Compositional uniformity in NiTi thin films produced under “cold” and “hot” target conditions using d. c. magnetron sputtering is presented in this article. Film deposited under “hot” target condition shows significantly better compositional uniformity compared to those deposited under “cold” target condition. The Ti composition in the film produced under “cold” target condition showed a 2.5 at.% loss relative to the target composition, whereas film produced under “hot” target condition exhibits composition nearly identical to that of the target. XRD and DSC measurements confirm the presence of martensitic phase at room temperature and the shape memory effect in the film deposited under “hot” target condition.