MPHASIS
Mid CapMphasiS Limited
IT
Mphasis is an AI-led, platform-driven company with human-in-the-loop intelligence, helping global enterprises modernize, infuse AI, and scale with agility. It uses its proprietary NeoIP platform and Front2Back transformation framework to deliver hyper-personalized digital experiences and pivot to cloud-first operating models.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Mixed fundamentals, management trust is acceptable, price trend argues for patience, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
medium confidence · 3/4 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Average · 42/100margin compression · Rev +14% YoY · PAT +14% YoY · +6% QoQ
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹4,243 Cr | +14.4% | +6.0% |
| EBITDA | ₹804 Cr | +14.4% | +7.2% |
| Operating margin | 19.0% | +0 bps | +0 bps |
| PAT | ₹510 Cr | +14.3% | +15.4% |
| PAT margin | 12.0% | +0 bps | +98 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
Mphasis reports strong Q4FY26 with Direct revenue up 9.2% YoY and 3.3% QoQ in CC, driven by BFS and Insurance. FY26 saw record TCV wins of $2.1Bn+, with 69% of pipeline AI-led, outperforming growth expectations and maintaining stable margins.
The company delivered strong Q4 and FY26 results, exceeding growth expectations with significant AI-led deal momentum. Record TCV wins and a broadened client pyramid suggest continued demand. Stable margins and strong cash flow generation are positives, despite macro uncertainties.
AI-led Modernization Deals
AI-led deals underpin strong pipeline expansion (69% of pipeline AI-led) and drive APPS YoY growth.
NeoIPTM Platform Differentiation
Mphasis’ NeoIPTM platform provides differentiation, winning through IP-led capabilities and orchestrating AI solutions.
Banking & Financial Services (BFS)
BFS Direct grew 6.4% QoQ and 17.4% YoY, driven by wallet share gains and growth in New Wins/Accounts.
Broadened Client Pyramid
Significant strengthening of client pyramid with additions in $20Mn+, $50Mn+, $75Mn+, $100Mn+ bands.
Customer Demand for Efficiency & Modernization
Clients prioritize structural efficiencies, modernization of complex tech estates, and operationalizing AI at scale.
AI Momentum
AI momentum continues, with AI-led pipeline doubling 2.6x from FY24 to FY26.
Strong Deal Wins
Highest ever annual net new TCV of $2.1Bn+ in FY26, with 68% growth YoY.
Uncertain Macro Environment
Management expects to deliver high single digit to low double-digit growth despite the uncertain macro environment.
Project Ends in TMT
TMT vertical had a few project ends in Q4FY26, impacting its sequential performance.
Fluctuations in Earnings & FX Rates
Risks include fluctuations in earnings, revenue, profits, and foreign exchange rates.
Intense Competition & Wage Increases
Intense competition in IT services and wage increases in India pose risks.
Client Concentration (US)
Revenues are highly dependent on clients in the United States of America.
Reduced Demand for Technology
Reduced demand for technology in key focus areas could impact growth.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
QoQ comparison is crucial for IT services to assess sequential momentum, deal ramp-ups, and project execution. YoY is important to gauge underlying growth trends and normalize for seasonality, especially in a dynamic macro environment.
Q4FY26 Direct Revenue Growth (CC)
Direct QoQ growth of 3.3%, YoY growth of 9.2%.
FY26 Revenue Growth (CC)
FY26 revenue grew +6.7% YoY in constant currency.
Q4FY26 TCV Wins (Net New)
TCV (net new) for the quarter at $407 Mn. TTM TCV at $2.1Bn+.
FY26 AI-led Pipeline
69% of FY26 pipeline is AI-led, representing 38% growth and highest pipeline ever.
Accelerate Competitive Differentiation
Accelerate competitive differentiation through Neo platform investments, aided by TAP acquisition.
Sustaining Pipeline Momentum
Sustaining pipeline momentum and deal wins, building on record TCV of FY26 for FY27.
FY27 Growth Outlook
Deliver between high single digit to low double-digit growth in FY27, despite uncertain macro.
