3 Telecom and Enterprise IT Services Provider, Digital Engineering Leader and Low-Code Platform Maker Stocks With a Strong Future Roadmap: Tech Mahindra, Persistent Systems and Newgen Software Technologies
- October 26, 2026
- Posted by: Chaitanya Auti
- Category: Best Stocks
Tech Mahindra, Persistent Systems and Newgen Software Technologies: ROE of 18.6% to 21.0% and FY22 to FY26 revenue CAGR of 5.6% to 26.4%. Prices as of 23 Oct 2026.
Quick Answer
The three IT services and low-code platform stocks to watch are Tech Mahindra, Persistent Systems and Newgen Software Technologies. Their return on equity ranges from 18.6% to 21.0%, and their revenue compound annual growth from FY22 to FY26 ranges from 5.6% to 26.4%. Persistent Systems leads on both return on equity at 21.0% and revenue growth at 26.4% a year. Prices are based on the 23 October 2026 close, and this article is educational, not investment advice.
IT services and low-code platform stocks bring together companies with a visible plan for the years ahead. Tech Mahindra, Persistent Systems and Newgen Software Technologies cover a telecom and enterprise IT services provider, a digital engineering leader and a low-code platform maker.
This list covers three IT services and low-code platform stocks with complete current figures: Tech Mahindra, Persistent Systems and Newgen Software Technologies. Every figure comes from the latest reported financials and the 23 October 2026 market close. Companies without complete current figures were left out.
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What Are IT Services and Low-code Platform Stocks?
IT services and low-code platform stocks are listed technology companies that provide digital services, product engineering and low-code platforms to global clients. Their earnings depend on client spending, large deals and platform sales.
IT Services and Low-code Platform Stocks at a Glance
| Company | CMP (Rs) | Market Cap (Rs Cr) | P/E | Industry P/E | ROE (%) | D/E |
|---|---|---|---|---|---|---|
| Tech Mahindra | 1,790 | 175,398 | 31.5 | 17.6 | 18.6 | 0.07 |
| Persistent Systems | 5,727.5 | 90,857 | 50.4 | 17.9 | 21.0 | 0.07 |
| Newgen Software Technologies | 454.2 | 6,835 | 21.8 | 17.5 | 18.7 | 0.02 |
On valuation, all three trade at a P/E above their industry P/E, which reflects the growth the market already expects from them. Readers comparing IT services and low-code platform stocks should look at return on equity and debt together, since a high return earned with low debt is easier to sustain.
Why Do IT Services and Low-code Platform Stocks Have a Strong Roadmap in India?
IT services and low-code platform stocks have a strong roadmap in India because enterprises keep investing in cloud, data and process automation, which lifts demand for services and software partners.
- Large deals. Multi-year contracts add visibility.
- Process automation. Banks and governments adopt low-code platforms.
- Artificial intelligence. New projects add to the pipeline.
Why Tech Mahindra Features Among These IT Services and Low-code Platform Stocks
Among the IT services and low-code platform stocks on this list, Tech Mahindra is a Mahindra Group technology services company that provides digital, network and enterprise services to clients in telecom, manufacturing, banking and other industries worldwide.
Revenue rose from Rs 45,758 crore in FY22 to Rs 56,847 crore in FY26, a compound annual growth rate of 5.6%. Net profit grew from Rs 2,397 crore in FY24 to Rs 4,806 crore in FY26, which works out to a compound annual growth rate of 41.6%.
The company has a return on equity of 18.6%, a debt to equity ratio of 0.07 and a market capitalisation of Rs 175,398 crore. The stock trades at a P/E of 31.5, above the industry P/E of 17.6.
Roadmap: The company is investing in artificial intelligence, cloud and 5G related services and deepening ties with large clients. Large deal wins in telecom and enterprise work support its pipeline.
What to watch: Track large deal wins, margin improvement and demand from telecom and enterprise clients.
Why Persistent Systems Features Among These IT Services and Low-code Platform Stocks
Among the telecom and enterprise IT shares on this list, Persistent Systems is a Pune-based technology services and digital engineering company that builds software products and platforms for clients in banking, healthcare, software and hi-tech industries worldwide.
