TechM share price: Jefferies target among lowest, MOFSL's highest post Q1 results
TechM shares: The consensus includes 35 updated recommendations so far, following the June quarter results, with Axis Capital assigning the lowest target price and MOFSL the highest.
- Jul 17, 2026,
- Updated Jul 17, 2026 11:30 AM IST
Tech Mahindra Ltd (TechM) shares rose over 3 per cent in Friday's trade after the country's fifth-largest IT services exporter reported an all-round beat in June quarter. However, if consensus estimates are any guide, the stock may have limited upside from current levels. The Bloomberg consensus target, based on 43 analyst recommendations, stands at Rs 1,608, implying an upside of just about 3.9 per cent from the prevailing market price of Rs 1,546.95.
The consensus includes 35 updated recommendations so far, following the June quarter results, with Axis Capital assigning the lowest target price and MOFSL the highest.
Among brokerages, Goldman Sachs analyst Manish Adukia maintained a 'Sell' rating with a target price of Rs 1,420. CLSA's Sumeet Jain retained an 'Accumulate' rating with a target of Rs 1,634, while JPMorgan's Ankur Rudra remained 'Overweight' on the stock with a target price of Rs 1,700.
Morgan Stanley's Gaurav Rateria has a target price of Rs 1,270 on the stock, while Investec's Nitin Padmanabhan has a target of Rs 1,700. UBS's Aditya Chandrasekar maintained a 'Neutral' rating with a target price of Rs 1,460 on TechM.
Axis Capital's Ravi Menon has the lowest target price on TechM at Rs 1,080, while MOFSL's Abhishek Pathak has the highest at Rs 1,900, according to data compiled by Bloomberg. Jefferies' Akshat Agarwal has the second-lowest target price of Rs 1,260 among the 32 fresh recommendations, though up from Rs 1,225 in April.
TechM is on track to achieve its three-year goals in FY27, said Nomura analysts Abhishek Bhandari and Karan Nain.
They said TechM's growth was broad-based across all key verticals and EBIT margin at 14.4 per cent was ahead of their estimate of 14.1 per cent, largely driven by the ongoing Project Fortius and currency depreciation.
"We tweak FY27-28F EPS by minus 3 per cent to nil to factor in the 1Q earnings. Given TechM is now on track to exceed its large-cap peers on growth rates in FY27-28F, we raise our target multiple to 18 times (in line with LTM) from 16 times earlier. Our new target is Rs 1,600 vs Rs 1,410 earlier," Nomura anlaysts said.
Domestic brokerages are largely positive on the TechM stock.
JM Financial said large deal ramp-up provides visibility in the September quarter, despite drag from one-off revenues in European auto. It added that Q3 is generally decent quarter for TechM, given seasonality in the Retail vertical while Q4 will likely benefit from Comviva seasonality.
JM Financial said margin trajectory will be monitored given wage hikes in a phased manner. It maintained 'ADD' citing valuations.
MOFSL said the ongoing turnaround under the new leadership continues to track well and this quarter was another step in the right direction. With above-peer growth looking increasingly achievable, we continue to like TECHM's bottom-up turnaround story, it said.
TechM’s three consecutive quarters of $1 billion deal wins, position it well to beat its large-cap peers on growth in FY27, Nuvama said. It said margins too are likely to reach close to its 15 per cent target.
"Overall, TechM is set to report a strong earnings CAGR (25 per cent) over the next two years. This places it well to deserve valuations similar to LTIMindtree, rather than Top-three largecaps. We expect current valuations to sustain. Retain 'BUY/SO'," it said.
Elara said since TechM is planning for a staggered wage hike, the impact on margins would also be staggered and with fresher hiring strategy and continued optimization of subcontract costs, aspiration of 15 per cent exit may not see any risk.
Tech Mahindra Ltd (TechM) shares rose over 3 per cent in Friday's trade after the country's fifth-largest IT services exporter reported an all-round beat in June quarter. However, if consensus estimates are any guide, the stock may have limited upside from current levels. The Bloomberg consensus target, based on 43 analyst recommendations, stands at Rs 1,608, implying an upside of just about 3.9 per cent from the prevailing market price of Rs 1,546.95.
The consensus includes 35 updated recommendations so far, following the June quarter results, with Axis Capital assigning the lowest target price and MOFSL the highest.
Among brokerages, Goldman Sachs analyst Manish Adukia maintained a 'Sell' rating with a target price of Rs 1,420. CLSA's Sumeet Jain retained an 'Accumulate' rating with a target of Rs 1,634, while JPMorgan's Ankur Rudra remained 'Overweight' on the stock with a target price of Rs 1,700.
Morgan Stanley's Gaurav Rateria has a target price of Rs 1,270 on the stock, while Investec's Nitin Padmanabhan has a target of Rs 1,700. UBS's Aditya Chandrasekar maintained a 'Neutral' rating with a target price of Rs 1,460 on TechM.
Axis Capital's Ravi Menon has the lowest target price on TechM at Rs 1,080, while MOFSL's Abhishek Pathak has the highest at Rs 1,900, according to data compiled by Bloomberg. Jefferies' Akshat Agarwal has the second-lowest target price of Rs 1,260 among the 32 fresh recommendations, though up from Rs 1,225 in April.
TechM is on track to achieve its three-year goals in FY27, said Nomura analysts Abhishek Bhandari and Karan Nain.
They said TechM's growth was broad-based across all key verticals and EBIT margin at 14.4 per cent was ahead of their estimate of 14.1 per cent, largely driven by the ongoing Project Fortius and currency depreciation.
"We tweak FY27-28F EPS by minus 3 per cent to nil to factor in the 1Q earnings. Given TechM is now on track to exceed its large-cap peers on growth rates in FY27-28F, we raise our target multiple to 18 times (in line with LTM) from 16 times earlier. Our new target is Rs 1,600 vs Rs 1,410 earlier," Nomura anlaysts said.
Domestic brokerages are largely positive on the TechM stock.
JM Financial said large deal ramp-up provides visibility in the September quarter, despite drag from one-off revenues in European auto. It added that Q3 is generally decent quarter for TechM, given seasonality in the Retail vertical while Q4 will likely benefit from Comviva seasonality.
JM Financial said margin trajectory will be monitored given wage hikes in a phased manner. It maintained 'ADD' citing valuations.
MOFSL said the ongoing turnaround under the new leadership continues to track well and this quarter was another step in the right direction. With above-peer growth looking increasingly achievable, we continue to like TECHM's bottom-up turnaround story, it said.
TechM’s three consecutive quarters of $1 billion deal wins, position it well to beat its large-cap peers on growth in FY27, Nuvama said. It said margins too are likely to reach close to its 15 per cent target.
"Overall, TechM is set to report a strong earnings CAGR (25 per cent) over the next two years. This places it well to deserve valuations similar to LTIMindtree, rather than Top-three largecaps. We expect current valuations to sustain. Retain 'BUY/SO'," it said.
Elara said since TechM is planning for a staggered wage hike, the impact on margins would also be staggered and with fresher hiring strategy and continued optimization of subcontract costs, aspiration of 15 per cent exit may not see any risk.