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Indian (NIFTY) Software Industry Analysis

UpdatedJan 01, 2026
DataAggregated Company Financials
Companies75
  • 7D-1.7%
  • 3M-4.2%
  • 1Y-27.2%
  • YTD-26.6%

Over the last 7 days, the Software industry has dropped 1.7%, driven by KPIT Technologies declining 4.4%. On the other hand RateGain Travel Technologies is actually up 8.0%. Overall the industry is down 27% in 12 months. Looking forward, earnings are forecast to grow by 17% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 01 Jan 2026₹2.6t₹506.2b₹74.4b37.4x35.1x5.2x
Sat, 29 Nov 2025₹2.7t₹506.0b₹74.3b40x36.2x5.3x
Mon, 27 Oct 2025₹2.7t₹487.5b₹69.0b39.5x38.9x5.5x
Wed, 24 Sep 2025₹2.8t₹485.2b₹69.9b37.3x39.6x5.7x
Fri, 22 Aug 2025₹2.7t₹485.5b₹69.9b37.9x38.3x5.5x
Sun, 20 Jul 2025₹2.8t₹474.2b₹68.7b37.7x40.4x5.9x
Tue, 17 Jun 2025₹2.9t₹484.4b₹71.2b34.3x41.1x6x
Thu, 15 May 2025₹2.7t₹483.9b₹67.7b31.1x40.2x5.6x
Sat, 12 Apr 2025₹2.3t₹473.0b₹64.5b28.7x36.3x4.9x
Mon, 10 Mar 2025₹2.5t₹473.0b₹64.5b29.2x38.9x5.3x
Wed, 05 Feb 2025₹2.9t₹470.8b₹66.1b37.3x44.1x6.2x
Fri, 03 Jan 2025₹3.5t₹465.6b₹67.4b42.2x51.7x7.5x
Sun, 01 Dec 2024₹3.2t₹466.5b₹70.2b34.7x45.4x6.8x
Tue, 29 Oct 2024₹3.1t₹462.3b₹69.2b35.3x44.7x6.7x
Thu, 26 Sep 2024₹3.4t₹453.4b₹66.6b36.9x50.5x7.4x
Sat, 24 Aug 2024₹3.3t₹452.8b₹66.7b40.6x49.7x7.3x
Mon, 22 Jul 2024₹3.3t₹443.2b₹64.6b42x51x7.4x
Wed, 19 Jun 2024₹3.0t₹438.2b₹64.4b40.4x47.2x6.9x
Fri, 17 May 2024₹2.8t₹445.8b₹63.6b37.4x44x6.3x
Sun, 14 Apr 2024₹2.8t₹432.1b₹62.1b40.2x45.8x6.6x
Tue, 12 Mar 2024₹2.8t₹432.0b₹62.0b40.2x45.7x6.6x
Thu, 08 Feb 2024₹2.9t₹430.4b₹61.7b40.6x46.5x6.7x
Sat, 06 Jan 2024₹2.6t₹411.9b₹53.4b43.4x48.1x6.2x
Mon, 04 Dec 2023₹2.4t₹411.1b₹53.4b39.3x45x5.9x
Wed, 01 Nov 2023₹2.4t₹470.7b₹60.2b34.3x39.1x5x
Fri, 29 Sep 2023₹2.3t₹458.4b₹57.9b35.6x39.6x5x
Sun, 27 Aug 2023₹2.2t₹453.0b₹57.6b33.9x38.9x4.9x
Tue, 25 Jul 2023₹2.1t₹436.0b₹54.8b32.5x38.5x4.8x
Thu, 22 Jun 2023₹2.1t₹432.3b₹54.3b31.5x38.2x4.8x
Sat, 20 May 2023₹1.8t₹427.1b₹52.7b28.3x34.9x4.3x
Mon, 17 Apr 2023₹1.6t₹406.7b₹52.9b24.9x31x4x
Wed, 15 Mar 2023₹1.6t₹406.7b₹52.9b24.9x29.5x3.8x
Fri, 10 Feb 2023₹1.7t₹413.1b₹54.1b28x31.4x4.1x
Sun, 08 Jan 2023₹1.6t₹390.4b₹52.6b31.2x30.2x4.1x
Price to Earnings Ratio

