Tech Mahindra Share Price: 16.3% CAGR in 3 Years as the Mahindra Group IT Firm Compares With Persistent Systems and Mphasis
- November 12, 2026
- Posted by: Ankit Jaiswal
- Category: Best Stocks
Tech Mahindra Share Price: 16.3% CAGR in 3 Years as the Mahindra Group IT Firm Compares With Persistent Systems and Mphasis
Tech Mahindra previous close Rs 1,788.50. 3-year CAGR 16.3%. Up 1.6x since 10 Nov 2023. ROE 18.62%. Market cap Rs 1,74,163 crore.
Quick Answer
The Tech Mahindra share price closed at Rs 1,788.50 on 11 November 2026, a compounded annual return of 16.3% over three years. That compares with Persistent Systems at 24.1% and Mphasis at 2.8%. The company has a market cap of Rs 1,74,163 crore and a P/E of 31.26 against an industry P/E of 19.13.
The Tech Mahindra share price has delivered a solid return over three years, and the company keeps a return on equity above 18% with very little debt. Tech Mahindra, a Mahindra Group company based in Pune, provides IT and business services to clients in telecom, banking, manufacturing and retail.
This article compares that run with Persistent Systems and Mphasis. We calculate the three-year CAGR for all three and set the results beside market cap, valuation, return on equity and debt, using prices adjusted for corporate actions.
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How Much Has the Tech Mahindra Share Price Returned in 3 Years?
The Tech Mahindra stock closed at Rs 1,138.15 on 10 November 2023 and at Rs 1,788.50 on 11 November 2026. Rs 1 lakh invested three years ago would have grown to about Rs 1.57 lakh, which is a CAGR of 16.3%. This is a price return and leaves out dividends.
CAGR condenses a bumpy three-year ride into one yearly number, which is why it is the fairest way to compare companies of different sizes. A stock such as Tech Mahindra can look spectacular on a chart and still have earned a modest yearly return, so the compounded figure keeps the comparison honest.
The Tech Mahindra share price has also followed client spending on network, cloud and digital projects, with a heavy focus on communications companies across the world.
Tech Mahindra vs Persistent Systems and Mphasis: 3-Year CAGR Compared
The table ranks the companies by three-year CAGR. Prices on 10 November 2023 are adjusted for splits and bonuses, and the latest figures are the previous close on 11 November 2026.
| Company | Close on 10 Nov 2023 | Previous close (11 Nov 2026) | Price multiple | 3-year CAGR |
|---|---|---|---|---|
| Persistent Systems | Rs 3,123.07 | Rs 5,973.50 | 1.9x | 24.1% |
| Tech Mahindra | Rs 1,138.15 | Rs 1,788.50 | 1.6x | 16.3% |
| Mphasis | Rs 2,202.20 | Rs 2,390.00 | 1.1x | 2.8% |
The Tech Mahindra stock ranks second of the three at 16.3%. It sits ahead of Mphasis (2.8%). The company ahead is Persistent Systems (24.1%). Persistent Systems leads the group, followed by Tech Mahindra and then Mphasis. Tech Mahindra is the largest of the three by market cap, and its ROE sits between the other two.
Look at the Tech Mahindra share price alongside the peers as a snapshot of the last three years. It describes what happened, and valuation and earnings will decide what happens next.
Valuation and Quality Compared
| Company | Market cap | P/E | Industry P/E | ROE | Debt to equity |
|---|---|---|---|---|---|
| Tech Mahindra | Rs 1,74,163 crore | 31.26 | 19.13 | 18.62% | 0.07 |
| Persistent Systems | Rs 1,00,063 crore | 55.49 | 19.36 | 20.99% | 0.07 |
| Mphasis | Rs 45,694 crore | 22.82 | 19.13 | 18.55% | 0.30 |
By market cap, Tech Mahindra is the largest of the group at Rs 1,74,163 crore, which gives it the scale advantage over Persistent Systems, Mphasis. On earnings, Tech Mahindra shares trade at a P/E of 31.26 against an industry P/E of 19.13, a premium of about 63%, which signals that the market expects faster earnings growth. Peer multiples are Persistent Systems at 55.49 and Mphasis at 22.82.
Return on equity is 18.62% for the Tech Mahindra stock, which ranks second among the three, and debt to equity stands at 0.07. Trailing EPS is Rs 56.84. IT services companies are valued on deal wins and margins, so the P/E should be read together with return on equity and the pace of revenue growth.
