ScoreWhy is NetSol Technologies, Inc. ?
1
Poor Management Efficiency with a low ROE of 3.35%
- The company has been able to generate a Return on Equity (avg) of 3.35% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Net Sales has grown by an annual rate of 5.70% and Operating profit at 17.00% over the last 5 years
3
Positive results in Dec 25
- NET PROFIT(Q) At USD 0.25 MM has Grown at 99.34%
- RAW MATERIAL COST(Y) Fallen by -7.97% (YoY)
- DEBTORS TURNOVER RATIO(HY) Highest at 3.11 times
4
With ROE of 11.92%, it has a fair valuation with a 1.26 Price to Book Value
- Over the past year, while the stock has generated a return of 40.41%, its profits have risen by 444%
5
High Institutional Holdings at 24.29%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 1.59% over the previous quarter.
6
Market Beating Performance
- The stock has generated a return of 40.41% in the last 1 year, much higher than market (S&P 500) returns of 13.68%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to NetSol Technologies, Inc. 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 NetSol Technologies, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
NetSol Technologies, Inc.
37.96%
0.43
61.98%
S&P 500
13.68%
0.71
19.28%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
5.70%
EBIT Growth (5y)
17.00%
EBIT to Interest (avg)
-0.43
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.28
Sales to Capital Employed (avg)
1.44
Tax Ratio
51.53%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
24.29%
ROCE (avg)
3.37%
ROE (avg)
3.35%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
1.26
EV to EBIT
8.66
EV to EBITDA
6.56
EV to Capital Employed
1.34
EV to Sales
0.52
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
15.52%
ROE (Latest)
11.92%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
NET PROFIT(Q)
At USD 0.25 MM has Grown at 99.34%
RAW MATERIAL COST(Y)
Fallen by -7.97% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 3.11 times
NET SALES(Q)
Highest at USD 18.81 MM
PRE-TAX PROFIT(Q)
At USD 1.44 MM has Grown at 60.33%
-6What is not working for the Company
NET PROFIT(HY)
At USD -2.11 MM has Grown at -96.1%
OPERATING CASH FLOW(Y)
Lowest at USD 0.63 MM
Here's what is working for NetSol Technologies, Inc.
Net Profit
At USD 0.25 MM has Grown at 99.34%
over average net sales of the previous four periods of USD 0.12 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (USD MM)
Net Sales
Highest at USD 18.81 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Pre-Tax Profit
At USD 1.44 MM has Grown at 60.33%
over average net sales of the previous four periods of USD 0.9 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Debtors Turnover Ratio
Highest at 3.11 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -7.97% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for NetSol Technologies, Inc.
Operating Cash Flow
Lowest at USD 0.63 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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