Tech Mahindra (India) Buy Hold or Sell Recommendation
| TECHM Stock | 1,764 14.30 0.80% |
Assuming the 90 days trading horizon and your above-average risk tolerance, our recommendation regarding Tech Mahindra Limited is 'Strong Sell'. The recommendation algorithm takes into account all of Tech Mahindra's available fundamental, technical, and predictive indicators you will find on this site.
Check out Tech Mahindra Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. In addition, we conduct extensive research on individual companies such as Tech and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Tech Mahindra Limited. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population.
Tech |
Execute Tech Mahindra Buy or Sell Advice
The Tech recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Tech Mahindra Limited. Macroaxis does not own or have any residual interests in Tech Mahindra Limited or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Tech Mahindra's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Sell
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
Tech Mahindra Trading Alerts and Improvement Suggestions
| About 36.0% of the company outstanding shares are owned by corporate insiders | |
| Latest headline from news.google.com: Tech Mahindras Stock Sees 3. percent Increase, Outperforms Sector and Market. - MarketsMojo |
Tech Mahindra Returns Distribution Density
The distribution of Tech Mahindra's historical returns is an attempt to chart the uncertainty of Tech Mahindra's future price movements. The chart of the probability distribution of Tech Mahindra daily returns describes the distribution of returns around its average expected value. We use Tech Mahindra Limited price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Tech Mahindra returns is essential to provide solid investment advice for Tech Mahindra.
| Mean Return | 0.14 | Value At Risk | -2.51 | Potential Upside | 2.66 | Standard Deviation | 1.63 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Tech Mahindra historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Tech Mahindra Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change In Cash | 9.7B | (3.3B) | 11.0B | 2.7B | 2.9B | 3.1B | |
| Free Cash Flow | 35.1B | 74.3B | 43.3B | 45.6B | 55.9B | 58.6B | |
| Depreciation | 14.5B | 14.6B | 15.2B | 19.6B | 18.2B | 19.1B | |
| Other Non Cash Items | (907M) | 821M | 2.9B | 1.3B | 8.2B | 8.6B | |
| Dividends Paid | 24.9B | 17.6B | 39.8B | 42.6B | 39.2B | 41.1B | |
| Capital Expenditures | 8.4B | 6.7B | 9.6B | 10.2B | 7.9B | 6.4B | |
| Net Income | 50.6B | 59.5B | 74.5B | 64.5B | 23.6B | 32.5B | |
| End Period Cash Flow | 30.2B | 26.9B | 37.9B | 40.6B | 43.5B | 45.6B | |
| Investments | 20.4B | (40.0B) | 57.2B | (2.8B) | (13.1B) | (12.5B) | |
| Net Borrowings | (444M) | (11.7B) | (6.8B) | (6.0B) | (5.4B) | (5.1B) | |
| Change To Netincome | (6.0B) | 6.4B | (3.7B) | 6.3B | 7.2B | 7.6B |
Tech Mahindra Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Tech Mahindra or IT Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Tech Mahindra's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Tech stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.15 | |
β | Beta against Dow Jones | -0.17 | |
σ | Overall volatility | 1.61 | |
Ir | Information ratio | 0.01 |
Tech Mahindra Volatility Alert
Tech Mahindra Limited has relatively low volatility with skewness of -0.17 and kurtosis of 0.01. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Tech Mahindra's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Tech Mahindra's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Tech Mahindra Fundamentals Vs Peers
Comparing Tech Mahindra's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Tech Mahindra's direct or indirect competition across all of the common fundamentals between Tech Mahindra and the related equities. This way, we can detect undervalued stocks with similar characteristics as Tech Mahindra or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Tech Mahindra's fundamental indicators could also be used in its relative valuation, which is a method of valuing Tech Mahindra by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Tech Mahindra to competition |
| Fundamentals | Tech Mahindra | Peer Average |
| Return On Equity | 0.12 | -0.31 |
| Return On Asset | 0.0589 | -0.14 |
| Profit Margin | 0.06 % | (1.27) % |
| Operating Margin | 0.1 % | (5.51) % |
| Current Valuation | 1.53 T | 16.62 B |
| Shares Outstanding | 884.46 M | 571.82 M |
| Shares Owned By Insiders | 36.24 % | 10.09 % |
| Shares Owned By Institutions | 41.66 % | 39.21 % |
| Price To Book | 5.95 X | 9.51 X |
| Price To Sales | 2.98 X | 11.42 X |
| Revenue | 519.96 B | 9.43 B |
| Gross Profit | 185.63 B | 27.38 B |
| EBITDA | 50.93 B | 3.9 B |
| Net Income | 23.58 B | 570.98 M |
| Cash And Equivalents | 42.55 B | 2.7 B |
| Total Debt | 25.37 B | 5.32 B |
| Book Value Per Share | 298.71 X | 1.93 K |
| Cash Flow From Operations | 63.76 B | 971.22 M |
| Earnings Per Share | 36.80 X | 3.12 X |
| Price To Earnings To Growth | 1.86 X | 4.89 X |
| Target Price | 1663.29 | |
| Number Of Employees | 154.27 K | 18.84 K |
| Beta | 0.59 | -0.15 |
| Market Capitalization | 1.56 T | 19.03 B |
| Total Asset | 434.24 B | 29.47 B |
| Retained Earnings | 227.68 B | 9.33 B |
| Working Capital | 108.09 B | 1.48 B |
| Annual Yield | 0.02 % | |
| Net Asset | 434.24 B | |
| Last Dividend Paid | 43.0 |
Tech Mahindra Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Tech . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 21680.65 | |||
| Daily Balance Of Power | (0.60) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 1765.15 | |||
| Day Typical Price | 1764.62 | |||
| Price Action Indicator | (8.75) | |||
| Period Momentum Indicator | (14.30) |
About Tech Mahindra Buy or Sell Advice
When is the right time to buy or sell Tech Mahindra Limited? Buying financial instruments such as Tech Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Other Information on Investing in Tech Stock
Tech Mahindra financial ratios help investors to determine whether Tech Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Tech with respect to the benefits of owning Tech Mahindra security.