TECHM.NS
Tech Mahindra LimitedExplain this page
Arphra AIPlain-English read on Tech Mahindra Limited’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
A snapshot of the latest fiscal year’s margins, returns on capital, balance-sheet strength and efficiency, computed from the income statement, balance sheet and cash-flow rows. Source income / balance / cash_flow.
Valuation multiples
| In USD | FY 2026 |
|---|---|
| Headline | |
| Market cap | $1.23T |
| Enterprise value | $1.2T |
| Multiples | |
| P / E | — |
| P / B | — |
| EV / EBITDA | — |
| EV / Sales | 2.11 |
| EV / FCF | 21.88 |
| Yields | |
| Earnings yield | +3.92% |
| Free cash flow yield | +4.46% |
| Dividend yield | — |
Profitability
| In USD | FY 2026 |
|---|---|
| Margins | |
| Gross margin | +35.62% |
| Operating margin | +12.59% |
| EBITDA margin | +15.95% |
| EBIT margin | +12.64% |
| Pre-tax margin | +12.05% |
| Net margin | +8.47% |
| Cost structure | |
| Cost of revenue / sales | +64.38% |
| R&D intensity | 0.00% |
| SG&A intensity | 0.00% |
| Effective tax rate | +25.82% |
Returns on capital
| In USD | FY 2026 |
|---|---|
| Returns | |
| Return on equity (ROE) | +16.00% |
| Return on assets (ROA) | +9.74% |
| Return on capital (ROC) | +22.17% |
| Return on invested capital (ROIC) | +14.91% |
| Asset turnover | +115.08% |
| DuPont · ROE decomposition | |
| Net margin | +8.47% |
| Asset turnover (× revenue / assets) | +115.08% |
| Equity multiplier (× assets / equity) | +164.14% |
Activity & efficiency
| In USD | FY 2026 |
|---|---|
| Turnover | |
| Asset turnover | 1.15 |
| Fixed-asset turnover | 12.82 |
| Inventory turnover | 351.04 |
| Receivables turnover | 4.25 |
| Payables turnover | 7.26 |
| Days outstanding | |
| Days sales outstanding (DSO) | 85.81 |
| Days inventory outstanding (DIO) | 1.04 |
| Days payables outstanding (DPO) | 50.29 |
| Cash conversion cycle | 36.56 |
Cash flow quality
| In USD | FY 2026 |
|---|---|
| Operating CF / Net income | 1.28 |
| FCF / Net income | 1.14 |
| FCF margin | +9.64% |
| OCF margin | +10.86% |
| CapEx / Revenue | +1.22% |
| CapEx / D&A | 0.37 |
| Stock-based comp / Revenue | +0.17% |
Per-share & shareholder yield
| In USD | FY 2026 |
|---|---|
| EPS · diluted | 54.19 |
| EPS · basic | 54.28 |
| Book value / share | 338.79 |
| Tangible BV / share | 221.35 |
| Sales / share | 639.97 |
| Operating CF / share | 69.52 |
| Free cash flow / share | 61.69 |
| Dividends / share | 45.34 |
| Payout ratio | +83.67% |
| Retention ratio | +16.33% |
Growth
| In USD | FY 2026 | CAGR |
|---|---|---|
| Top-line | ||
| Revenue · YoY | — | — |
| Gross profit · YoY | — | — |
| Profit | ||
| Operating income · YoY | — | — |
| EBITDA · YoY | — | — |
| Net income · YoY | — | — |
| Operating | ||
| EBIT · YoY | — | — |
| R&D · YoY | — | — |
| Per-share | ||
| EPS · diluted · YoY | — | — |
| EPS · basic · YoY | — | — |
Credit & leverage
| In USD | FY 2026 |
|---|---|
| Leverage | |
| Total debt | $21.86B |
| Net debt | -$28.6B |
| Net debt / EBITDA | -0.32 |
| Debt / equity | 0.07 |
| Debt / assets | +4.43% |
| Equity / assets | +60.92% |
| Coverage | |
| EBITDA / interest expense | 26.87 |
| Operating income / interest | 21.20 |
| Interest expense | $3.37B |
| Liquidity | |
| Current ratio | 1.90 |
| Quick ratio | 1.53 |
| Cash ratio | 0.35 |
| Working capital | $130.77B |
| Working capital / revenue | +23.02% |
Historical multiples · μ ± σ bands
3 fiscal-year-end observations from key_metrics. Mean is dashed; light-green band is ±1σ, light-red band ±2σ. The dot marks the most recent value; the cheap / fair / rich verdict uses z-score against the issuer's own history (yields inverted — a high yield is cheap).
Sourced from key_metrics + financial_ratios (loaded by load_fundamentals_extended.py).
| Metric | FY 2026 | FY 2025 | FY 2024 |
|---|---|---|---|
| P / E | — | — | — |
| P / B | — | — | — |
| EV / EBITDA | — | — | — |
| EV / Sales | 2.11x | 2.29x | 2.08x |
| Earnings yield | 3.9% | 3.4% | 2.1% |
| FCF yield | 4.5% | 4.2% | 5.1% |
| Metric | FY 2026 | FY 2025 | FY 2024 |
|---|---|---|---|
| Gross margin | — | — | — |
| Operating margin | — | — | — |
| Net margin | — | — | — |
| ROE | 16.2% | 15.5% | 8.8% |
| ROA | 9.7% | 9.6% | 5.4% |
| ROIC | 15.0% | 37.2% | 33.6% |
| Metric | FY 2026 | FY 2025 | FY 2024 |
|---|---|---|---|
| Debt / equity | — | — | — |
| Net debt / EBITDA | -0.32 | -0.36 | -0.40 |
| Interest coverage | — | — | — |
| Current ratio | 1.90x | 1.81x | 1.82x |
| Quick ratio | — | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).