DB:W9N

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Executive Summary

WNS (Holdings) Limited, a business process management (BPM) company, provides data, voice, analytical, and business transformation services worldwide.


Snowflake Analysis

Flawless balance sheet with questionable track record.


Similar Companies

Share Price & News

How has WNS (Holdings)'s share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: W9N's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.1%

W9N

-2.5%

DE IT

0.05%

DE Market


1 Year Return

-9.7%

W9N

43.9%

DE IT

3.4%

DE Market

Return vs Industry: W9N underperformed the German IT industry which returned 49.2% over the past year.

Return vs Market: W9N underperformed the German Market which returned 4.5% over the past year.


Shareholder returns

W9NIndustryMarket
7 Day-2.1%-2.5%0.05%
30 Day2.6%-43.6%5.5%
90 Day22.8%-47.9%19.9%
1 Year-9.7%-9.7%45.1%43.9%5.7%3.4%
3 Year60.9%60.9%-12.8%-14.6%3.4%-4.7%
5 Year77.0%77.0%48.2%42.6%10.4%-4.5%

Price Volatility Vs. Market

How volatile is WNS (Holdings)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is WNS (Holdings) undervalued compared to its fair value and its price relative to the market?

23.48x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: W9N (€47.4) is trading above our estimate of fair value (€33.95)

Significantly Below Fair Value: W9N is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: W9N is good value based on its PE Ratio (23.5x) compared to the DE IT industry average (27.9x).

PE vs Market: W9N is poor value based on its PE Ratio (23.5x) compared to the German market (21.2x).


Price to Earnings Growth Ratio

PEG Ratio: W9N is poor value based on its PEG Ratio (11.5x)


Price to Book Ratio

PB vs Industry: W9N is overvalued based on its PB Ratio (4.7x) compared to the DE IT industry average (3.4x).


Next Steps

Future Growth

How is WNS (Holdings) forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: W9N's forecast earnings growth (2% per year) is above the savings rate (0.2%).

Earnings vs Market: W9N's earnings (2% per year) are forecast to grow slower than the German market (22.3% per year).

High Growth Earnings: W9N's earnings are forecast to grow, but not significantly.

Revenue vs Market: W9N's revenue (2.1% per year) is forecast to grow slower than the German market (5.9% per year).

High Growth Revenue: W9N's revenue (2.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: W9N's Return on Equity is forecast to be low in 3 years time (13.6%).


Next Steps

Past Performance

How has WNS (Holdings) performed over the past 5 years?

18.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: W9N has high quality earnings.

Growing Profit Margin: W9N's current net profit margins (12.6%) are lower than last year (13%).


Past Earnings Growth Analysis

Earnings Trend: W9N's earnings have grown by 18.9% per year over the past 5 years.

Accelerating Growth: W9N's earnings growth over the past year (10.7%) is below its 5-year average (18.9% per year).

Earnings vs Industry: W9N earnings growth over the past year (10.7%) underperformed the IT industry 21.7%.


Return on Equity

High ROE: W9N's Return on Equity (19.9%) is considered low.


Next Steps

Financial Health

How is WNS (Holdings)'s financial position?


Financial Position Analysis

Short Term Liabilities: W9N's short term assets ($428.8M) exceed its short term liabilities ($205.8M).

Long Term Liabilities: W9N's short term assets ($428.8M) exceed its long term liabilities ($219.4M).


Debt to Equity History and Analysis

Debt Level: W9N's debt to equity ratio (5.7%) is considered satisfactory.

Reducing Debt: W9N's debt to equity ratio has reduced from 6.5% to 5.7% over the past 5 years.

Debt Coverage: W9N's debt is well covered by operating cash flow (684%).

Interest Coverage: W9N's interest payments on its debt are well covered by EBIT (11.2x coverage).


Balance Sheet


Next Steps

Dividend

What is WNS (Holdings) current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate W9N's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate W9N's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if W9N's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if W9N's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of W9N's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.8yrs

Average management tenure


CEO

Keshav Murugesh (56yo)

10.42yrs

Tenure

US$3,221,342

Compensation

Mr. Keshav R. Murugesh has been Group Chief Executive Officer of WNS (Holdings) Ltd., since February 10, 2010. Mr. Murugesh serves as Chief Executive Officer of WNS Global Services Private Limited. He serv ...


