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Tata Elxsi vs Infosys: A New-Age Tech Stock Worth the Price?
Tata Elxsi and Infosys are both prominent names in India’s IT and engineering services sector, yet they occupy distinct niches.

Tata Elxsi and Infosys are both prominent names in India’s IT and engineering services sector, yet they occupy distinct niches. Tata Elxsi focuses on high-margin design-led engineering and digital products, while Infosys serves as a broader IT services export powerhouse. This blog offers a clear comparison of their business models, financials, valuation, and market positioning, helping readers understand how each stacks up today.

Share Price and Market Capitalisation

As of June 17 2025, tata elxsi share trades at approximately ₹6,418. This marks a decline of around 29% from its 52-week high of ₹9,082, reflecting broader sector trends and profit-taking after a period of sustained growth. The company’s market capitalisation currently stands at about ₹399.6 billion.

Infosys, by comparison, has a significantly larger scale. Its market capitalisation exceeds ₹6 trillion, and the stock is trading at around ₹1,400 per share. While Infosys is a more established IT services player, tata elxsi share is often seen as a high-growth design and innovation-focused company.

Revenue and Profit Performance

In FY25, Tata Elxsi posted revenue of ₹3,729 crore, up 5.5% year-on-year. The company maintained a strong EBITDA margin of 26.1% and a profit before tax margin of 26.3%. For Q4 FY25, revenue stood at ₹908.3 crore, and net profit came in at ₹172.4 crore - a decline of 12% compared to the same quarter last year.

Infosys, on the other hand, reported revenue of ₹40,925 crore in Q4 FY25, a 7.9% increase year-on-year. Net profit for the quarter was ₹7,033 crore, which represented an 11.8% decline year-on-year due to rising expenses and foreign exchange impacts. Despite the drop, Infosys maintained an operating margin of 21.0% for the quarter.

Valuation Metrics

As of June 2025, tata elxsi share trades at a trailing P/E ratio of approximately 50.6× and a P/S ratio of about 10.7×. These elevated valuations reflect investor optimism around the company’s focus on digital engineering, embedded systems, and design services.

Infosys trades at a significantly lower trailing P/E of around 19× and a P/S ratio closer to 4.5×. Its valuation is more in line with global IT service providers and reflects the scale and maturity of its business.

The contrast in valuation suggests that tata elxsi share is priced for higher future growth, while Infosys is valued for stability and consistent performance.

Business Focus and Industry Exposure

Tata Elxsi operates in specialised domains such as automotive, broadcast, healthcare, and industrial design. The company’s core strength lies in design-led engineering, user experience (UX), and product development, making it well-positioned in emerging segments like autonomous vehicles and medical devices.

Infosys, by contrast, delivers end-to-end IT services including consulting, application development, cloud, and enterprise solutions. It has a broad global client base across financial services, telecom, retail, and manufacturing. While Infosys is more diversified, tata elxsi share benefits from being deeply entrenched in high-margin, innovation-led verticals.

How to Invest

Investors interested in tracking or investing in tata elxsi share or Infosys must open a demat account. A demat account enables you to hold and trade shares digitally, receive dividends, and access corporate benefits. You can open one easily through one of the platforms such as https://www.torusdigital.com/open-demat-account, which offers a fast and fully online setup process.

 

Conclusion

Tata Elxsi and Infosys represent two different ends of the technology investment spectrum - one focused on niche digital product engineering, the other on large-scale IT services delivery. The tata elxsi share commands a premium due to its specialised business model, while Infosys appeals to those looking for scale, stability, and global exposure. Each offers a distinct value proposition based on risk tolerance and growth expectations.

 

Tata Elxsi vs Infosys: A New-Age Tech Stock Worth the Price?
Image Share By: kmrraheja@gmail.com
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