Motilal Oswal has issued a buy rating on Mphasis with a target price of ₹3,100, representing significant upside potential from current levels. According to Motilal Oswal's research report dated May 31, 2026, the brokerage is bullish on the company's transition from a services-led model toward a platform-led, outcome-based AI model. The research emphasizes that Mphasis is attempting to reposition itself early for an AI-led services cycle and is structurally reshaping its business model rather than merely adding AI wrappers around existing services. Over FY26-28, Motilal Oswal forecasts a USD revenue CAGR of ~10% and an INR PAT CAGR of ~15%, valuing the stock at 24x FY28E EPS.
Mphasis Ltd has officially launched Mphasis Tria, an Enterprise Agency Platform on May 27, 2026, marking a significant milestone in the company's AI transformation strategy. The platform, governed by Mphasis' proprietary Front2Back framework, enables enterprises to move beyond AI experimentation into coordinated decision-making and measurable business outcomes. Alongside the platform launch, Mphasis unveiled two market-facing product lines: Mphasis Modernize™ and Mphasis Optimize™, establishing a scalable, repeatable, and platform-based commercial model that moves beyond bespoke services engagements into structured transformation offerings with measurable outcomes and recurring revenue potential. As per Angel One, the platform aims to transform enterprise intelligence into accountable actions across operations, technology, and commercial functions, delivering outcome-oriented actions at scale.
According to Motilal Oswal's research report, the company is transitioning toward a 'platform + people' operating model, where reusable IP, AI orchestration, and transformation-led delivery are expected to improve pricing power and client stickiness over time. The core message from the recent Mphasis Analyst Day was that the next phase of growth will be driven less by linear headcount addition and more by platform attachment and reusable solution archetypes. Management emphasized that the company is framing ARR as a lagging metric, while 'platform attach rate' would become the leading indicator to watch over the next few years. This strategic shift represents a fundamental change in how Mphasis approaches client relationships and service delivery.
As of May 27, 2026, at 2:38 PM, Mphasis share price on NSE was trading at ₹2,234.90, down by 1.34% from the previous closing price, according to Angel One. Despite mounting macroeconomic concerns affecting IT stocks, including Mphasis shares which have fallen 20% since the start of the year, the company remains optimistic about growth. According to Rakesh's comments during the company's post-earnings analyst call on 30 April, Mphasis expects to deliver high single-digit to low double-digit growth in FY27, supported by disciplined execution and increasing demand for AI-led transformation. The company reported $1.8 billion in revenue, up 7% year-on-year, with much of this growth coming from banking clients contributing more than half of Mphasis' revenue.
Mphasis lost its position as India's seventh-largest IT services company to Coforge last year, with Coforge reporting $1.87 billion in revenue for the year, up 29% from the previous fiscal. However, Rakesh said he was not concerned about this shift in rankings. As reported by Mint, earlier this month, Blackstone pledged its entire 30.55% stake in the company and raised about $700 million to refinance a loan used to fund the private equity firm's acquisition. Blackstone currently owns about 31% of the company after gradually reducing its holding through stake sales in 2018, 2024 and 2025.
