Tata Technologies Limited (TATATECH) AI Stock Analysis

• Market Cap: ₹289.68B
• Dividend Yield: 1.17%
• Average Volume (3M): 60.27K
• Price to Earnings (P/E): 42.1
• Beta (1Y): 1.21
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IN
• Employees: 12,451
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 4.20
• Shares Outstanding: 405,679,660
• 10 Day Avg. Volume: 77,088
• 30 Day Avg. Volume: 60,275
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹633.80
• Price Target Upside: -11.70% Downside
• Rating Consensus: Strong Sell
• Number of Analyst Covering: 5

• Rating: 68 Neutral
• Price Target: ₹768.00 ▲(6.99% Upside)

Tata Technologies Limited's strong financial performance is the primary driver of its stock score, supported by solid revenue growth and profitability. However, the stock's valuation appears high, and technical indicators provide mixed signals, leading to a moderate overall score.

Tata Technologies Limited Business Overview & Revenue Model

Company Description

Tata Technologies Limited operates as a product engineering and digital services company in the North America, Europe, and Asia Pacific. It operates in Service and Technology Solutions segments. The company offers IT consultancy, SAP implementation and maintenance, networking, and CAD/CAM engineering and design consultancy services; and education services, as well as resells third-party software applications. Its services include end to end electric vehicle, turnkey full vehicle development, product benchmarking, embedded engineering, hardware in the loop testing and validation, model-based systems engineering, digital transformation, aerospace engineering and MRO, electric vehicle modular platform, RightWeighting 5R, Pulse, digital manufacturing, digital customer experience, enterprise transformation SAP S/4 HANA, Factorymagix, AMP.IOT, centralized hybrid integration platform, power of 8, tata technologies rapid connected environment, and visimatic solutions. Tata Technologies Limited was formerly known as Tata Technologies (India) Limited and changed its name to Tata Technologies Limited in February 2001. The company was founded in 1981 and is headquartered in Pune, India. Tata Technologies Limited operates as a subsidiary of Tata Motors Limited.

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: Positive
• Last Price: 717.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:TATATECH, the sentiment is Positive. The current price of 717.8 is above the 20-day moving average (MA) of 686.96, above the 50-day MA of 692.98, and below the 200-day MA of 735.16, indicating a neutral trend. The MACD of 5.99 indicates Negative momentum. The RSI at 64.28 is Neutral, neither overbought nor oversold. The STOCH value of 83.52 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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	139.98B	22.39	11.60%	2.06%	3.64%	-4.78%
KPITTECH	71 Outperform	355.47B	42.00	28.83%	0.66%	17.09%	21.20%
TATATECH	68 Neutral	₹289.68B	42.09		1.17%	―	―
NEWGEN	66 Neutral	125.29B	39.07	20.79%	0.57%	14.23%	17.64%
TATAELXSI	65 Neutral	353.97B	47.68	27.44%	1.32%	1.83%	-5.37%
LTTS	61 Neutral	454.29B	35.56	20.83%	1.28%	12.91%	-2.97%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

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.