<p>The research aims to measure the impact of usage of social media, academic pressure, and digital literacy, on mental health. It also aims to measure the mediating role of perceived stress on mental health of undergraduate students. Survey method was used for collecting data from a sample of 565 undergraduate students from state and private universities of Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, and Kerala. EFA and Path analysis was used for testing and validating the conceptual model. The results showed that Social Media Usage increases Perceived Stress and negatively impacts Mental Health Outcomes both directly and indirectly through Perceived Stress. Academic Pressure increases Perceived Stress, which negatively impacts Mental Health Outcomes indirectly. Digital Literacy reduces Perceived Stress and has a positive effect on Mental Health Outcomes both directly and indirectly through reduced stress. Perceived Stress was found to have a significantly negative impact on the Mental Health Outcomes. The demographic variables namely; age, gender, living status, family type, and course type were found to have a significant impact on the usage of social media, academic pressure, digital literacy, perceived stress, and mental health scores of undergraduate students. The study also came up with interventions for managing mental health of under graduate students.</p>