Tech Mahindra (NSE:TECHM) Dividend Payout Ratio: 0.00 (As of Mar. 2026)


NSE:TECHM Tech Mahindra Ltd NSE:TECHM
85 GF Score
Price ₹1,410.10
GF Value ₹1,565.08
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Tech Mahindra Dividend Payout Ratio?

Tech Mahindra NSE:TECHM -0.79% 85 Dividend Payout Ratio is 0.00 as of Mar. 2026. GuruFocus rates NSE:TECHM with a GF Score™ of 85/100 and a GF Value™ of ₹1,565.08 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 869 Software companies, Tech Mahindra ranks worse than 79.86% on this metric.

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. Tech Mahindra's Dividend Payout Ratio for the months ended in Mar. 2026 was 0.00.

Warning Sign:

If a company's dividend payout ratio is too high, its dividend may not be sustainable. The dividend payout ratio of Tech Mahindra Ltd is 0.80, which seems too high.

The historical rank and industry rank for Tech Mahindra's Dividend Payout Ratio or its related term are showing as below:

NSE:TECHM' s Dividend Payout Ratio Range Over the Past 10 Years
Min: 0.18   Med: 0.35   Max: 1.67
Current: 0.8

During the past 13 years, the highest Dividend Payout Ratio of Tech Mahindra was 1.67. The lowest was 0.18. And the median was 0.35.

NSE:TECHM's Dividend Payout Ratio is ranked worse than
79.86% of 869 companies
in the Software industry
Industry Median: 0.41 vs NSE:TECHM: 0.80

As of today (2026-07-05), the Dividend Yield % of Tech Mahindra is 3.62%.

During the past 13 years, the highest Trailing Annual Dividend Yield of Tech Mahindra was 5.19%. The lowest was 0.84%. And the median was 1.86%.

Tech Mahindra's Dividends per Share for the months ended in Mar. 2026 was ₹0.00.

During the past 12 months, Tech Mahindra's average Dividends Per Share Growth Rate was 4.70% per year. During the past 3 years, the average Dividends Per Share Growth Rate was 44.20% per year. During the past 5 years, the average Dividends Per Share Growth Rate was 26.70% per year. During the past 10 years, the average Dividends Per Share Growth Rate was 22.60% per year.

During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of Tech Mahindra was 81.70% per year. The lowest was -25.00% per year. And the median was 31.55% per year.

The growth rate is calculated with least square regression.

For more information regarding to dividend, please check our Dividend Page.

* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.

Tech Mahindra (NSE:TECHM) Dividend Payout Ratio Explanation

In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.

Tech Mahindra Dividend Payout Ratio Related Terms

Tech Mahindra Dividend Payout Ratio Historical Data

* Premium members only.

The historical data trend for Tech Mahindra's Dividend Payout Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Tech Mahindra Dividend Payout Ratio Chart

Tech Mahindra Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Dividend Payout Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.25 0.28 1.67 1.00 0.79

Tech Mahindra Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Dividend Payout Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 2.33 0.00 1.01 0.00

NSE:TECHM vs IBM, ACN, FISV: Dividend Payout Ratio Comparison

For the Information Technology Services subindustry, Tech Mahindra's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Tech Mahindra Dividend Payout Ratio vs Software Industry

For the Software industry and Technology sector, Tech Mahindra's Dividend Payout Ratio distribution charts can be found below:

* The bar in red indicates where Tech Mahindra's Dividend Payout Ratio falls into.


NSE:TECHM
85GF Score
Tech Mahindra Ltd NSE:TECHM
Dividend Payout Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Tech Mahindra Dividend Payout Ratio Calculation

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period.