CEO Compensation Analysis

Compensation vs Market: Keshav's total compensation ($USD3.22M) is above average for companies of similar size in the German market ($USD2.41M).

Compensation vs Earnings: Keshav's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Keshav Murugesh
Group CEO & Director10.42yrsUS$3.22m1.31% $31.5m
Sanjay Puria
Group Chief Financial Officer6.92yrsUS$1.14m0.11% $2.8m
Gautam Barai
Chief Operating Officer1.5yrsUS$1.04m0.096% $2.3m
Swaminathan Rajamani
Chief People Officerno dataUS$1.01m0.11% $2.6m
Alan Dunning
Co-Founder13.5yrsno datano data
Krishnan Raghunathan
Head of Finance & Accounting Services1.83yrsno datano data
Suhrid Brahma
Chief Technology Officerno datano datano data
David Mackey
Executive VP of Finance & Head of Investor Relationsno datano datano data
Gopi Krishnan
General Counselno datano datano data
Archana Raghuram
Global Head of Marketing & Communications and Corporate Business Development6.75yrsno datano data
Jay Venkateswaran
Business Unit Head of Banking & Financial Servicesno datano datano data
Manish Vora
Executive VP & Head of Sales12.08yrsno datano data

6.8yrs

Average Tenure

47.5yo

Average Age

Experienced Management: W9N's management team is seasoned and experienced (6.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Keshav Murugesh
Group CEO & Director10.42yrsUS$3.22m1.31% $31.5m
Alan Dunning
Co-Founder13.5yrsno datano data
Adrian Dillon
Non-Executive Independent Chairman of the Board6.5yrsUS$160.00k0.16% $3.9m
Mario Vitale
Independent Director2.75yrsUS$70.00k0.011% $257.7k
Gareth Williams
Independent Director6.5yrsUS$90.00k0.044% $1.1m
Jason Liberty
Independent Director0.42yrUS$8.99kno data
John Freeland
Independent Director5.83yrsUS$70.00k0.070% $1.7m
Françoise Gri
Independent Director5.17yrsUS$71.93k0.035% $841.9k
Michael Menezes
Independent Director6.5yrsUS$100.00k0.024% $570.9k
Keith Haviland
Independent Director3yrsUS$70.00k0.018% $425.5k

6.2yrs

Average Tenure

64yo

Average Age

Experienced Board: W9N's board of directors are considered experienced (6.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

WNS (Holdings) Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: WNS (Holdings) Limited
  • Ticker: W9N
  • Exchange: DB
  • Founded: 1996
  • Industry: Data Processing and Outsourced Services
  • Sector: Software
  • Market Cap: US$2.748b
  • Listing Market Cap: US$2.411b
  • Shares outstanding: 49.73m
  • Website: https://www.wns.com

Number of Employees


Location

  • WNS (Holdings) Limited
  • Godrej & Boyce Complex
  • Gate 4
  • Mumbai
  • Maharashtra
  • 400079
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WNSNYSE (New York Stock Exchange)YesSPONS ADR EA REPR 1 ORD SHSUSUSDJul 2006
W9NDB (Deutsche Boerse AG)YesSPONS ADR EA REPR 1 ORD SHSDEEURJul 2006
WNS NBMV (Bolsa Mexicana de Valores)YesSPONS ADR EA REPR 1 ORD SHSMXMXNJul 2006

Biography

WNS (Holdings) Limited, a business process management (BPM) company, provides data, voice, analytical, and business transformation services worldwide. The company operates through two segments, WNS Global BPM and WNS Auto Claims BPM. It offers industry-specific services to clients primarily in insurance; diversified businesses, including manufacturing, retail, consumer packaged goods, media and entertainment, and telecom; travel and leisure; healthcare; utilities; shipping and logistics; consulting and professional services; and banking and financial services. It also provides a range of services, such as customer interaction, finance and accounting, research and analytics, technology, legal, and human resources outsourcing services. In addition, the company offers transformation services designed to help its clients to modify their business processes to enhance productivity, manage changes in the business environment, and leverage business knowledge to increase market competitiveness. Further, it provides claims handling and repair management services for automobile repairs through a network of third party repair centers; and a suite of accident management services, including credit hire and credit repair. WNS (Holdings) Limited was founded in 1996 and is based in Mumbai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/14 21:44
End of Day Share Price2020/07/14 00:00
Earnings2020/03/31
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.