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Last Updated: April 2, 2026, 3:47 am
Author: Getaka|Social: XLinkedIn

Tech Mahindra Ltd: Intrinsic Value & Share Price Analysis

Fair Value

₹968.71Overvalued by 31.00%vs CMP ₹1,404.00

P/E (28.6) × ROE (14.6%) × BV (₹281.00) × DY (3.20%)

₹592.03Overvalued by 57.83%vs CMP ₹1,404.00
MoS: -137.2% (Negative)Confidence: 68/100 (Moderate)Models: All 9: Overvalued
ModelCategoryValueWeightSignal
PE-ROEEarnings₹932.0022%Over (-33.6%)
Graham NumberEarnings₹546.3416%Over (-61.1%)
Earnings PowerEarnings₹323.9013%Over (-76.9%)
DCFCash Flow₹454.2213%Over (-67.6%)
Net Asset ValueAssets₹280.607%Over (-80%)
EV/EBITDAEnterprise₹879.589%Over (-37.4%)
Earnings YieldEarnings₹472.107%Over (-66.4%)
ROCE CapitalReturns₹521.679%Over (-62.8%)
Revenue MultipleRevenue₹540.595%Over (-61.5%)
Consensus (9 models)₹592.03100%Overvalued

PE-ROE · Graham · EPV · DCF · NAV · EV/EBITDA · DDM · Earnings Yield · ROCE Capital · Revenue Multiple | CoE: 12% · Terminal: 4% · EPS CAGR: -3.8%

*Investments are subject to market risks

Investment Snapshot

64
Tech Mahindra Ltd scores 64/100 (Average)
Based on 5 dimensions: health, institutional flow, earnings quality, momentum, and peer comparison
Stock Health81/100 · Strong
ROCE 18.6% GoodROE 14.6% GoodD/E 0.06 Low debtInterest Coverage 0.0x RiskyProfitable 5/5 years Consistent
Smart Money45/100 · Moderate
FII holding down -5.01% (6mo) SellingDII holding up 5.66% MF buyingPromoter holding at 35.0% Stable
Earnings Quality40/100 · Moderate
OPM contracting (17% → 11%) Declining
Quarterly Momentum68/100 · Strong
Revenue (4Q): +5% YoY GrowingProfit (4Q): +22% YoY Positive
Industry Rank75/100 · Strong
P/E 28.6 vs industry 98.1 Cheaper than peersROCE 18.6% vs industry 14.9% Above peers3Y sales CAGR: 6% Slow

Weights: Health 30% · Earnings Quality 25% · Momentum 20% · Industry Rank 15% · Smart Money 10%. Scores are computed from reported financials and recalculated daily. Not investment advice.

Share Price and Basic Stock Data

Last Updated: April 2, 2026, 3:47 am

Market Cap 1,37,619 Cr.
Current Price 1,404
Intrinsic Value₹592.03
High / Low 1,854/1,209
Stock P/E28.6
Book Value 281
Dividend Yield3.20 %
ROCE18.6 %
ROE14.6 %
Face Value 5.00
PEG Ratio-7.55

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for Tech Mahindra Ltd

Competitors

Stock Name ⇩Market Cap ⇩Current Price ⇩High / Low ⇩Stock P/E ⇩Book Value ⇩Dividend Yield ⇩ROCE ⇩ROE ⇩Face Value ⇩
Tech Mahindra Ltd 1,37,619 Cr. 1,404 1,854/1,20928.6 2813.20 %18.6 %14.6 % 5.00
LTIMindtree Ltd 1,35,243 Cr. 4,559 6,430/3,80226.1 7891.43 %27.6 %21.5 % 1.00
Persistent Systems Ltd 79,650 Cr. 5,049 6,599/4,14944.3 4530.69 %30.4 %24.1 % 5.00
Wipro Ltd 2,00,517 Cr. 191 273/18615.1 81.65.75 %19.5 %16.6 % 2.00
Oracle Financial Services Software Ltd 59,906 Cr. 6,883 9,950/6,23224.5 8473.85 %40.6 %29.3 % 5.00
Industry Average17,316.11 Cr418.4898.13120.780.77%14.90%21.00%6.77