Revenue rose from Rs 5,855 crore in FY22 to Rs 14,929 crore in FY26, a compound annual growth rate of 26.4%. Net profit grew from Rs 690 crore in FY22 to Rs 1,865 crore in FY26, which works out to a compound annual growth rate of 28.2%.
The company has a return on equity of 21.0%, a debt to equity ratio of 0.07 and a market capitalisation of Rs 90,857 crore. The stock trades at a P/E of 50.4, above the industry P/E of 17.9.
Roadmap: The company is deepening its work in cloud, data and artificial intelligence, where enterprises are raising spending. A strong base of long-term clients helps it win larger engineering programmes.
What to watch: Track large deal wins, client additions and the share of artificial intelligence work in revenue.
Why Newgen Software Technologies Features Among These IT Services and Low-code Platform Stocks
Among the three companies on this list, Newgen Software Technologies, based in Delhi, offers low-code platforms for content management, process automation and customer engagement to banks, insurers and governments.
The company has a return on equity of 18.7%, a debt to equity ratio of 0.02 and a market capitalisation of Rs 6,835 crore. The stock trades at a P/E of 21.8, above the industry P/E of 17.5.
Revenue rose from Rs 809 crore in FY22 to Rs 1,641 crore in FY26, a compound annual growth rate of 19.4%. Net profit grew from Rs 164 crore in FY22 to Rs 301 crore in FY26, which works out to a compound annual growth rate of 16.3%. In the June 2026 quarter, revenue grew 12.3% year on year to Rs 393 crore, while net profit rose 26.3% to Rs 62.8 crore.
Roadmap: Digital transformation at banks and public sector organisations, plus new artificial intelligence features on its platform, widen its addressable market. A growing share of recurring licence and cloud revenue improves predictability.
What to watch: Monitor deal wins in the banking sector and the growth of recurring revenue.
Tech Mahindra vs Persistent Systems vs Newgen Software Technologies on Key Financials
The table below sets the three IT services and low-code platform stocks side by side on revenue, profit and margin, using reported figures.
| Company | FY22 Revenue (Rs Cr) | FY26 Revenue (Rs Cr) | Revenue CAGR (FY22-FY26) | FY26 Net Profit (Rs Cr) | FY26 Net Margin |
|---|---|---|---|---|---|
| Tech Mahindra | 45,758 | 56,847 | 5.6% | 4,806 | 8.5% |
| Persistent Systems | 5,855 | 14,929 | 26.4% | 1,865 | 12.5% |
| Newgen Software Technologies | 809 | 1,641 | 19.4% | 301 | 18.3% |
Persistent Systems posts the highest return on equity in this group at 21.0%. Tech Mahindra has the largest FY26 revenue at Rs 56,847 crore, and Persistent Systems shows the fastest revenue growth with a 26.4% compound annual rate.
Key Risks to Check Before Investing in IT Services and Low-code Platform Stocks
Every theme carries risks that deserve a check before any decision. For these IT services and low-code platform stocks, the main points are:
- Client spending. Technology budgets can shift with the global economy.
- Currency moves. Export earnings are affected by rupee movements.
- Valuation levels. Some of these companies trade at high earnings multiples, so growth must continue to justify them.
Treat this list as a starting point for research and not as a recommendation. Read the latest results presentation, check the management commentary on order books or capacity plans, and compare each company with its peers before you decide anything.
Use the Univest Stock Screener to filter IT services and low-code platform stocks by market capitalisation, P/E, ROE and growth, and build your own shortlist.
Final Thoughts on IT Services and Low-code Platform Stocks
IT services and low-code platform stocks suit investors who prefer to study business strength before price moves. Tech Mahindra, Persistent Systems and Newgen Software Technologies each have a clear plan to grow. Based on the 23 October 2026 close, Tech Mahindra trades at Rs 1,790, Persistent Systems at Rs 5,727.5 and Newgen Software Technologies at Rs 454.2.
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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).
What are IT services and low-code platform stocks?