Tech Mahindra's Dividend Payout Ratio for the fiscal year that ended in Mar. 2026 is calculated as

Dividend Payout Ratio=Dividends per Share (A: Mar. 2026 )/ EPS without NRI (A: Mar. 2026 )
=45/ 57.042
=0.79

Tech Mahindra's Dividend Payout Ratio for the quarter that ended in Mar. 2026 is calculated as

Dividend Payout Ratio=Dividends per Share (Q: Mar. 2026 )/ EPS without NRI (Q: Mar. 2026 )
=0/ 15.24
=0.00

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Dividend Payout Ratio →
What does a Dividend Payout Ratio of 0.00 mean?
Tech Mahindra (NSE:TECHM) has a Dividend Payout Ratio of 0.00 as of Mar. 2026. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Tech Mahindra and its competitors. Over the past decade, Tech Mahindra's Dividend Payout Ratio has ranged from 0.18 to 1.67. According to the industry distribution chart, Tech Mahindra ranks #694 out of 869 companies in the Software industry, placing it in the top 79.9%.
Is Tech Mahindra's Dividend Payout Ratio too high?
Tech Mahindra's current Dividend Payout Ratio is 0.00. Over the past 10 years, this metric has ranged from a low of 0.18 to a high of 1.67. Based on the distribution chart, Tech Mahindra ranks #694 out of 869 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Tech Mahindra has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Tech Mahindra's Dividend Payout Ratio compare to IBM and ACN?
According to the Software industry distribution chart, Tech Mahindra ranks #694 out of 869 companies for Dividend Payout Ratio. This places Tech Mahindra in the lower half of its industry. The industry median Dividend Payout Ratio is 0.41. Historically, Tech Mahindra's own Dividend Payout Ratio has ranged from 0.18 to 1.67 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Dividend Payout Ratio for a Software company?
The median Dividend Payout Ratio among Software companies is 0.41, based on 869 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Dividend Payout Ratio mean?
A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Tech Mahindra and its competitors. For the Software industry, the median Dividend Payout Ratio is 0.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tech Mahindra's current Dividend Payout Ratio is 0.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tech Mahindra stock overvalued right now?
Based on GuruFocus' analysis, Tech Mahindra (NSE:TECHM) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹1,565.08, compared to a current price of ₹1,410.10 — trading 9.9% below its estimated fair value. The current Dividend Payout Ratio is 0.00. Tech Mahindra's overall GF Score™ is 85/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Dividend Payout Ratio calculated?
Dividend Payout Ratio is calculated from a company's financial statements. For Tech Mahindra (NSE:TECHM), the current Dividend Payout Ratio is 0.00 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Tech Mahindra (NSE:TECHM) Overvalued in 2026?

Based on GuruFocus' analysis, Tech Mahindra stock appears to be undervalued. The current stock price of ₹1,410.10 is trading 9.9% below its estimated GF Value™ of ₹1,565.08. GuruFocus considers Tech Mahindra to be Modestly Undervalued.

Key valuation signals for NSE:TECHM:

  • Dividend Payout Ratio: 0.00
  • GF Value™: ₹1,565.08 vs. price of ₹1,410.10 (9.9% below fair value)
  • GF Score™: 85/100 with 3 warning signs

No single metric tells the full story. See the NSE:TECHM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Tech Mahindra Business Description

Other Exchanges 532755:India
Address Plot No. 1, Phase III, Rajiv Gandhi Infotech Park, Hinjewadi, Pune, MH, IND, 411 057
Tech Mahindra Ltd is an IT services and consulting company in India. It offers a variety of technology solutions and services in addition to business process services. Its segments are Information Technology and Business Process Services. The technology solutions include helping companies engage in cloud software, mobile solutions, network services, cybersecurity, and a variety of other options. The business process service is offered across various industries including telecom, financial services, retail, energy, hospitality, high-tech, agriculture, and food beverage. The company generates the majority of its revenue from Communications & Media & Entertainment Industry. Geographically the company generates the majority of its revenue from the Americas.
85GF Score

Get the complete analysis for NSE:TECHM

Dividend Payout Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹1,410.10
Price
₹1,565.08
GF Value