All Competitor Stocks of Tech Mahindra Ltd

Quarterly Result

MetricDec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025
Sales 13,73513,71813,15912,86413,10112,87113,00613,31313,28613,38413,35113,99514,393
Expenses 11,60011,91511,82111,95011,95511,77211,44111,56311,47711,54511,41611,83012,028
Operating Profit 2,1351,8031,3389141,1461,0991,5641,7501,8091,8391,9352,1652,366
OPM % 16%13%10%7%9%9%12%13%14%14%14%15%16%
Other Income 247306200264923801475222317321940-293
Interest 11393120981165872897685787794
Depreciation 498490447466443461462470459462458469474
Profit before tax 1,7711,5259716156799591,1781,7141,2971,4641,6181,6591,505
Tax % 27%26%28%18%23%31%27%27%24%22%30%28%26%
Net Profit 1,2851,1257045055246648651,2589891,1421,1291,2021,119
EPS in Rs 13.3211.477.105.065.236.778.7112.7810.0511.9211.6512.1911.45

Last Updated: February 3, 2026, 10:46 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: February 26, 2026, 2:46 am

MetricMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025TTM
Sales 18,80222,62126,49429,14130,77334,74236,86837,85544,64653,29051,99652,98855,123
Expenses 14,63018,42822,23424,95626,06328,47131,36531,05936,62645,52747,48946,02446,818
Operating Profit 4,1724,1934,2604,1844,7106,2715,5036,7968,0207,7634,5066,9648,305
OPM % 22%19%16%14%15%18%15%18%18%15%9%13%15%
Other Income 2441064537751,4175341,1927881,115965927864138
Interest 806997129162133192174163326392322334
Depreciation 5226117599781,0851,1291,4461,4581,5201,9571,8171,8531,863
Profit before tax 3,8153,6183,8573,8534,8795,5435,0585,9537,4526,4463,2245,6536,247
Tax % 20%27%22%26%22%23%23%27%24%25%26%25%
Net Profit 3,0622,6593,0272,8513,7864,2893,8974,3535,6304,8572,3974,2534,591
EPS in Rs 32.4427.3530.9228.8838.7843.7041.7645.7357.2749.6024.1443.4347.21
Dividend Payout % 15%22%35%28%33%29%32%89%47%91%150%94%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-20242024-2025
YoY Net Profit Growth (%)-13.16%13.84%-5.81%32.80%13.29%-9.14%11.70%29.34%-13.73%-50.65%77.43%
Change in YoY Net Profit Growth (%)0.00%27.00%-19.65%38.61%-19.51%-22.43%20.84%17.63%-43.07%-36.92%128.08%

Tech Mahindra Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2014-2015 to 2024-2025.

Growth

Compounded Sales Growth
10 Years:9%
5 Years:8%
3 Years:6%
TTM:3%
Compounded Profit Growth
10 Years:4%
5 Years:0%
3 Years:-11%
TTM:80%
Stock Price CAGR
10 Years:11%
5 Years:15%
3 Years:12%
1 Year:-8%
Return on Equity
10 Years:18%
5 Years:16%
3 Years:14%
Last Year:15%

Last Updated: September 5, 2025, 1:41 pm

Balance Sheet

Last Updated: December 4, 2025, 2:05 am

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Sep 2025
Equity Capital 234480436439442444436437439440441442443
Reserves 8,94811,76814,15515,99818,40119,84121,37724,42826,44727,48426,22826,91927,061
Borrowings 3637001,0911,3662,3971,9963,6702,9012,6182,7402,5372,0251,954
Other Liabilities 6,3946,8996,8438,2549,19211,16611,83411,83614,91115,16213,94314,88016,370
Total Liabilities 15,94019,84822,52526,05730,43133,44637,31839,60244,41645,82743,14944,26745,828
Fixed Assets 2,5944,0334,3096,4607,6227,0618,8729,01814,78414,93213,90313,98214,262
CWIP 266568629373240276501181651201332123
Investments 1,4722,1031,2972,3964,8417,3425,84810,2384,8843,3883,2383,1823,082
Other Assets 11,60713,14516,28916,82817,72818,76622,54820,22824,58327,38825,87527,08228,461
Total Assets 15,94019,84822,52526,05730,43133,44637,31839,60244,41645,82743,14944,26745,828