30.2x


Total Market Cap: ₹1.6tTotal Earnings: ₹52.6bTotal Revenue: ₹390.4bTotal 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 35.1x which is lower than its 3-year average PE of 41.2x.
  • The industry is trading close to its 3-year average PS ratio of 5.7x.
Past Earnings Growth
  • The earnings for companies in the Software industry have grown 12% per year over the last three years.
  • Revenues for these companies have grown 9.0% 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 Market0.16%
Tech-2.62%
Software-1.69%
Application Software-1.03%
Systems Software-2.76%
Industry PE
  • Investors are most optimistic about the Systems Software industry even though it's trading below its 3-year average PE ratio of 57.3x.
    • Analysts are expecting annual earnings growth of 17.8%, which is higher than its past year's earnings growth of 6.2% per year.
  • Investors are most pessimistic about the Application Software industry, which is trading close to its 3-year average of 33.9x.
Forecasted Growth
  • Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 18% over the next 5 years.
  • This is better than its past earnings growth rate of 6.2% 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
RATEGAIN RateGain Travel Technologies₹702.008.0%
+₹6.1b		-3.0%PE39.6x
MAPMYINDIA C. E. Info Systems₹1.73k1.8%
+₹1.6b		5.5%PE65x
INFOBEAN InfoBeans Technologies₹811.107.0%
+₹1.3b		91.8%PE31x
BLACKBUCK BlackBuck₹674.550.6%
+₹697.5m		49.5%PE40.7x
EXCELSOFT Excelsoft Technologies₹90.872.9%
+₹295.8m		n/aPE22.5x

Latest News

INFOBEAN
₹811.10
InfoBeans Technologies
7D
7.0%
1Y
91.8%

InfoBeans Technologies Limited's (NSE:INFOBEAN) 29% Price Boost Is Out Of Tune With Earnings

Dec 28
InfoBeans Technologies Limited's (NSE:INFOBEAN) 29% Price Boost Is Out Of Tune With Earnings
INTELLECT
₹947.75
Intellect Design Arena
7D
-6.2%
1Y
-0.9%

We Like These Underlying Return On Capital Trends At Intellect Design Arena (NSE:INTELLECT)

Dec 27
We Like These Underlying Return On Capital Trends At Intellect Design Arena (NSE:INTELLECT)
BSOFT
₹432.00
Birlasoft
7D
-3.9%
1Y
-23.5%

BSOFT: Modest Margin Outlook Will Restrict Future Share Price Upside

Analysts have nudged their price target for Birlasoft modestly higher to ₹318, citing slightly improved assumptions for long term revenue growth, profit margins, and a marginally lower discount rate that together support a firmer valuation multiple. What's in the News Company issues earnings guidance for the third and fourth quarter of 2025, targeting sequential revenue growth in both periods (company guidance).
UNIECOM
₹118.97
Unicommerce eSolutions
7D
1.9%
1Y
-30.8%

UNIECOM: New Enterprise Wins And Fraud Reduction Tools Will Drive Returns

Analysts have nudged their price target for Unicommerce eSolutions slightly higher to ₹172.00, reflecting modestly lower perceived risk and sustained expectations for revenue growth and solid profit margins. What's in the News Raymond Lifestyle Limited has adopted Unicommerce's Uniware platform to centralize order, inventory, and delivery management across marketplaces and brand websites, improving automation, reducing errors, and streamlining returns processing (client announcement).
SASKEN
₹1,523.80
Sasken Technologies
7D
1.3%
1Y
-30.4%
AURIONPRO
₹1,060.40
Aurionpro Solutions
7D
-5.9%
1Y
-42.1%

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.
KPITTECH
₹1,163.20
KPIT Technologies
7D
-4.4%
1Y
-21.6%

KPITTECH: Upcoming Board Decisions On Acquisitions Will Drive Bullish Outlook

Analysts have slightly raised their price target for KPIT Technologies to bring it more in line with their unchanged fair value estimate of ₹1,311.76 per share, reflecting marginally higher discount rate assumptions and steady expectations for revenue growth, profit margins, and future valuation multiples. What's in the News Board meeting scheduled for November 10, 2025 to consider and approve the unaudited financial results for the quarter and half year ended September 30, 2025, along with the limited review report (company filing) Board meeting set for October 28, 2025 at 10:05 IST to evaluate the proposed acquisition of Caresoft, signaling potential inorganic expansion in automotive engineering services (company filing) On October 28, 2025 the board will also review planned strategic investments in N-Dream AG and Helm Ai, underscoring KPIT Technologies focus on gaming and autonomous software capabilities (company filing) The October 28, 2025 agenda includes consideration of granting 8,000 stock options to eligible employees under the KPIT Technologies Limited Restricted Stock Unit Plan 2022, highlighting continued use of equity-based incentives (company filing) Valuation Changes Fair Value Estimate is unchanged at ₹1,311.76 per share, indicating no reassessment of intrinsic value.
EXCELSOFT
₹90.87
Excelsoft Technologies
7D
2.9%
1Y
n/a
TANLA
₹521.30
Tanla Platforms
7D
-4.8%
1Y
-30.7%

