Tech Mahindra Limited (TECHM) fair value: what the stock is really worth
As of Oct 1, 2026: fair value of Tech Mahindra Limited ₹1,329, price ₹1,539, upside -13.6%, quality 69 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
- Fair value above price? No
- Good quality? Yes
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Tech Mahindra Limited
TECHM · BSEOvervalued / MonitorQuality is not strong enough to offset the price risk.
What runs behind every stock
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 3, 2026.
How to read this chart
60‑month range ₹830.50 – ₹1,723 · fair‑value band ₹844.13 – ₹1,760 · the ₹1,539 price screens above the ₹1,329 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Oct 3, 2026.
Company profile
Tech Mahindra Limited provides information technology services and solutions in the Americas, Europe, India, and internationally. The company operates through Information technology (IT) Business and Business Processing Outsourcing (BPO) segments.
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Tech Mahindra Limited provides information technology services and solutions in the Americas, Europe, India, and internationally. The company operates through Information technology (IT) Business and Business Processing Outsourcing (BPO) segments. It offers cloud consulting, business excellence, digital supply chain, Application Development Maintenance, intelligent automation, testing, performance engineering, data analytics, and artificial intelligence services. The company also provides infrastructure and cloud services, including cloud, FLEX Digital workplace, and data center; engineering and network services; digital enterprise applications; and business process, cyber security, blockchain, and metaverse services, as well as customer experience and sustainability as a service. It serves communication; banking and financial services; energy and utilities; healthcare and life sciences; hi-tech; insurance; manufacturing; media and entertainment; private equity; oil and gas; professional service; and travel, transportation, hospitality, and logistic sectors. The company was incorporated in 1986 and is based in Pune, India.
Stock analysis
Tech Mahindra Limited (TECHM) currently trades at ₹1,539, while our model-based Fair Value estimate is ₹1,329, 13.6% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of ₹1,382 per share, and 5 of the 24 models we run sit above the ₹1,539 price.
Bear case: the Asset-Based group reads lowest at ₹224.08, and 19 of the 24 models stay below the price. Evidence for this calculation is high.
Scenario range: ₹844.13 (bear) to ₹1,760 (bull), the price of ₹1,539 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 69/100 (solid quality), in the Technology sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Tech Mahindra Limited reported revenue of ₹568B in FY2026 versus ₹446B in FY2022, a compound +6.2%/yr. Reported net income was ₹48.1B in FY2026, compounding −3.6%/yr from FY2022.
Key figures
Market cap ₹1.4T (≈ $14.2B) · P/E ratio 29.5 · P/S ratio 2.50 · EPS (TTM) ₹52.15 · Dividend yield 2.9% · Net margin 8.5% · Return on equity 16.3% · Return on assets (EBIT) 12.2%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 48 out of 100 (medium confidence).
What moves the price
The share trades about 11% below its 52-week high and 19% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at 44% fair-value upside, at −14%, TECHM screens richer than that median.
Fair Value models
All 24 models by family
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Set up alert →Quality Score breakdown
Of which business quality 68 · Market factors (momentum, volatility) 62
Revenue & earnings trend
Growth Forecast
Earlier news
- Tech Mahindra and Cisco Partner to Bring AI-Driven Security Service Edge to Global Enterprises
- Tech Mahindra Launches Agentic Payment Assistance & Collections Optimization Solution for Telcos at Mobile World Congress 2026
- Tech Mahindra Advances AI-Driven Autonomous Network Operations for CSPs Globally with NVIDIA
- FICO Deepens Credit Infrastructure Role With Score 10T And Tech Mahindra Partnership
Compare Tech Mahindra Limited with another stock
Price, fair value, quality and upside side by side.
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Information Technology Services · 464 stocks
Valuation Multiplesvs Information Technology Services median · lower = cheaper
Context: sector, industry, market
- Is the Information Technology sector expensive or cheap?
- P/E, EV/EBITDA and margins by industry (reference tables)
- Undervalued stocks: Indian Stocks
- Valuation of the India market
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Information Technology Services stocks, each showing price versus our Fair Value estimate.
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| International Business Machines Corporation IBM | $219.93 | $186.56 | −15% |
| Accenture plc ACN | $183.37 | $305.06 | +66% |
| Tata Consultancy Services Limited TCS | ₹2,082 | ₹2,993 | +44% |
| Infosys Limited INFY | ₹994.10 | ₹1,691 | +70% |
| HCL Technologies Limited HCLTECH | ₹1,243 | ₹1,926 | +55% |
| Cognizant Technology Solutions Corporation CTSH | $56.84 | $138.62 | +144% |
| Amadeus IT Group AMS | €52.80 | €65.98 | +25% |
| Broadridge Financial Solutions, Inc BR | $161.15 | $159.88 | −1% |
| Fidelity National Information Services, Inc FIS | $33.35 | $32.72 | −2% |
| CDW Corporation CDW | $129.71 | $165.54 | +28% |
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Key figures of Tech Mahindra Limited
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