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Indian (NIFTY) Software Industry Analysis

UpdatedJan 29, 2026
DataAggregated Company Financials
Companies75
  • 7D1.5%
  • 3M-11.5%
  • 1Y-16.9%
  • YTD-5.3%

Over the last 7 days, the Software industry has risen 1.5%, driven by gains from Tanla Platforms of 12%. Meanwhile, KPIT Technologies actually underperformed within the industry, shrinking 6.0% in the last week. In the past year, the industry is down 17%. Earnings are forecast to grow by 18% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 29 Jan 2026₹2.5t₹525.2b₹74.2b30.7x34.2x4.8x
Sat, 27 Dec 2025₹2.6t₹506.2b₹74.4b36.2x35.5x5.2x
Mon, 24 Nov 2025₹2.7t₹503.6b₹73.9b38.6x36x5.3x
Wed, 22 Oct 2025₹2.7t₹487.3b₹69.0b38.8x38.8x5.5x
Fri, 19 Sep 2025₹2.8t₹485.3b₹69.9b35.8x40.1x5.8x
Sun, 17 Aug 2025₹2.6t₹483.7b₹69.8b38.2x37.7x5.4x
Tue, 15 Jul 2025₹2.8t₹474.6b₹68.9b37.6x40.4x5.9x
Thu, 12 Jun 2025₹2.9t₹485.1b₹71.4b34.4x41.2x6.1x
Sat, 10 May 2025₹2.5t₹477.2b₹67.0b28.9x37.4x5.3x
Mon, 07 Apr 2025₹2.4t₹473.0b₹64.5b29.5x36.7x5x
Wed, 05 Mar 2025₹2.4t₹473.0b₹64.5b28.9x37.6x5.1x
Fri, 31 Jan 2025₹2.8t₹470.4b₹65.9b39.3x43.2x6x
Sun, 29 Dec 2024₹3.5t₹465.6b₹67.4b42.2x51.4x7.4x
Tue, 26 Nov 2024₹3.2t₹466.5b₹70.2b34.4x45.2x6.8x
Thu, 24 Oct 2024₹3.2t₹456.3b₹67.2b35.9x48x7.1x
Sat, 21 Sep 2024₹3.4t₹452.8b₹66.6b38x50.9x7.5x
Mon, 19 Aug 2024₹3.3t₹452.9b₹66.7b38.6x48.9x7.2x
Wed, 17 Jul 2024₹3.4t₹439.4b₹64.4b43.2x52.5x7.7x
Fri, 14 Jun 2024₹2.9t₹438.1b₹64.4b43x45.1x6.6x
Sun, 12 May 2024₹2.7t₹443.5b₹64.5b36.9x41.9x6.1x
Tue, 09 Apr 2024₹2.9t₹432.1b₹62.1b42.2x46.8x6.7x
Thu, 07 Mar 2024₹2.8t₹432.0b₹62.0b40.3x45.8x6.6x
Sat, 03 Feb 2024₹2.8t₹428.8b₹61.2b35.9x45.3x6.5x
Mon, 01 Jan 2024₹2.5t₹411.9b₹53.4b38.2x47.5x6.2x
Wed, 29 Nov 2023₹2.4t₹411.1b₹53.4b36.6x44.5x5.8x
Fri, 27 Oct 2023₹2.3t₹467.2b₹59.7b31.9x38.5x4.9x
Sun, 24 Sep 2023₹2.3t₹458.7b₹57.9b36.1x39.1x4.9x
Tue, 22 Aug 2023₹2.2t₹453.0b₹57.6b35.3x38.3x4.9x
Thu, 20 Jul 2023₹2.1t₹432.7b₹54.3b33.1x39.1x4.9x
Sat, 17 Jun 2023₹2.0t₹428.2b₹53.7b31.6x38.2x4.8x
Mon, 15 May 2023₹1.8t₹424.8b₹52.8b28.9x33.9x4.2x
Wed, 12 Apr 2023₹1.6t₹406.7b₹52.9b24.8x30.7x4x
Fri, 10 Mar 2023₹1.6t₹406.7b₹52.9b24.3x30.8x4x
Sun, 05 Feb 2023₹1.7t₹410.3b₹53.8b28.4x30.7x4x
Price to Earnings Ratio