Ans. IT services and low-code platform stocks are listed technology companies that provide digital services, product engineering and low-code platforms to global clients. Their earnings depend on client spending, large deals and platform sales. This list looks at three of them, Tech Mahindra, Persistent Systems and Newgen Software Technologies, using reported FY22 to FY26 financials and the 23 October 2026 closing prices.
Which IT services and low-code platform stocks are covered in this list?
Ans. This list covers Tech Mahindra, Persistent Systems and Newgen Software Technologies. Based on the 23 October 2026 close, Tech Mahindra traded at Rs 1,790, Persistent Systems at Rs 5,727.5 and Newgen Software Technologies at Rs 454.2. Their return on equity ranges from 18.6% to 21.0%, and their revenue compound annual growth from FY22 to FY26 ranges from 5.6% to 26.4%.
Why do IT services and low-code platform stocks have a strong future roadmap in India?
Ans. IT services and low-code platform stocks have a strong roadmap in India because enterprises keep investing in cloud, data and process automation, which lifts demand for services and software partners. The main drivers are as follows. Large deals. Multi-year contracts add visibility. Process automation. Banks and governments adopt low-code platforms. Artificial intelligence. New projects add to the pipeline. Together these factors give the companies on this list a visible path for growth over the coming years.
How has Tech Mahindra performed financially?
Ans. Revenue rose from Rs 45,758 crore in FY22 to Rs 56,847 crore in FY26, a compound annual growth rate of 5.6%. Net profit grew from Rs 2,397 crore in FY24 to Rs 4,806 crore in FY26, which works out to a compound annual growth rate of 41.6%. The company has a return on equity of 18.6%, a debt to equity ratio of 0.07 and a market capitalisation of Rs 175,398 crore. The stock trades at a P/E of 31.5, above the industry P/E of 17.6. Looking ahead, the company is investing in artificial intelligence, cloud and 5G related services and deepening ties with large clients. Large deal wins in telecom and enterprise work support its pipeline.
How has Persistent Systems performed financially?
Ans. Revenue rose from Rs 5,855 crore in FY22 to Rs 14,929 crore in FY26, a compound annual growth rate of 26.4%. Net profit grew from Rs 690 crore in FY22 to Rs 1,865 crore in FY26, which works out to a compound annual growth rate of 28.2%. The company has a return on equity of 21.0%, a debt to equity ratio of 0.07 and a market capitalisation of Rs 90,857 crore. The stock trades at a P/E of 50.4, above the industry P/E of 17.9. Looking ahead, the company is deepening its work in cloud, data and artificial intelligence, where enterprises are raising spending. A strong base of long-term clients helps it win larger engineering programmes.
How has Newgen Software Technologies performed financially?
Ans. Revenue rose from Rs 809 crore in FY22 to Rs 1,641 crore in FY26, a compound annual growth rate of 19.4%. Net profit grew from Rs 164 crore in FY22 to Rs 301 crore in FY26, which works out to a compound annual growth rate of 16.3%. In the June 2026 quarter, revenue grew 12.3% year on year to Rs 393 crore, while net profit rose 26.3% to Rs 62.8 crore. The company has a return on equity of 18.7%, a debt to equity ratio of 0.02 and a market capitalisation of Rs 6,835 crore. The stock trades at a P/E of 21.8, above the industry P/E of 17.5. Looking ahead, digital transformation at banks and public sector organisations, plus new artificial intelligence features on its platform, widen its addressable market. A growing share of recurring licence and cloud revenue improves predictability.
What risks should investors check before buying IT services and low-code platform stocks?
Ans. Investors should check a few risks before buying IT services and low-code platform stocks. Client spending. Technology budgets can shift with the global economy. Currency moves. Export earnings are affected by rupee movements. Valuation levels. Some of these companies trade at high earnings multiples, so growth must continue to justify them. Reading the latest results presentation and comparing each company with its peers helps judge how these risks apply to each stock.
Is this list of IT services and low-code platform stocks investment advice?
Ans. No. This article is educational and uses publicly available data as of the 23 October 2026 close. Please verify figures on NSE and BSE, read company filings and consult a SEBI registered adviser before investing. Univest is SEBI registered research analyst INH000013776.