Investors push Indian IT majors' stock valuations to reach decade high

Top 5 are trading at 24.9x their trailing 12-mth net profit

Topics
IT stocks | stock market trading

Krishna Kant  |  Mumbai 

As equity investors scramble for investment candidates in an environment of poor growth and benign liquidity, cash-rich IT services exporters — Tata Consultancy Services, Infosys, Wipro, HCL Technologies, and Tech Mahindra — are the new favourites of investors.

Investors new-found love for India’s technology majors had pushed their valuations to the highest level in nearly a decade. India’s top five technology companies are currently trading at 24.9x their trailing 12-month net profit on average, the highest since the March 2011 quarter when these companies were ...

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First Published: Thu, October 01 2020. 00:21 IST
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