BSE:512405

Stock Analysis Report

i Power Solutions India

Executive Summary

i Power Solutions India Limited provides e-business and Internet solutions in India.

Rewards

Earnings grew by 14.8% over the past year

Risk Analysis

Debt is not well covered by operating cash flow

Makes less than USD$1m in revenue (₹2M)

Does not have a meaningful market cap (₹17M)

Shareholders have been diluted in the past year



Snowflake Analysis

Proven track record and overvalued.

Share Price & News

How has i Power Solutions India's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 512405 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

512405

1.7%

IN IT

-0.4%

IN Market


1 Year Return

3.9%

512405

5.7%

IN IT

11.1%

IN Market

Return vs Industry: 512405 underperformed the Indian IT industry which returned 5.7% over the past year.

Return vs Market: 512405 underperformed the Indian Market which returned 11.1% over the past year.


Shareholder returns

512405IndustryMarket
7 Day0%1.7%-0.4%
30 Day0%0.4%-1.5%
90 Dayn/a5.1%3.3%
1 Year3.9%3.9%8.5%5.7%13.0%11.1%
3 Year49.6%49.6%74.0%63.8%25.3%18.6%
5 Year14.0%14.0%56.3%41.9%35.4%23.1%

Price Volatility Vs. Market

How volatile is i Power Solutions India's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is i Power Solutions India undervalued compared to its fair value and its price relative to the market?

120.35x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 512405's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 512405's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 512405 is poor value based on its PE Ratio (120.3x) compared to the IT industry average (11.5x).

PE vs Market: 512405 is poor value based on its PE Ratio (120.3x) compared to the Indian market (13.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 512405's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 512405 is good value based on its PB Ratio (0.4x) compared to the IN IT industry average (0.9x).


Next Steps

Future Growth

How is i Power Solutions India forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

9.3%

Forecasted Software industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as i Power Solutions India has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has i Power Solutions India performed over the past 5 years?

11.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 512405 has high quality earnings.

Growing Profit Margin: 512405's current net profit margins (7.6%) are lower than last year (9.4%).


Past Earnings Growth Analysis

Earnings Trend: 512405's earnings have grown by 11.7% per year over the past 5 years.

Accelerating Growth: 512405's earnings growth over the past year (14.8%) exceeds its 5-year average (11.7% per year).

Earnings vs Industry: 512405 earnings growth over the past year (14.8%) exceeded the IT industry 7.6%.


Return on Equity

High ROE: 512405's Return on Equity (0.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is i Power Solutions India's financial position?


Financial Position Analysis

Short Term Liabilities: 512405's short term assets (₹1.3M) exceed its short term liabilities (₹55.7K).

Long Term Liabilities: 512405's short term assets (₹1.3M) do not cover its long term liabilities (₹27.9M).


Debt to Equity History and Analysis

Debt Level: 512405's debt to equity ratio (62.2%) is considered high.

Reducing Debt: 512405's debt to equity ratio has increased from 44.5% to 62.2% over the past 5 years.

Debt Coverage: 512405's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 512405's interest payments on its debt are well covered by EBIT.


Balance Sheet

Inventory Level: 512405 has a high level of physical assets or inventory.

Debt Coverage by Assets: 512405's debt is not covered by short term assets (assets are 0x debt).


Next Steps

Dividend

What is i Power Solutions India's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.5%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 512405's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 512405's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 512405's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 512405'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 512405's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

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

8.9yrs

Average board tenure


CEO

Gopal Parandhaman (63yo)

0

Mr. Venugopalan Parandhaman, also known as Gopal, serves as the Chairman, Chief Executive Officer and Managing Director for I Power Solutions India Ltd. 


Board Members

NamePositionTenureCompensationOwnership
Venugopalan Parandhaman
Chairman0yrsno data70.07% 11.7m
K. Bhaskaran
Independent Non Executive Director9.4yrsno datano data
Damodaran Babu
Independent Non-Executive Director8.4yrsno data0.10% 17.0k
R. Jayaprakash
Independent Non-Executive Director9.6yrsno datano data
N. Alamelu
Independent Non-Executive Woman Director4.9yrsno datano data

8.9yrs

Average Tenure

60.5yo

Average Age

Experienced Board: 512405's board of directors are considered experienced (8.9 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 been diluted in the past year, with total shares outstanding growing by 14.8%.


Top Shareholders

Company Information

i Power Solutions India Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: i Power Solutions India Limited
  • Ticker: 512405
  • Exchange: BSE
  • Founded: 1985
  • Industry: Internet Services and Infrastructure
  • Sector: Software
  • Market Cap: ₹16.639m
  • Shares outstanding: 4.45m
  • Website: https://www.ipwrs.com

Location

  • i Power Solutions India Limited
  • No.17, Vaigai Street
  • Besant Nagar
  • Chennai
  • Tamil Nadu
  • 600090
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
512405BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 2005

Biography

i Power Solutions India Limited provides e-business and Internet solutions in India. The company offers information technology (IT) services, including mobile computing, Web designing and development, Web application development, e-commerce, domain registration and Web hosting, and enterprise resource planning; and information processing and BPO services. It also provides software services, including web/e-business solutions, telecom and networking, application development, animation and multimedia, technology strategy development, and infrastructure services. In addition, the company operates vanavil.com, a social networking portal for youngsters; and provides training on software and hardware, bio-informatics, and other IT related job opportunities based courses. i Power Solutions India Limited was incorporated in 1985 and is headquartered in Chennai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/16 12:32
End of Day Share Price2020/02/03 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


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.