What Is Driving the Tech Mahindra Stock?
Tech Mahindra serves clients in communications, banking, insurance, manufacturing and retail. It sells network services, application development, cloud migration and business process work, and it has built a strong name with telecom operators.
The company is part of the Mahindra Group and operates in many countries. It keeps a low debt load, and its efforts to widen its mix beyond telecom have been a key theme for the stock.
Followers of the Tech Mahindra share price usually track deal wins, client additions, margins and headcount trends.
How the Established Players Stack Up
Persistent Systems is a Pune-based software engineering company that works with technology and healthcare clients. It compounded at 24.1% a year, on a market cap of Rs 1,00,063 crore and an ROE of 20.99%.
Mphasis is a Bengaluru-based IT services company with strength in cloud, banking and insurance work. It compounded at 2.8% a year, on a market cap of Rs 45,694 crore and an ROE of 18.55%.
What Should Investors Track Next?
Three things are worth watching on the Tech Mahindra share price. First, new deal wins. Second, margins as the mix shifts toward digital work. Third, client spending in telecom and in the United States and Europe.
At a P/E of 31, the stock trades above the industry P/E of 19, and its debt to equity of 0.07 is almost nil. Technology spending by clients can shift, so follow quarterly numbers closely.
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How to Compare IT Stocks Yourself
You can repeat this exercise for any pair of stocks, including the Tech Mahindra stock against its peers. Note the adjusted closing price on the base date, take the latest close, divide one by the other, raise the result to the power of one third and subtract one. Then place the CAGR next to market cap, P/E against the industry P/E, ROE and debt to equity. Benchmark the result against the Nifty 50 as well, so you know whether the stock beat the broader market.
A stock that scores well on growth but weakly on quality, or the reverse, deserves closer study before it enters a portfolio. When tracking the Tech Mahindra share price, the same four checks give a more complete picture than price alone.
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The Largest IT Firm in Its Peer Set With Very Little Debt
The Tech Mahindra share price compounded at 16.3% a year over three years, ahead of Mphasis at 2.8% and behind Persistent Systems at 24.1%. Its ROE of 18.62% and debt to equity of 0.07 point to a stable profile.
Persistent Systems brings the fastest return and the highest ROE at a much higher multiple, while Mphasis brings the lowest P/E. The choice depends on whether you prefer growth or a lower multiple.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Frequently Asked Questions
What is the Tech Mahindra share price today?
Ans. Tech Mahindra closed at Rs 1,788.50 on 11 November 2026, according to NSE data. It has a market cap of Rs 1,74,163 crore and a P/E of 31.26. Check live quotes before acting, as prices change every trading day.
What is the 3-year CAGR of the Tech Mahindra stock?
Ans. Tech Mahindra delivered a price CAGR of 16.3% over three years, moving from Rs 1,138.15 on 10 November 2023 to Rs 1,788.50 on 11 November 2026. The figure excludes dividends and uses adjusted closing prices.
Is Tech Mahindra better than Mphasis?
Ans. Tech Mahindra delivered a higher three-year CAGR at 16.3% than Mphasis at 2.8%. Tech Mahindra is much larger by market cap at Rs 1,74,163 crore against Rs 45,694 crore and has a slightly higher ROE at 18.62% against 18.55%, while Mphasis trades at a lower P/E of 22.82 against 31.26. The better choice depends on your view of each business.
What does Tech Mahindra do?
Ans. Tech Mahindra is a Pune-based IT services company in the Mahindra Group that provides technology and business services to clients in telecom, banking and manufacturing.
Is the Tech Mahindra stock debt free?
Ans. The debt to equity ratio of the Tech Mahindra stock is 0.07 and its return on equity is 18.62%. Always check the latest balance sheet for current figures, as debt levels change with expansion plans.
Is Tech Mahindra expensive compared with the industry?
Ans. Tech Mahindra trades at a P/E of 31.26 against an industry P/E of 19.13. A higher multiple reflects expectations of faster growth, which the company must deliver through earnings.
Which IT stock gave the highest return in 3 years?
Ans. Among the companies compared here, Persistent Systems delivered the highest three-year CAGR at 24.1%, followed by Tech Mahindra at 16.3%. Past returns do not guarantee future performance.
How do I calculate CAGR for a stock?
Ans. Divide the latest price by the starting price, raise the result to the power of one divided by the number of years, and subtract one. Multiply by 100 for a percentage. Use split and bonus adjusted prices for accurate results.
