Tata Technologies Limited (TATATECH) AI Stock Analysis

• Market Cap: ₹275.50B
• Dividend Yield: 1.22%
• Average Volume (3M): 72.92K
• Price to Earnings (P/E): 40.6
• Beta (1Y): 1.19
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IN
• Employees: 12,451
• Sector: Technology
• Sector Strength: 85
• Industry: Information Technology Services
• EPS (TTM): 4.20
• Shares Outstanding: 405,679,660
• 10 Day Avg. Volume: 45,632
• 30 Day Avg. Volume: 72,915
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹657.50
• Price Target Upside: -3.18% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 6

• Rating: 69 Neutral
• Price Target: ₹776.00 ▲(14.27% Upside)

Tata Technologies Limited's strong financial performance is a key strength, driving the stock score. However, technical indicators suggest weak market momentum, and the high P/E ratio raises valuation concerns. Despite these challenges, the company's solid financial foundation provides a level of resilience.

Tata Technologies Limited Business Overview & Revenue Model

Company Description

Tata Technologies Limited (TATATECH) is a global engineering and product development digital services company. It operates primarily in the automotive, aerospace, and industrial machinery sectors, providing a comprehensive suite of services including engineering, research and development, product lifecycle management, and IT services. The company is part of the Tata Group, a renowned Indian multinational conglomerate, and leverages its expertise to deliver innovative solutions that enhance product development processes and optimize manufacturing operations for its clients worldwide.

How the Company Makes Money

Tata Technologies Limited generates revenue through a diversified model that includes engineering and design services, IT and consultancy services, and product lifecycle management (PLM) services. Its engineering services encompass outsourced product engineering, where the company assists clients in designing and developing new products and systems. The IT services segment includes enterprise solutions and digital transformation services that help clients modernize their IT landscapes. Additionally, Tata Technologies offers consultancy and implementation services for PLM software, which helps in managing the entire lifecycle of a product from inception through engineering design and manufacturing to service and disposal. The company's significant partnerships with leading global automotive and aerospace manufacturers, as well as its strategic alliances with technology providers, further bolster its revenue streams by enabling access to cutting-edge technologies and expanding its service offerings.

Tata Technologies Limited Financial Statement Overview

Summary

Tata Technologies Limited exhibits strong financial health with growing revenues and profitability. The company maintains a stable balance sheet with low leverage, ensuring financial flexibility. Cash flow generation is solid, though some volatility in cash flows should be monitored. The company is well-positioned in the industry but should remain vigilant regarding operational efficiency and liability management.

Income Statement

Tata Technologies Limited has demonstrated strong revenue growth over the years, with a notable increase from 2024 to 2025. The Gross Profit Margin and Net Profit Margin are robust, reflecting efficient cost management and profitability. EBIT and EBITDA margins are also strong, signifying operational efficiency. However, a slight decline in EBIT from the previous year suggests potential challenges in operational efficiency that need monitoring.

Balance Sheet

The company's balance sheet is solid, with a healthy Equity Ratio indicating strong capitalization and financial stability. The Debt-to-Equity Ratio is low, showing prudent financial leverage management. Return on Equity is impressive, reflecting efficient use of equity to generate profits. However, the increase in total liabilities warrants attention for potential risks.

Cash Flow

The cash flow statement indicates a positive trend in Free Cash Flow, showcasing the company's ability to generate cash after capital expenditures. The Operating Cash Flow to Net Income ratio is healthy, implying effective cash conversion from profits. However, fluctuations in operating cash flow over the years indicate some volatility in cash generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	51.68B	51.68B	51.17B	44.14B	35.30B	23.81B
Gross Profit	13.60B	13.89B	13.32B	11.27B	8.33B	4.82B
EBITDA	10.58B	10.58B	10.57B	9.09B	6.94B	4.25B
Net Income	6.77B	6.77B	6.79B	6.24B	4.37B	2.39B
Balance Sheet
Total Assets	66.64B	66.64B	55.78B	52.17B	42.30B	35.73B
Cash, Cash Equivalents and Short-Term Investments	15.61B	15.61B	9.63B	10.29B	13.97B	12.80B
Total Debt	2.37B	2.37B	2.57B	2.55B	2.61B	2.66B
Total Liabilities	30.85B	30.85B	23.57B	22.28B	19.50B	14.31B
Stockholders Equity	35.79B	35.79B	32.21B	29.89B	22.80B	21.42B
Cash Flow
Free Cash Flow	0.00	6.68B	2.03B	3.36B	-1.02B	10.98B
Operating Cash Flow	0.00	6.99B	2.94B	4.01B	-387.10M	11.13B
Investing Cash Flow	0.00	-885.30M	3.94B	-4.87B	742.10M	-6.74B
Financing Cash Flow	0.00	-4.86B	-5.57B	-3.47B	-444.11M	-440.71M

Tata Technologies Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 679.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:TATATECH, the sentiment is Neutral. The current price of 679.1 is below the 20-day moving average (MA) of 681.92, below the 50-day MA of 701.19, and below the 200-day MA of 756.89, indicating a neutral trend. The MACD of -6.75 indicates Negative momentum. The RSI at 47.91 is Neutral, neither overbought nor oversold. The STOCH value of 75.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:TATATECH.

Tata Technologies Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CYIENT	74 Outperform	₹133.47B	21.90		2.16%	3.64%	-4.78%
TATATECH	69 Neutral	₹275.50B	40.57		1.22%	―	―
NEWGEN	66 Neutral	₹126.92B	40.69		0.56%	14.23%	17.64%
TATAELXSI	65 Neutral	₹341.22B	46.39		1.37%	1.83%	-5.37%
KPITTECH	64 Neutral	₹328.95B	40.48		0.71%	17.09%	21.20%
Sector *	61 Neutral	$35.62B	8.22	-10.94%	1.88%	8.86%	-10.36%
LTTS	61 Neutral	₹458.35B	36.51		1.27%	12.91%	-2.97%

Tata Technologies Limited Corporate Events

Tata Technologies and AWS Launch InnoVent Hackathon for Smart Mobility Innovations

Tata Technologies has partnered with Amazon Web Services to launch the third edition of the InnoVent hackathon, aimed at engineering students in India. This initiative encourages students to develop innovative solutions for smart mobility using cutting-edge technologies like AI, IoT, and cloud computing. The hackathon offers cash prizes, internships, and mentorship opportunities, enhancing Tata Technologies’ role in fostering innovation within the mobility sector.