ratio of 56.8x.
    • Analysts are expecting annual earnings growth of 21.8%, which is higher than its past year's earnings decline of 12.2% per year.
  • Investors are most pessimistic about the Application Software industry, which is trading below its 3-year average of 34.4x.
Forecasted Growth
  • Analysts are most optimistic on the Application Software industry, expecting annual earnings growth of 24% over the next 5 years.
  • This is better than its past earnings growth rate of 14% per year.
  • In contrast, the Systems Software industry is expected to see its earnings grow by 22% 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
532466 Oracle Financial Services Software₹7.02k4.3%
+₹25.3b		-3.8%PE25x
500408 Tata Elxsi₹4.27k7.4%
+₹18.4b		-11.3%PE45.8x
KPITTECH KPIT Technologies₹694.859.5%
+₹16.4b		-34.8%PE26.3x
BSOFT Birlasoft₹364.759.7%
+₹9.0b		5.1%PE21.9x
INTELLECT Intellect Design Arena₹652.309.0%
+₹7.5b		4.4%PE25.3x

Latest News

NEWGEN
₹442.85
Newgen Software Technologies
7D
10.1%
1Y
-47.4%

NEWGEN: Middle East Contracts And APAC Partnership Will Drive Future Upside

Analysts are maintaining their price target for Newgen Software Technologies at ₹1,200, indicating only minor adjustments to assumptions around discount rate, revenue growth, profit margins and future P/E, rather than a change in the overall view. What's in the News Newgen Software Technologies L.L.C, the Dubai based subsidiary, signed a software license, implementation and support contract with a leading bank in Kuwait, valued at US$2.22 million (₹205.4 million) over 2 years.
INTELLECT
₹652.30
Intellect Design Arena
7D
9.0%
1Y
4.4%

INTELLECT: Future Upside Will Be Driven By AI-Led Advisory And Banking Platforms

Analysts have lowered their price target on Intellect Design Arena from ₹1,000 to ₹763, citing updated assumptions around fair value, discount rate, revenue growth, profit margin, and future P/E multiples. What's in the News The board has approved a 50:50 joint venture with UK-based Fintel PLC to form a new company in the UK, with a five-member board that will include two nominees each from Intellect Design Arena and Fintel plus one independent director, subject to regulatory clearances (Key Developments).
532303
₹4.00
Integrated Hitech
7D
-14.2%
1Y
-40.3%
500408
₹4,272.20
Tata Elxsi
7D
7.4%
1Y
-11.3%

500408: New Auto Software Alliances Will Test Fairly Priced Future Earnings Multiple

Analysts have reduced the fair value estimate for Tata Elxsi from ₹4,200 to ₹3,700, reflecting updated views on discount rates, revenue growth, profit margins, and a lower future P/E multiple. What's in the News Tata Elxsi and Terumo Corporation inaugurated the Terumo Tata Elxsi Offshore Development Center to support development of cardiac and vascular solutions, combining design, engineering, regulatory and AI capabilities for global markets (Key Developments).
KPITTECH
₹694.85
KPIT Technologies
7D
9.5%
1Y
-34.8%
RATEGAIN
₹498.60
RateGain Travel Technologies
7D
13.8%
1Y
13.6%

RATEGAIN: AI Commerce And Payments Platform Expansion Will Support Future Upside

Analysts have maintained their overall fair value estimate for RateGain Travel Technologies at ₹719.88, while making only marginal tweaks to inputs such as the discount rate and future P/E assumptions. This has led to a largely unchanged price target rationale.
TANLA
₹421.05
Tanla Platforms
7D
11.6%
1Y
-3.1%

OTT Pricing And Authentication Shifts Will Pressure Messaging Economics Yet Leave Long Term Upside

Catalysts About Tanla Platforms Tanla Platforms provides communications platform as a service and related messaging solutions to enterprises and telcos. What are the underlying business or industry changes driving this perspective?
BSOFT
₹364.75
Birlasoft
7D
9.7%
1Y
5.1%

BSOFT: Lower Future P E And Trimmed Fair Value Will Restrain Upside

Analysts have trimmed their fair value estimate for Birlasoft from ₹318 to about ₹304.51. Modest adjustments to the discount rate, revenue growth and future P/E expectations are only partly offset by a slightly higher projected profit margin.
532466
₹7,017.30
Oracle Financial Services Software
7D
4.3%
1Y
-3.8%
532271
₹2.00
Orchasp
7D
-2.4%
1Y
-38.7%
543897
₹265.60
Sancode Technologies
7D
-2.0%
1Y
551.8%
539724
₹112.55
HyperSoft Technologies
7D
-5.4%
1Y
454.2%
512093
₹3.19
Cranes Software International
7D
-3.9%
1Y
-16.1%
BLACKBUCK
₹569.85
BlackBuck
7D
-1.2%
1Y
46.5%
532332
₹114.00
Cura Technologies
7D
-2.7%
1Y
214.0%
GSTL
₹36.45
Globesecure Technologies
7D
-1.6%
1Y
140.6%