Mphasis Limited

NSEI:MPHASIS Stock Report

Market Cap: ₹545.9b

Mphasis Valuation

Is MPHASIS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MPHASIS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MPHASIS (₹2883.55) is trading above our estimate of fair value (₹1578.61)

Significantly Below Fair Value: MPHASIS is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MPHASIS?

Key metric: As MPHASIS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MPHASIS. This is calculated by dividing MPHASIS's market cap by their current earnings.
What is MPHASIS's PE Ratio?
PE Ratio34.2x
Earnings₹15.95b
Market Cap₹545.86b

Price to Earnings Ratio vs Peers

How does MPHASIS's PE Ratio compare to its peers?

The above table shows the PE ratio for MPHASIS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average61.3x
COFORGE Coforge
69.7x27.0%₹556.0b
TATATECH Tata Technologies
59x16.6%₹381.8b
PERSISTENT Persistent Systems
69.1x20.4%₹851.5b
TECHM Tech Mahindra
47.2x24.9%₹1.5t
MPHASIS Mphasis
34.2x13.7%₹545.9b

Price-To-Earnings vs Peers: MPHASIS is good value based on its Price-To-Earnings Ratio (34.2x) compared to the peer average (61.3x).

Price to Earnings Ratio vs Industry

How does MPHASIS's PE Ratio compare vs other companies in the IN IT Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
GTL GTL
1.1xn/aUS$22.05m
517429 Athena Global Technologies
0.6xn/aUS$15.78m
509040 Netlink Solutions (India)
3.2xn/aUS$5.10m
512341 CES
0.05xn/aUS$130.33k
No more companies available in this PE range
MPHASIS 34.2xIndustry Avg. 37.0xNo. of Companies18PE020406080100+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MPHASIS is good value based on its Price-To-Earnings Ratio (34.2x) compared to the Indian IT industry average (36.3x).

Price to Earnings Ratio vs Fair Ratio

What is MPHASIS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MPHASIS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio34.2x
Fair PE Ratio41x

Price-To-Earnings vs Fair Ratio: MPHASIS is good value based on its Price-To-Earnings Ratio (34.2x) compared to the estimated Fair Price-To-Earnings Ratio (41x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MPHASIS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹2,883.55
₹3,104.50
+7.7%
12.8%₹3,800.00₹2,060.00n/a30
Nov ’25₹2,894.15
₹3,084.13
+6.6%
13.7%₹3,800.00₹2,060.00n/a31
Oct ’25₹3,015.60
₹2,949.03
-2.2%
13.1%₹3,800.00₹2,060.00n/a31
Sep ’25₹3,104.95
₹2,817.55
-9.3%
16.5%₹3,780.00₹1,460.00n/a31
Aug ’25₹2,855.00
₹2,768.00
-3.0%
16.0%₹3,780.00₹1,460.00n/a30
Jul ’25₹2,494.90
₹2,460.93
-1.4%
11.7%₹2,900.00₹1,460.00n/a30
Jun ’25₹2,284.10
₹2,452.52
+7.4%
12.4%₹3,000.00₹1,460.00n/a31
May ’25₹2,314.85
₹2,462.77
+6.4%
12.6%₹3,000.00₹1,460.00n/a30
Apr ’25₹2,461.75
₹2,501.57
+1.6%
13.4%₹3,030.00₹1,460.00n/a30
Mar ’25₹2,617.25
₹2,501.20
-4.4%
13.9%₹3,030.00₹1,460.00n/a30
Feb ’25₹2,600.15
₹2,489.76
-4.2%
13.4%₹3,000.00₹1,460.00n/a29
Jan ’25₹2,736.85
₹2,348.48
-14.2%
13.6%₹2,850.00₹1,460.00n/a29
Dec ’24₹2,375.20
₹2,307.11
-2.9%
13.7%₹2,850.00₹1,460.00n/a28
Nov ’24₹2,142.15
₹2,307.11
+7.7%
13.7%₹2,850.00₹1,460.00₹2,894.1528
Oct ’24₹2,376.60
₹2,334.07
-1.8%
14.1%₹2,810.00₹1,460.00₹3,015.6028
Sep ’24₹2,433.20
₹2,270.33
-6.7%
14.6%₹2,810.00₹1,500.00₹3,104.9527
Aug ’24₹2,294.60
₹2,197.54
-4.2%
14.1%₹2,720.00₹1,500.00₹2,855.0028
Jul ’24₹1,895.05
₹1,974.70
+4.2%
13.0%₹2,570.00₹1,510.00₹2,494.9027
Jun ’24₹1,977.35
₹1,987.63
+0.5%
12.6%₹2,570.00₹1,550.00₹2,284.1027
May ’24₹1,814.45
₹2,011.85
+10.9%
12.2%₹2,600.00₹1,550.00₹2,314.8526
Apr ’24₹1,795.75
₹2,163.92
+20.5%
13.0%₹2,820.00₹1,640.00₹2,461.7525
Mar ’24₹2,060.40
₹2,246.46
+9.0%
10.2%₹2,820.00₹1,705.00₹2,617.2526
Feb ’24₹2,072.15
₹2,335.20
+12.7%
14.9%₹3,630.00₹1,705.00₹2,600.1530
Jan ’24₹1,972.80
₹2,450.90
+24.2%
12.9%₹3,630.00₹1,780.00₹2,736.8529
Dec ’23₹2,135.20
₹2,444.34
+14.5%
13.3%₹3,630.00₹1,780.00₹2,375.2029
Nov ’23₹2,011.30
₹2,500.77
+24.3%
15.5%₹3,630.00₹1,780.00₹2,142.1530

Analyst Forecast: Target price is less than 20% higher than the current share price.

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