Stable Margins & Cash Flow
Disciplined execution with stable margins in 14.75%-15.75% band and 80% OCF to Net income conversion.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| FY27 Revenue Growth (CC) | FY26: +6.7% YoY | Achieving high single digit to low double-digit growth in FY27. |
| Operating Margin | Q4FY26: 15.4% | Maintaining margins within the 14.75%-15.75% target band. |
| AI-led Pipeline Contribution | 69% of FY26 pipeline | Continued growth and conversion of AI-led deals in the pipeline. |
| TCV Wins | TTM: $2.1Bn+ | Sustaining pipeline momentum and deal wins. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Show extracted source claims
DSO is expected to normalize over the course of the next three to four quarters.
"We do expect normalization over the course of next three to four quarters."
The pace of revenue and deal conversion is expected to remain strong, propelled by the Savings-Led TransformationTM theme.
"We expect the pace of revenue and deal conversion to remain strong"
Outcome check: Revenue YoY averaged 13.4% across 2 later quarter(s).
The Logistics and Transportation vertical is expected to start delivering sequential growth from Q3.
"We expect the Logistics and Transportation vertical to start delivering sequential growth from Q3."
Outcome check: Revenue YoY averaged 13.4% across 2 later quarter(s).
Mphasis will be laser focused on building pipeline, closing deals, and sustaining growth in the Healthcare vertical in the coming quarters, leveraging the Mphasis Javelina® healthcare platform.
"we will be laser focused on building pipeline, closing deals and sustaining growth in the coming quarters"
Outcome check: Revenue YoY averaged 13.4% across 2 later quarter(s).
Trend score and candlestick chart
44NeutralSMA20 -12.2% / mo
Technical chart
MPHASISweekly · 6M-19.6%Technical trend read
NeutralTrend is undirectional — long-term trend unclear. RSI 46.
- RSI(14) at 46 — sideways, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 21% off 52W high · 16% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Fair-value margin of safety is positive at 21.0%.
- Balance sheet contributes 10/15 to the score.
Main drags
- Valuation is weaker at 8/30; verify the latest quarterly trend.
- Growth is weaker at 9/25; verify the latest quarterly trend.
- Quality is weaker at 10/20; verify the latest quarterly trend.
IT valuation: PE and EV/EBITDA against growth and margins
Asset-light IT companies deserve valuation support only when growth, margins, and cash conversion hold up.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Management has 67% delivered/partly-delivered outcomes on 3 checked claims, with 1 adverse claim outcome. It ranks around the 49th percentile of the scored universe and 44th percentile within IT. No major sub-score weakness stands out.
Healthy Trust: 3/4 extracted management claims have outcome checks; 67% were fully delivered and 0 were partially delivered. 1 claim(s) were contradicted or failed. Key concern: Promoter holding fell 9.6%.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · IT: 44th pctile, median 68 · Mid: 28th pctile, median 76
3/4 claims checked. Use as directional, not final.
3/4 claims checked · 1 contradicted/failed claim
How to read this Trust Score
Mixed Trust · medium confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 2%.
- ▸10 years of positive FCF.
- ▸ROCE is 22.8%.
Trust risks
- ▸Promoter holding fell 9.6%.
Intrinsic value
Fundamentals
Valuation
- P/E
- 23.60
- P/B
- 4.15
- EV/EBITDA
- 13.35
- Market Cap
- 44561.00Cr
Profitability
- ROE
- 18.50%
- ROCE
- 22.80%
- ROA
- 10.48%
- Dividend Y
- 2.66%
Growth (CAGR)
- Revenue 5Y
- 10.00%
- EPS 5Y
- 9.00%
- Revenue 3Y
- 5.00%
- EPS 3Y
- 5.00%
Balance Sheet
- Debt/Equity
- 0.24
- Interest Coverage
- 14.60×
- Altman Z
- 6.29
- Book Value
- 563.00
Cash Flow
- FCF Yield
- 1.95%
- FCF Positive Y
- 10/5
- OCF
- 839.00 Cr
- EPS TTM
- 97.61
Shareholding
- Promoter Hold
- 30.55%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 31%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in IT — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.