ScoreWhy is Newgen Software Technologies Ltd ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 20.46%
- Company has a low Debt to Equity ratio (avg) at 0 times
2
Flat results in Sep 25
3
With ROE of 20.6, it has a Very Expensive valuation with a 8.1 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 -32.03%, its profits have risen by 12.8% ; the PEG ratio of the company is 3.5
4
High Institutional Holdings at 27.21%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
5
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 1.92% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -32.03% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Newgen Software 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 Newgen Software for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Newgen Software
-32.34%
-0.59
53.87%
Sensex
4.84%
0.40
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
18.25%
EBIT Growth (5y)
23.66%
EBIT to Interest (avg)
53.03
Debt to EBITDA (avg)
0.16
Net Debt to Equity (avg)
-0.58
Sales to Capital Employed (avg)
0.97
Tax Ratio
21.21%
Dividend Payout Ratio
22.24%
Pledged Shares
0
Institutional Holding
27.21%
ROCE (avg)
44.78%
ROE (avg)
20.46%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
39
Industry P/E
28
Price to Book Value
8.06
EV to EBIT
33.31
EV to EBITDA
30.30
EV to Capital Employed
17.98
EV to Sales
7.77
PEG Ratio
3.49
Dividend Yield
0.55%
ROCE (Latest)
53.97%
ROE (Latest)
20.64%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
DPR(Y)
Highest at 22.24%
PBT LESS OI(Q)
At Rs 92.12 cr has Grown at 24.39%
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Newgen Software
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 92.12 cr has Grown at 24.39%
Year on Year (YoY)MOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Dividend Payout Ratio (DPR) - Annually
Highest at 22.24%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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