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Today's prices ask more of Tech Mahindra than of Infosys.
At current prices, buyers of Infosys are assuming about 0% growth against 8% in its own record; for Tech Mahindra it is 9% against 4%. That shows which share needs more to go right — not which is cheaper. How far each trades from its estimated fair value is in the full valuations.
- Valuation method: both on discounted cash flow.
- Size: Infosys is worth about 3.0 times Tech Mahindra on the stock market.
- Record: Infosys has grown revenue faster: Infosys compounded at about 12% a year (FY2019–FY2026) and Tech Mahindra at about 8% (FY2018–FY2026).
- What to watch: large deal wins at Infosys; margin recovery at Tech Mahindra.
| Infosys | Tech Mahindra | |
|---|---|---|
| Price | ₹1,151 | ₹1,774 |
| Market cap | ₹4.66L Cr | ₹1.57L Cr |
| P/E | 15.2 | 34.1 |
| P/B | 5.02 | 5.31 |
| Fair value 🔒 sign in | ₹0,000 | ₹0,000 |
| Upside 🔒 sign in | +00% | +00% |
| Valued on | Discounted cash flow | Discounted cash flow |
01Two businesses
What Infosys sells, and to whom
Infosys, founded in Pune in 1981 by N. R. Narayana Murthy and six co-founders and now based in Bengaluru, is India's second-largest IT services company. It runs digital transformation, cloud, data and AI programmes for large companies, mainly in North America and Europe, and owns Finacle, a core-banking platform used by banks worldwide.
The Mahindra group's IT company
Tech Mahindra, part of the Mahindra group, is one of India's large IT services companies. Its biggest client industry is telecoms — operators and equipment makers — alongside manufacturing, banking and retail. It merged with Satyam Computer Services in 2013.
02The records side by side
Infosys has grown revenue faster: Infosys compounded at about 12% a year (FY2019–FY2026) and Tech Mahindra at about 8% (FY2018–FY2026). By revenue, Infosys is about 3.1 times the size of Tech Mahindra. Infosys kept 16.5% of revenue as net profit in FY2026; Tech Mahindra kept 8.5% of revenue as net profit in FY2026.
Full ten-year tables and charts are on each company's page: Infosys · Tech Mahindra.
03What each price assumes
Work backwards from each share price and you can see what buyers are taking for granted — the rate each company must sustain to justify what it costs, against what its own record supports.
04What decides each one's value
- Large deal winsBig multi-year contracts give visibility, but they often start at lower margins.
- Operating marginWage increases and pricing pressure can push margins below the company's own target range.
- Margin recoveryClosing the margin gap with peers is the main lever.
- Telecom demandOperator spending drives a large share of revenue.
05What could go wrong
- Financial-services concentrationBanks are its largest client group, so a banking slowdown hits Infosys first.
- AI deflationAutomation could shrink the hours clients pay for faster than new AI work replaces them.
- Telecom slowdownOperators cut spending when their own growth slows.
- ExecutionTurnarounds often take longer than planned.
06Which is better value?
Sign in free to see which trades further below its worth
- ✓Both fair values per share — each on the method that fits the business
- ✓Every step of both workings — growth, margins and cost of capital, with sources
- ✓Bull, base and bear cases — for each company
- ✓Downloadable reports — the full write-up for each, yours to keep
08Questions people ask
Is Infosys or Tech Mahindra better value?
That turns on how far each share trades from its estimated fair value. Both figures, with every step of the working, are in the full valuations, free to view once you sign in. On the public numbers, Infosys trades at 15.2 times earnings and 5.02 times book value, and Tech Mahindra at 34.1 times earnings and 5.31 times book value — but multiples alone mislead when two businesses work differently, which is why each is valued on the method that fits it.
What is the difference between Infosys and Tech Mahindra?
Infosys, founded in Pune in 1981 by N. Tech Mahindra, part of the Mahindra group, is one of India's large IT services companies.
Are Infosys and Tech Mahindra valued the same way?
Yes — both on discounted cash flow, so their workings compare like for like.
What does today's price assume for Infosys and Tech Mahindra?
Worked backwards from the share price, Infosys needs about 0% growth and Tech Mahindra about 9% growth, against 8% and 4% in their own records.