Datamatics Global Services Ltd (DATAMATICS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Cigniti Tech.

R Systems Intl.

ASM Technologies

Datamatics Glob.

AXISCADES Tech.

Zaggle Prepaid

eMudhra

Protean eGov

63 Moons Tech.

Capillary Tech.

Seshaasai Tech.

Why is Datamatics Global Services Ltd ?

Company has a low Debt to Equity ratio (avg) at 0 times

Positive results in Sep 25

OPERATING CF(Y) Highest at Rs 223.72 Cr
PBDIT(Q) Highest at Rs 88.83 cr.
OPERATING PROFIT TO NET SALES(Q) Highest at 18.12%

With ROE of 14, it has a Fair valuation with a 3.4 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 35.57%, its profits have risen by 11.6% ; the PEG ratio of the company is 2.1

Despite the size of the company, domestic mutual funds hold only 0.66% of the company

Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business

Market Beating Performance

The stock has generated a return of 35.57% in the last 1 year, much higher than market (BSE500) returns of 1.99%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Datamatics Glob. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Datamatics Glob. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Datamatics Glob.

35.5%

0.72

49.29%

Sensex

4.89%

0.40

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.78%

EBIT Growth (5y)

29.16%

EBIT to Interest (avg)

81.95

Debt to EBITDA (avg)

0.27

Net Debt to Equity (avg)

-0.19

Sales to Capital Employed (avg)

1.31

Tax Ratio

19.03%

Dividend Payout Ratio

14.41%

Pledged Shares

Institutional Holding

1.04%

ROCE (avg)

26.04%

ROE (avg)

16.00%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.39

EV to EBIT

20.73

EV to EBITDA

15.85

EV to Capital Employed

3.93

EV to Sales

2.48

PEG Ratio

2.11

Dividend Yield

0.60%

ROCE (Latest)

18.97%

ROE (Latest)

13.99%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

17What is working for the Company

OPERATING CF(Y)

Highest at Rs 223.72 Cr

PBDIT(Q)

Highest at Rs 88.83 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 18.12%

PBT LESS OI(Q)

Highest at Rs 64.85 cr.

PAT(Q)

Highest at Rs 63.24 cr.

DEBTORS TURNOVER RATIO(HY)

Highest at 6.43 times

-1What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Loading Valuation Snapshot...

Here's what is working for Datamatics Glob.

Operating Cash Flow - Annually

Highest at Rs 223.72 Cr and Grown

each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 88.83 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 18.12% and Grown

each quarter in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 64.85 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 64.85 cr has Grown at 43.6% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 45.15 Cr

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 63.24 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 63.24 cr has Grown at 38.6% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 45.63 Cr

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Debtors Turnover Ratio- Half Yearly

Highest at 6.43 times

in the last five half yearly periods

MOJO Watch

Company has been able to settle its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Datamatics Glob.

Non Operating Income - Quarterly

Highest at Rs 15.68 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income