Reserves and Borrowings Chart

Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Cash from Operating Activity + 1,5962,4483,1374,0713,5544,4324,3588,0945,2855,5726,3765,786
Cash from Investing Activity + 291-1,865-1,453-2,893-3,319-2,1041,081-5,433480-226-1,31820
Cash from Financing Activity + -972-829-496-1,571-269-2,251-4,466-2,987-4,667-5,078-4,767-5,834
Net Cash Flow 915-2461,188-392-3577974-3261,098267291-29
Free Cash Flow 6821,3352,2663,3112,7633,6533,5297,5214,4504,6035,6395,303
CFO/OP 64%84%105%123%108%97%107%140%95%97%169%104%

Free Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Free Cash Flow-359.00-696.003.003.002.005.002.004.006.005.002.004.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Debtor Days 848480677773758798888080
Inventory Days
Days Payable
Cash Conversion Cycle 848480677773758798888080
Working Capital Days 475458574224352429282325
ROCE %45%32%27%23%24%25%22%23%26%22%12%19%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025
Promoters 35.17%35.15%35.13%35.10%35.08%35.04%35.02%35.01%35.00%34.99%34.98%34.97%
FIIs 26.87%25.69%26.22%24.58%24.15%23.27%23.67%24.19%22.95%23.28%20.60%17.94%
DIIs 25.68%26.86%27.03%28.91%29.42%30.66%30.90%30.73%32.13%32.13%34.64%37.79%
Government 0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%0.17%
Public 12.07%12.11%11.44%11.22%11.16%10.84%10.23%9.88%9.74%9.43%9.61%9.14%
No. of Shareholders 9,36,5349,29,8278,85,5908,67,3738,48,4848,26,2847,74,9977,61,3837,61,7017,48,1767,66,7827,39,883

Shareholding Pattern Chart

No. of Shareholders

Tech Mahindra Ltd: Intrinsic Value & Share Price Analysis - Shareholder trend analysis

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
SBI Multi Asset Allocation Fund 6,197 0.38 4650N/AN/AN/A
SBI Large Cap Fund 6,500,000 1.6 882.57N/AN/AN/A
Tata Digital India Fund 6,110,933 8.38 829.747,110,9332026-03-12 03:29:05-14.06%
ICICI Prudential Technology Fund 6,027,729 6.03 818.455,857,8102026-03-24 01:04:312.9%
SBI Balanced Advantage Fund 5,482,687 1.82 744.444,172,6872026-01-26 03:16:4631.39%
SBI Contra Fund 5,295,681 1.46 719.055,288,3822026-02-23 03:27:320.14%
Kotak Flexicap Fund 4,700,000 1.12 638.17N/AN/AN/A
SBI ELSS Tax Saver Fund 3,780,741 1.6 513.35N/AN/AN/A
Kotak Large & Midcap Fund 3,200,000 1.41 434.5N/AN/AN/A
Aditya Birla Sun Life Flexi Cap Fund 2,820,504 1.52 382.97N/AN/AN/A

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 25Mar 24Mar 23Mar 22Mar 21
FaceValue 5.005.005.005.005.00
Basic EPS (Rs.) 48.0026.6654.7663.3250.64
Diluted EPS (Rs.) 47.9126.5854.7662.8150.19
Cash EPS (Rs.) 68.9147.6380.4581.4566.47
Book Value[Excl.RevalReserv]/Share (Rs.) 309.24307.56322.65311.99288.78
Book Value[Incl.RevalReserv]/Share (Rs.) 309.24307.56322.65311.99288.78
Revenue From Operations / Share (Rs.) 598.87589.12605.57508.73433.12
PBDIT / Share (Rs.) 88.3761.45102.20104.0686.77
PBIT / Share (Rs.) 67.4340.8677.2786.7370.09
PBT / Share (Rs.) 63.8036.4173.5784.8868.10
Net Profit / Share (Rs.) 47.9727.0455.5264.1249.79
NP After MI And SOA / Share (Rs.) 48.0526.7154.9063.4250.66
PBDIT Margin (%) 14.7510.4316.8720.4520.03
PBIT Margin (%) 11.256.9312.7617.0416.18
PBT Margin (%) 10.656.1812.1416.6815.72
Net Profit Margin (%) 8.014.589.1612.6011.49
NP After MI And SOA Margin (%) 8.024.539.0612.4611.69
Return on Networth / Equity (%) 15.538.8417.3020.7017.81
Return on Capital Employeed (%) 18.7411.7021.5123.5120.83
Return On Assets (%) 9.555.4210.4612.4011.15
Long Term Debt / Equity (X) 0.000.000.000.010.01
Total Debt / Equity (X) 0.010.050.050.050.06
Asset Turnover Ratio (%) 1.211.161.170.920.83
Current Ratio (X) 1.871.861.681.962.46
Quick Ratio (X) 1.871.851.681.952.45
Inventory Turnover Ratio (X) 1378.110.000.000.000.00
Dividend Payout Ratio (NP) (%) 90.36166.1288.2471.5239.72
Dividend Payout Ratio (CP) (%) 62.9393.8260.6856.1829.88
Earning Retention Ratio (%) 9.64-66.1211.7628.4860.28
Cash Earning Retention Ratio (%) 37.076.1839.3243.8270.12
Interest Coverage Ratio (X) 24.3113.8327.6256.1643.58
Interest Coverage Ratio (Post Tax) (X) 14.197.0816.0135.6126.01
Enterprise Value (Cr.) 121824.04107633.2094756.50129681.1785841.35
EV / Net Operating Revenue (X) 2.302.071.782.902.27
EV / EBITDA (X) 15.5819.8510.5414.2011.32
MarketCap / Net Operating Revenue (X) 2.372.121.822.952.29
Retention Ratios (%) 9.63-66.1211.7528.4760.27
Price / BV (X) 4.594.143.474.893.48
Price / Net Operating Revenue (X) 2.372.121.822.952.29
EarningsYield 0.030.020.040.040.05

