Zensar Technologies
Market Cap
₹17.4b
Last Updated
2020/03/30 12:39 UTC
Data Sources
Company Financials +
Executive Summary
Zensar Technologies Limited, a digital solutions and technology services company, provides information technology (IT) services and solutions worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet, undervalued and pays a dividend.
Share Price & News
How has Zensar Technologies's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 504067's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
9.6%
504067
-3.8%
IN Software
-2.9%
IN Market
1 Year Return
-66.6%
504067
-51.4%
IN Software
-29.3%
IN Market
Return vs Industry: 504067 underperformed the Indian Software industry which returned -51.4% over the past year.
Return vs Market: 504067 underperformed the Indian Market which returned -29.3% over the past year.
Shareholder returns
| 504067 | Industry | Market | |
|---|---|---|---|
| 7 Day | 9.6% | -3.8% | -2.9% |
| 30 Day | -43.6% | -35.8% | -23.7% |
| 90 Day | -56.0% | -38.1% | -28.6% |
| 1 Year | -65.5%-66.6% | -50.5%-51.4% | -27.9%-29.3% |
| 3 Year | -55.7%-58.1% | -48.6%-53.1% | -15.4%-20.0% |
| 5 Year | -39.3%-44.3% | -39.1%-48.0% | -3.3%-8.3% |
Price Volatility Vs. Market
How volatile is Zensar Technologies's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 year ago | Simply Wall St
Is Zensar Technologies Limited (BOM:504067) Expensive For A Reason? A Look At The Intrinsic ValueValuation
Is Zensar Technologies undervalued compared to its fair value and its price relative to the market?
45.9%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 504067 (₹77.05) is trading below our estimate of fair value (₹142.41)
Significantly Below Fair Value: 504067 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 504067 is good value based on its PE Ratio (6.3x) compared to the Software industry average (7x).
PE vs Market: 504067 is good value based on its PE Ratio (6.3x) compared to the Indian market (9.2x).
Price to Earnings Growth Ratio
PEG Ratio: 504067 is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: 504067 is overvalued based on its PB Ratio (0.9x) compared to the IN Software industry average (0.6x).
Next Steps
Future Growth
How is Zensar Technologies forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
18.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 504067's forecast earnings growth (18.8% per year) is above the savings rate (6.5%).
Earnings vs Market: 504067's earnings (18.8% per year) are forecast to grow slower than the Indian market (19.6% per year).
High Growth Earnings: 504067's earnings are forecast to grow, but not significantly.
Revenue vs Market: 504067's revenue (8.5% per year) is forecast to grow slower than the Indian market (8.9% per year).
High Growth Revenue: 504067's revenue (8.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 504067's Return on Equity is forecast to be low in 3 years time (14.5%).
Next Steps
Past Performance
How has Zensar Technologies performed over the past 5 years?
0.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 504067 has high quality earnings.
Growing Profit Margin: 504067's current net profit margins (6.6%) are lower than last year (8.2%).
Past Earnings Growth Analysis
Earnings Trend: 504067's earnings have grown by 0.5% per year over the past 5 years.
Accelerating Growth: 504067's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 504067 had negative earnings growth (-8.9%) over the past year, making it difficult to compare to the Software industry average (-4%).
Return on Equity
High ROE: 504067's Return on Equity (13.7%) is considered low.
Next Steps
Financial Health
How is Zensar Technologies's financial position?
Financial Position Analysis
Short Term Liabilities: 504067's short term assets (₹20.1B) exceed its short term liabilities (₹9.6B).
Long Term Liabilities: 504067's short term assets (₹20.1B) exceed its long term liabilities (₹4.1B).
Debt to Equity History and Analysis
Debt Level: 504067's debt to equity ratio (14.3%) is considered satisfactory.
Reducing Debt: 504067's debt to equity ratio has reduced from 24.8% to 14.3% over the past 5 years.
Debt Coverage: 504067's debt is well covered by operating cash flow (92.2%).
Interest Coverage: 504067's interest payments on its debt are well covered by EBIT (9.2x coverage).
Balance Sheet
Inventory Level: 504067 has a low level of unsold assets or inventory.
Debt Coverage by Assets: 504067's debt is covered by short term assets (assets are 6.8x debt).
Next Steps
Dividend
What is Zensar Technologies's current dividend yield, its reliability and sustainability?
3.63%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 504067's dividend (3.63%) is higher than the bottom 25% of dividend payers in the Indian market (0.95%).