30.7x


Total Market Cap: ₹1.7tTotal Earnings: ₹53.8bTotal Revenue: ₹410.3bTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Software Industry Price to Earnings3Y Average 41.3x202420252026
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 34.2x which is lower than its 3-year average PE of 41.3x.
  • The 3-year average PS ratio of 5.8x is higher than the industry's current PS ratio of 4.8x.
Past Earnings Growth
  • The earnings for companies in the Software industry have grown 11% per year over the last three years.
  • Revenues for these companies have grown 8.6% 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 Market1.14%
Tech1.95%
Software1.54%
Application Software2.65%
Systems Software-0.36%
Industry PE
  • Investors are most optimistic about the Systems Software industry even though it's trading below its 3-year average PE ratio of 57.4x.
    • Analysts are expecting annual earnings growth of 20.0%, which is higher than its past year's earnings decline of 3.1% per year.
  • Investors are most pessimistic about the Application Software industry, which is trading close to its 3-year average of 34.1x.
Forecasted Growth
  • Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 20% over the next 5 years.
  • This is better than its past earnings decline of 3.1% per year.
  • In contrast, the Application Software industry is expected to see its earnings grow by 16% 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
TANLA Tanla Platforms₹502.4512.1%
+₹7.2b		-7.4%PE13.5x
532407 MosChip Technologies₹206.5016.5%
+₹5.7b		3.2%PE93.1x
CAPILLARY Capillary Technologies India₹637.052.4%
+₹1.2b		n/aPE198.4x
532408 Sigma Advanced Systems₹177.202.1%
+₹634.5m		123.4%PE22.6x
BLACKBUCK BlackBuck₹559.000.5%
+₹543.8m		52.5%PE33.7x

Latest News

BLACKBUCK
₹559.00
BlackBuck
7D
0.5%
1Y
52.5%
543897
₹122.20
Sancode Technologies
7D
36.8%
1Y
107.1%
532407
₹206.50
MosChip Technologies
7D
16.5%
1Y
3.2%
MAPMYINDIA
₹1,306.50
C. E. Info Systems
7D
-2.9%
1Y
-20.8%

MAPMYINDIA: National Geo-Spatial And Tracking Wins Will Support Long-Term Thesis

Narrative Update: C. E.
532466
₹7,833.10
Oracle Financial Services Software
7D
-0.8%
1Y
-12.9%
NEWGEN
₹581.45
Newgen Software Technologies
7D
-10.3%
1Y
-44.6%

NEWGEN: Lending Platform Orders And Partnership Will Support Future Upside

Analysts have trimmed their price target on Newgen Software Technologies from ₹1,300 to ₹1,200, reflecting updated assumptions around slightly slower revenue growth, a modestly lower discount rate, and a higher profit margin outlook supported by a reduced forward P/E multiple. What's in the News A board meeting is scheduled on Jan 20, 2026 to consider and approve unaudited standalone and consolidated financial results for the quarter ended Dec 31, 2025 (company filing).
TANLA
₹502.45
Tanla Platforms
7D
12.1%
1Y
-7.4%
INTELLECT
₹902.95
Intellect Design Arena
7D
-2.2%
1Y
16.3%

INTELLECT: Service Tax Relief Will Support Future Upside Potential

Analysts have trimmed their price target for Intellect Design Arena to ₹1,195.75 from ₹1,222.50, reflecting slightly more conservative assumptions on revenue growth, profit margin and future P/E multiples in their updated models. What's in the News Signed a multi year Purple Fabric powered Governance, Risk & Compliance mandate in Canada with Carte Financial Group, introducing AI led regulatory, onboarding and governance workflows for a regulated wealth management firm (Client Announcements).
KPITTECH
₹1,042.80
KPIT Technologies
7D
-6.0%
1Y
-27.2%

Do KPIT Technologies' (NSE:KPITTECH) Earnings Warrant Your Attention?

Jan 21
Do KPIT Technologies' (NSE:KPITTECH) Earnings Warrant Your Attention?
500408
₹5,333.30
Tata Elxsi
7D
-2.5%
1Y
-13.1%

500408: Long Term Mobility Software Partnerships Will Support A Re Rating

The analyst fair value estimate for Tata Elxsi has increased from ₹5,700 to about ₹6,206. Analysts attribute the new target to updated assumptions for revenue growth, profit margins, and future P/E multiples as the key drivers behind the change.
RATEGAIN
₹576.45
RateGain Travel Technologies
7D
-10.8%
1Y
-18.2%

RATEGAIN: Future Margin Pressure Will Likely Undermine Aggressive Revenue Assumptions

Analysts have lifted their price target on RateGain Travel Technologies from ₹450.00 to ₹600.00, citing updated assumptions that combine a slightly lower discount rate and a higher expected future P/E with materially different views on revenue growth and profit margins. What's in the News Sunlight Air selected RateGain's AirGain platform to gain real time fare intelligence, track pricing across OTAs and airline sites, and support its expansion across Southeast Asia with AI powered route level insights.
532408
₹177.20
Sigma Advanced Systems
7D
2.1%
1Y
123.4%
532326
₹117.35
Intense Technologies
7D
14.2%
1Y
5.3%
540735
₹301.45
IRIS RegTech Solutions
7D
9.0%
1Y
-33.1%
AURIONPRO
₹908.00
Aurionpro Solutions
7D
-4.4%
1Y
-40.6%

AURIONPRO: Upcoming AI Cash Management Wins Will Drive Future Earnings Potential

Analysts have slightly fine tuned their fair value estimate for Aurionpro Solutions to ₹1,570 per share. This reflects marginal adjustments to discount rate, growth, and profitability assumptions while maintaining their overall positive view on the company.