10 Best IT Stocks in India 2023

The IT sector in India has transformed the country into a digitally viable state. Right from the online payment of Rs 1 to the online corporate meeting, interviews, college lectures etc, India is growing digitally along with advanced technology in every sector. 

Earlier India had to be dependent wholly on foreign countries in order to fulfil its technological needs. Now, as there are huge technological innovations being undertaken in India the best example will be the UPI( Unified Payment Interface) a fintech innovation, that has achieved its acceptance in foreign countries, making India not only a digitally viable but also a technologically viable state. The IT industry accounted for 7.4% of India’s GDP in FY22 and is expected to contribute 10% to India’s GDP by 2025.

IT Sector: Overview

As discussed in the previous article “What Will the Indian Stock Market Look Like in 2023?” the revenue of the IT sector is heavily influenced by the economic stability of foreign countries, particularly the United States, which contributes 40-75% of the revenue earned by Indian IT companies. This is the major reason why the IT stocks in India were facing persistent selling pressure due to global economic disruptions because of interest rate hikes, the Russia-Ukraine war etc. 

Finally, the IT sector is turning green (as per last month’s data) in the sectoral heat map. Which is a sign of rejuvenation of investor’s interest in the Indian IT sector. 

market screner
Source: Marketscreener

So let us look at the top IT stocks in 2023.

Top 10 IT Stocks in 2023

1. Infosys


Infosys Ltd. offers technology, consulting, outsourcing, and next-generation digital services to help clients carry out their digital transformation strategies. It ranks behind TCS as India’s second-largest information technology company.

It includes services that improve customer experience, make use of AI-based analytics and big data, design digital products and the Internet of Things, update antiquated technology, move to the cloud, and implement cutting-edge cyber-security systems.

Market Cap.(cr)6,69,725
Dividend yield(%)1.93
52-week High19,233

2. Tata Consultancy Services (TCS)


The Tata Group’s main line business is Tata Consultancy Services. It is an IT services, consulting, and business solutions company that has spent more than 50 years working as a transformation partner with many of the biggest companies in the world. TCS provides an integrated portfolio of business, technology, and engineering services and solutions that are consulting-led and cognitive-powered.

Market Cap.(cr)12,94,408
Dividend yield(%)1.22
52-week High4,043

3. HCL Tech Ltd.

hcl tech logo

One of the top five Indian IT services companies in terms of revenue is HCL Tech, a well-known international provider of IT services. In addition to this, it also provides software-led IT solutions, remote infrastructure management, engineering and R&D services, and BPO. The company is mainly focused on transformational outsourcing.

Market Cap.(cr)3,02,750
Dividend yield(%)4.30
52-week High1,215

4. Wipro Ltd.

Wipro Ltd. logo

Wipro Ltd. is a multinational provider of business process services (BPS), consulting, and information technology. In the global IT services market, it ranks fourth among Indian IT companies, behind TCS, Infosys, and HCL Technologies. Its Service line includes cloud and infrastructure services (CIS), digital operations and platform (DO&P), and cybersecurity and risk services.

Market Cap.(cr)2,22,669
Dividend yield(%)1.48
52-week High726.80

5. Larsen & Toubro Technology Services Ltd.

Larsen & Toubro Technology Services Ltd. logo

Incorporated in 2012, LTTS is an engineering services provider that provides engineering, research and development (ER&D), and digitalization solutions to businesses in the transportation, industrial products, telecommunications, high-tech, medical, and plant sectors.

Transportation, Plant Engineering, Industrial Products, Medical Devices, and Telecom & Hi-Tech are the company’s five business segments.

Market Cap.(cr)38,145
Dividend yield(%)0.69
52-week High5,295

6. Tech Mahindra Ltd.

Tech Mahindra Ltd. logo

Anand Mahindra created Tech Mahindra, which has its headquarters in Pune, 35 years ago. It began as a joint venture with British Telecom, which left the company in December 2012. Tech Mahindra now employs over 1.25 lakh people in 90 countries.

The company provides a wide range of services, including engineering, application, data analytics, network, testing, performance engineering, security & risk management, business process, product engineering, consulting, and infrastructure & cloud services.

Market Cap.(cr)99,083
Dividend yield(%)1.47
52-week High1,838

7. MindTree Ltd.

MindTree Ltd logo

MindTree is a subsidiary of Larsen & Toubro .Enterprise solutions, 

infrastructure management services, testing, digital solutions, and platform-based solutions are just a few of the many IT services that Larsen & Toubro Infotech Ltd. provides to clients in a variety of industries.

Market Cap.(cr)56,643
Dividend yield(%)1.08
52-week High4,886.55

8. Mphasis Ltd.

Mphasis Ltd. LOGO

Mphasis, a leading global provider of information technology (IT) solutions with a focus on cloud and cognitive services, uses cutting-edge technology to support businesses in their global transformation.

Market Cap.(cr)40,561
Dividend yield(%)2.14
52-week High3465.80

9. Info Edge Ltd.

Info Edge Ltd. LOGO

Info Edge was formed in 1995 by Sanjeev Bikhchandani. It is well-known in the public for its online job portal Naukri.com and its matrimonial website Jeevansaathi.com.

Market Cap.(cr)49,268
Dividend yield(%)0.34
52-week High5,020.35

10. Tata Elxsi Ltd.

Tata Elxsi Ltd. LOGO

Being one of the top companies in the world for design and technology services, Tata Elxsi works with clients in the automotive, media, communications, and healthcare sectors. With the assistance of a network of design studios, global development centers, and offices around the world, Tata Elxsi offers integrated services ranging from research and strategy to electronics and mechanical design, software development, validation, and deployment. 

Market Cap.(cr)41,494
Dividend yield(%)0.64
52-week High10,760

Points to Remember Before Investing In IT Sector Stocks

There are certain factors which need to be considered before investing in IT sectors.

  • Geographic Distribution of Revenues: As the revenue share of Indian IT companies are largely contributed by foreign countries. Due to which the sector is prone to global economic stability. It would be the first to get impacted by foreign economic crisis.
  • Assessing the Financial Performance of the company: The financial statement analysis is very much required before investing in any particular stock. The same goes with the IT Stocks, an investor should be cautious in assessing profitability of the company through its financial statements.
  • Dividend Payout: As discussed in the article “Top dividend Paying Penny stocks” the dividend payout is one of the indicators used in assessing the profitability of the company as it is also a source of secured return.
  • Revenue Size: IT businesses work in a variety of industries, including banking and finance, insurance, pharmaceuticals, communications, media and technology, energy and utilities, and manufacturing.


The Indian IT sector has huge growth potential in upcoming decades as the country’s budget plans are mainly focused on making India technologically and digitally compatible. Various schemes such as “Digital India” which is launched by the government to achieve digital sustainability are serving the purpose. As a result, the Indian IT sector provides a wealth of opportunities for investors to participate in India’s technological advancements.

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