An analyst said the stock is forming higher lows, and advised a fresh entry only above ₹1,570.
Tech Mahindra shares fell 1% in the opening trade on Wednesday, reacting to its September quarter (Q2 FY26) earnings fineprint.
Q2 profits missed street estimates, rising 4.8% to ₹1,195 crore quarter-on-quarter (QoQ). Revenues rose to ₹13,995 crore, supported by strength in its banking and manufacturing verticals.
Operating margins expanded to 12.1% from 11.1%. Its new deal wins TCV (total contract value) during the quarter was $816 million.
The Pune-based IT services company has declared a ₹15 per share interim dividend, with the record date set for October 21.
“From a macro perspective, we see the macro as stabilizing and maybe improving in parts. But it is still fragile. There is unlikely to be any sort of V-shaped recovery in spend, but we do see a stabilization and, hopefully, growth in the second half of the year,” said Mohit Joshi, chief executive of Tech Mahindra, during the company’s post-earnings press conference on Tuesday.
Tech Mahindra: What do technical charts show?
SEBI-registered analyst Mayank Singh Chandel noted that Tech Mahindra reached an all-time high in December 2021 and then experienced a significant decline. It attempted to recover and approached its previous highs in December 2024, but once again, the stock declined.
According to him, the positive aspect is that the stock continues to make higher lows, indicating that buyers are gradually stepping in. Since June 2025, it has been in a downtrend, but it hasn’t broken its previous major swing low. This is considered a sign of support, holding firm.
Chandel advised traders to consider a fresh entry only after the stock closes above ₹1,570.
What is the retail mood on Stocktwits?
Data on Stocktwits showed that retail sentiment flipped to ‘bullish’ from ‘neutral’ a day ago.
Tech Mahindra shares have declined 15% so far this year as US tariff-related uncertainty and mounting risks from a tightening US visa regime weighed on investor sentiment.
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