Reliable Data Services Ltd is Rated Hold by MarketsMOJO

Current Rating and Its Significance

The 'Hold' rating assigned to Reliable Data Services Ltd indicates a balanced view of the stock's prospects. It suggests that investors should maintain their existing positions rather than aggressively buying or selling at this stage. This rating reflects a combination of factors including the company's quality, valuation, financial trend, and technical outlook as assessed by MarketsMOJO.

Quality Assessment

As of 04 January 2026, Reliable Data Services Ltd holds an average quality grade. This implies that while the company demonstrates stable operational performance, there is room for improvement in areas such as earnings consistency and business resilience. The firm’s net sales have shown robust growth, expanding at an annual rate of 45.06%, signalling healthy demand and operational scale-up. Profit after tax (PAT) for the latest six months stands at ₹3.92 crores, growing at a rate of 53.13%, which underscores improving profitability.

Valuation Perspective

The valuation grade for Reliable Data Services Ltd is very attractive, reflecting a favourable price relative to its earnings and capital employed. The company’s return on capital employed (ROCE) is a solid 15.4%, indicating efficient use of capital to generate profits. Additionally, the enterprise value to capital employed ratio is 2.1, suggesting the stock is trading at a discount compared to its peers’ historical valuations. The price-to-earnings-growth (PEG) ratio is notably low at 0.1, which often signals undervaluation relative to growth potential. This valuation attractiveness is a key reason for the 'Hold' rating, as it offers a cushion for investors amid market fluctuations.

Financial Trend and Growth Trajectory

The financial grade for Reliable Data Services Ltd is positive, reflecting strong growth trends and improving profitability. The company’s net sales for the latest quarter reached ₹69.13 crores, growing at an impressive 191.56% annualised rate. Profit before tax less other income (PBT less OI) for the quarter is ₹3.03 crores, up 74.14%. These figures demonstrate accelerating business momentum and effective cost management. Over the past year, the stock has delivered a remarkable return of 106.43%, significantly outperforming the broader market benchmark BSE500, which returned 5.35% over the same period. This market-beating performance highlights the company’s ability to generate shareholder value.

Technical Outlook

From a technical standpoint, the stock is mildly bullish. Recent price movements show a 4.99% gain on the day of 04 January 2026, with a one-week return of 8.13%. Although the one-month return is slightly negative at -0.25%, the three-month and six-month returns are robust at +32.46% and +114.80% respectively. This suggests that the stock has strong upward momentum over the medium term, supported by positive investor sentiment and trading volumes. The mild bullishness in technicals complements the fundamental strengths, reinforcing the rationale behind the 'Hold' rating.

Shareholding and Market Capitalisation

Reliable Data Services Ltd is classified as a microcap company within the Non Banking Financial Company (NBFC) sector. The majority shareholding is held by promoters, which often indicates stable management control and alignment of interests with shareholders. Investors should consider the microcap status when evaluating liquidity and volatility risks, although the company’s recent performance has been encouraging.

What This Rating Means for Investors

For investors, the 'Hold' rating on Reliable Data Services Ltd suggests a cautious but optimistic stance. The company’s strong growth metrics and attractive valuation provide a solid foundation, yet the average quality grade and mild technical bullishness indicate that the stock may not be poised for aggressive gains in the immediate term. Investors currently holding the stock might consider maintaining their positions to benefit from ongoing growth, while new investors may wish to monitor the stock for clearer signals before committing fresh capital.

Summary of Key Metrics as of 04 January 2026

• Mojo Score: 67.0 (Hold grade)


• Net Sales Growth (Annualised): 45.06%


• PAT Growth (Latest 6 months): 53.13%


• Quarterly Net Sales Growth: 191.56%


• Quarterly PBT less OI Growth: 74.14%


• ROCE: 15.4%


• Enterprise Value to Capital Employed: 2.1


• PEG Ratio: 0.1


• 1-Year Stock Return: +106.43%


• Market Benchmark (BSE500) 1-Year Return: +5.35%

These figures collectively underpin the current 'Hold' rating, reflecting a stock that is fundamentally sound and attractively valued, yet warrants a measured approach given its quality and technical profile.

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