TANLA: Interim Dividend Decision Will Drive Upside Into Upcoming Board Meeting

Analysts have modestly reiterated their outlook on Tanla Platforms, keeping the fair value estimate unchanged at ₹768.00 per share, as minor tweaks to the discount rate and long term assumptions were not enough to justify a revision in the target price. What's in the News Board meeting scheduled for October 17, 2025, to review unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025 (company filing) Consideration of an interim dividend for FY 2025-26 included on the October 17, 2025, board meeting agenda (company filing) Valuation Changes Fair Value Estimate: unchanged at ₹768.00 per share, reflecting negligible impact from updated assumptions Discount Rate: risen slightly to 15.18 percent from 15.12 percent, implying a marginally higher required return Revenue Growth: effectively unchanged at about 11.25 percent, indicating no material shift in top line expectations Net Profit Margin: broadly stable at around 12.49 percent, with no significant revision to profitability assumptions Future P/E: edged up slightly to about 20.92x from 20.89x, signaling a marginally higher implied earnings multiple
RATEGAIN
₹702.00
RateGain Travel Technologies
7D
8.0%
1Y
-3.0%

RATEGAIN: AI Travel Solutions Will Drive Long Term Upside Potential

Analysts have raised their price target on RateGain Travel Technologies from ₹690 to ₹875, citing sharply upgraded long term revenue growth expectations despite slightly lower margin and discount rate assumptions. What's in the News Launched Rev-AI Clarity, an intelligent revenue assistant for car rental operators that converts complex demand and pricing data into conversational insights and decision ready recommendations (company announcement) Renewed a long term AirGain pricing intelligence contract with Singapore Airlines, extending a seven year partnership to support real time fare monitoring and revenue optimization (client announcement) Formed multiple strategic hotel tech partnerships, including integrations with Arpon Enterprise, HotelIQ, FLYR, and Oracle OPERA Cloud, to embed RateGain channel management and rate intelligence tools directly into partner platforms (client announcements) Expanded its relationship with Royal Orchid Hotels, which adopted RateGain's AI first UNO suite across its growing portfolio to boost direct bookings and unify commercial operations (client announcement) Issued fiscal 2026 guidance targeting approximately 55 to 60 percent year on year revenue growth over fiscal 2025, reflecting confidence in post acquisition scaling (corporate guidance) Valuation Changes Consensus Analyst Price Target has risen significantly from ₹690 to ₹875, implying a materially higher assessed fair value for RateGain Travel Technologies.
500408
₹5,211.95
Tata Elxsi
7D
-3.1%
1Y
-22.2%

500408: Higher Revenue Expectations May Fail To Offset Margin Pressure

Narrative Update on Tata Elxsi Analysts have raised their fair value estimate for Tata Elxsi from ₹3,800 to ₹4,000. This reflects improved expectations for revenue growth, despite slightly lower margin assumptions and a modestly higher future price to earnings multiple.
BLACKBUCK
₹674.55
BlackBuck
7D
0.6%
1Y
49.5%

BlackBuck (NSE:BLACKBUCK) Has A Rock Solid Balance Sheet

Dec 09
BlackBuck (NSE:BLACKBUCK) Has A Rock Solid Balance Sheet
531161
₹261.10
ABM Knowledgeware
7D
3.5%
1Y
33.6%
MAPMYINDIA
₹1,730.70
C. E. Info Systems
7D
1.8%
1Y
5.5%

Earnings Miss: C. E. Info Systems Limited Missed EPS By 63% And Analysts Are Revising Their Forecasts

Nov 13
Earnings Miss: C. E. Info Systems Limited Missed EPS By 63% And Analysts Are Revising Their Forecasts
NEWGEN
₹834.90
Newgen Software Technologies
7D
-1.8%
1Y
-51.4%

Solid Earnings May Not Tell The Whole Story For Newgen Software Technologies (NSE:NEWGEN)

Nov 09
Solid Earnings May Not Tell The Whole Story For Newgen Software Technologies (NSE:NEWGEN)
532466
₹7,672.00
Oracle Financial Services Software
7D
-1.4%
1Y
-39.3%