Hexaware Technologies Faces Market Challenges Amidst Declining Investor Participation and High Valuation Metrics

Hexaware Technologies, a prominent player in the IT software industry, has shown notable activity on March 12, 2025. The stock has outperformed its sector by 0.99%, despite the IT software sector experiencing a decline of 2.1%. Since its IPO on February 14, 2025, Hexaware's stock has appreciated by 10.73% from the issue price and 7.25% from the listing price.
However, the stock's performance today reflects a 1.87% decline, contrasting with a modest 0.23% drop in the Sensex. Notably, the stock is trading above its 20-day, 50-day, 100-day, and 200-day moving averages, although it is below the 5-day moving average. Investor participation appears to be waning, with delivery volume dropping by 51.85% compared to the 5-day average.

In terms of quality, Hexaware Technologies is rated below average when compared to peers like TCS and Infosys, which hold excellent ratings. Valuation metrics indicate that Hexaware is considered expensive, with a P/E ratio of 72.10, significantly higher than its competitors. This combination of quality and valuation metrics highlights the challenges Hexaware faces in maintaining its market position amidst a competitive landscape.