High Dividend: 504067's dividend (3.63%) is low compared to the top 25% of dividend payers in the Indian market (4.16%).
Stability and Growth of Payments
Stable Dividend: 504067's dividends per share have been stable in the past 10 years.
Growing Dividend: 504067's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (22.8%), 504067's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 504067's dividends in 3 years are forecast to be well covered by earnings (23.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.1yrs
Average management tenure
CEO
Sandeep Kishore
4.17s
Tenure
₹1,563,103
Compensation
Mr. Sandeep Kishore has been the Chief Executive Officer and Managing Director of Zensar Technologies Limited since January 12, 2016. Mr. Kishore has over 25 years of experience in the IT industry, spannin ...
CEO Compensation Analysis
Compensation vs Market: Sandeep's total compensation ($USD20.74K) is below average for companies of similar size in the Indian market ($USD327.26K).
Compensation vs Earnings: Sandeep's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, MD & Director | 4.17yrs | ₹1.56m | no data | |
| Senior VP & CFO | 2.17yrs | ₹14.19m | no data | |
| Chief Operating Officer | 1.17yrs | no data | no data | |
| Company Secretary & Compliance Officer | 2yrs | ₹4.86m | no data | |
| Senior VP & Chief Human Resource Officer | no data | no data | no data | |
| Senior Vice President | no data | no data | no data | |
| Senior Vice President | 1.42yrs | no data | no data | |
| Vice President | no data | no data | no data | |
| Senior VP & Head of Africa | 3.67yrs | ₹2.55m | no data | |
| Senior VP & Global Head IMS CLOUD Practice and Technology Alliances | no data | ₹1.17m | no data |
2.1yrs
Average Tenure
46yo
Average Age
Experienced Management: 504067's management team is considered experienced (2.1 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, MD & Director | 4.17yrs | ₹1.56m | no data | |
| Non-Executive Independent Director | 2.17yrs | ₹775.00k | 0.0078% ₹1.3m | |
| Non-Executive Independent Director | 24yrs | ₹1.82m | 0.022% ₹3.9m | |
| Chairman of the Board | no data | ₹20.14m | 0.067% ₹11.6m | |
| Non-Executive Independent Director | 18.17yrs | ₹1.42m | no data | |
| Non-Executive Independent Director | 2.33yrs | ₹1.00m | no data | |
| Non-Executive Nominee Director | 4.42yrs | ₹1.55m | no data | |
| Non Executive Independent Director | 12.17yrs | ₹1.30m | no data | |
| Non-Independent Non Executive Director | 1.17yrs | ₹200.00k | no data | |
| Non-Executive Independent Director | 2.33yrs | ₹500.00k | no data |
4.2yrs
Average Tenure
62yo
Average Age
Experienced Board: 504067's board of directors are considered experienced (4.2 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Zensar Technologies Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Zensar Technologies Limited
- Ticker: 504067
- Exchange: BSE
- Founded: 1963
- Industry: Application Software
- Sector: Software
- Market Cap: ₹17.365b
- Shares outstanding: 225.38m
- Website: https://www.zensar.com
Number of Employees
Location
- Zensar Technologies Limited
- Zensar Knowledge Park
- Plot No. 4
- Pune
- Maharashtra
- 411014
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 504067 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Jun 2000 |
| ZENSARTECH | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Jun 2000 |
Biography
Zensar Technologies Limited, a digital solutions and technology services company, provides information technology (IT) services and solutions worldwide. It operates through Application Management Services and Infrastructure Management Services segments. The company offers digital supply chain, enterprise analytics, customer experience transformation, agile IT modernization, and digital solutions. It also provides advanced analytics and data warehousing, big data, and enterprise data management services; and cloud and infrastructure services, including hybrid IT, cybersecurity, digital workplace, intelligent command centre, third-party maintenance, and unified IT, as well as operates The Vinci, an intelligent managed services platform. In addition, the company offers CRM, digital channel, digital marketing, experience, and front end development services; enterprise applications, such as Oracle, SAP, SFDC, and Pega Alliance solutions; and agile, application development, DevOps, enterprise architecture consulting, outcome based managed, and robotic process automation services. Further, it provides testing services; and digital commerce consulting, digital commerce development, digital fulfilment, and managed commerce services. The company serves the manufacturing, retail, media, banking, insurance, healthcare, and utilities industries. Zensar Technologies Limited was incorporated in 1963 and is headquartered in Pune, India.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/30 12:39 |
| End of Day Share Price | 2020/03/27 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/03/31 |
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.