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

About the Company - Qualitative Analysis

Tech Mahindra Ltd. is a Public Limited Listed company incorporated on 24/10/1986 and has its registered office in the State of Maharashtra, India. Company's Corporate Identification Number(CIN) is L64200MH1986PLC041370 and registration number is 041370. Currently Company is involved in the business activities of Other information technology and computer service activities n.e.c. Company's Total Operating Revenue is Rs. 44617.20 Cr. and Equity Capital is Rs. 489.50 Cr. for the Year ended 31/03/2025.
INDUSTRYADDRESSCONTACT
IT Consulting & SoftwareGateway Building, Apollo Bunder, Mumbai Maharashtra 400001Contact not found
Management
NamePosition Held
Mr. Anand G MahindraChairman
Mr. Mohit JoshiManaging Director & CEO
Dr. Anish ShahNon Executive Director
Mr. Puneet RenjhenNon Executive Director
Ms. Penelope FowlerIndependent Director
Mr. Haigreve KhaitanIndependent Director
Dr. Mukti KhaireIndependent Director
Ms. Shikha SharmaIndependent Director
Mr. Neelam DhawanIndependent Director
Mr. Tarun BajajIndependent Director

FAQ

What is the intrinsic value of Tech Mahindra Ltd and is it undervalued?

As of 16 April 2026, Tech Mahindra Ltd's intrinsic value is ₹592.03, which is 57.83% lower than the current market price of ₹1,404.00, suggesting the stock is overvalued. This is calculated using the PE ratio method factoring in ROE (14.6 %), book value (₹281), dividend yield (3.20 %), and 5-year EPS CAGR.

What is the current share price and 52-week range of Tech Mahindra Ltd?

Tech Mahindra Ltd is trading at ₹1,404.00 as of 16 April 2026, with a FY2026-2027 high of ₹1,854 and low of ₹1,209. The stock is currently in the middle of its 52-week range. Market cap stands at ₹1,37,619 Cr..

How does Tech Mahindra Ltd's P/E ratio compare to its industry?

Tech Mahindra Ltd has a P/E ratio of 28.6, which is below the industry average of 98.13. Trading at a steep discount to peers could signal a value opportunity or reflect concerns about the company's fundamentals.

Is Tech Mahindra Ltd financially healthy?

Key indicators for Tech Mahindra Ltd: ROCE of 18.6 % indicates efficient capital utilization. Dividend yield is 3.20 %.

Is Tech Mahindra Ltd profitable and how is the profit trend?

Tech Mahindra Ltd reported a net profit of ₹4,253 Cr in Mar 2025 on revenue of ₹52,988 Cr. Compared to ₹5,630 Cr in Mar 2022, the net profit shows a declining trend.

Does Tech Mahindra Ltd pay dividends?

Tech Mahindra Ltd has a dividend yield of 3.20 % at the current price of ₹1,404.00. This is a relatively attractive yield for income-seeking investors.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Tech Mahindra Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE
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