BSE:532466

Stock Analysis Report

Oracle Financial Services Software

Executive Summary

Oracle Financial Services Software Limited provides information technology (IT) solutions and business processing services to the financial services industry worldwide.

Rewards

Earnings are forecast to grow 12.53% per year

Earnings grew by 6.9% over the past year

Risk Analysis

No risks detected for 532466 from our risk checks.


Snowflake Analysis

Flawless balance sheet with outstanding track record.


Similar Companies

Share Price & News

How has Oracle Financial Services Software's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 532466 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.0%

532466

0.2%

IN Software

-0.3%

IN Market


1 Year Return

-17.3%

532466

-25.8%

IN Software

5.0%

IN Market

Return vs Industry: 532466 exceeded the Indian Software industry which returned -25.8% over the past year.

Return vs Market: 532466 underperformed the Indian Market which returned 5% over the past year.


Shareholder returns

532466IndustryMarket
7 Day1.0%0.2%-0.3%
30 Day-5.6%-3.7%-0.5%
90 Day-3.0%-3.1%10.0%
1 Year-17.3%-17.3%-22.3%-25.8%7.0%5.0%
3 Year2.4%-5.4%-8.4%-15.7%34.8%27.8%
5 Year4.6%-10.3%2.1%-12.9%39.9%27.6%

Price Volatility Vs. Market

How volatile is Oracle Financial Services Software's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Oracle Financial Services Software undervalued compared to its fair value and its price relative to the market?

18.51x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 532466 (₹2953.1) is trading above our estimate of fair value (₹2376.37)

Significantly Below Fair Value: 532466 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 532466 is poor value based on its PE Ratio (18.5x) compared to the Software industry average (11.8x).

PE vs Market: 532466 is poor value based on its PE Ratio (18.5x) compared to the Indian market (13x).


Price to Earnings Growth Ratio

PEG Ratio: 532466 is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: 532466 is overvalued based on its PB Ratio (4.4x) compared to the IN Software industry average (1x).


Next Steps

Future Growth

How is Oracle Financial Services Software forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

12.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 532466's forecast earnings growth (12.5% per year) is above the savings rate (6.5%).

Earnings vs Market: 532466's earnings (12.5% per year) are forecast to grow slower than the Indian market (19.7% per year).

High Growth Earnings: 532466's earnings are forecast to grow, but not significantly.

Revenue vs Market: 532466's revenue (7% per year) is forecast to grow slower than the Indian market (11.5% per year).

High Growth Revenue: 532466's revenue (7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 532466's Return on Equity is forecast to be high in 3 years time (35.8%)


Next Steps

Past Performance

How has Oracle Financial Services Software performed over the past 5 years?

3.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 532466 has high quality earnings.

Growing Profit Margin: 532466's current net profit margins (28.3%) are higher than last year (27.3%).


Past Earnings Growth Analysis

Earnings Trend: 532466's earnings have grown by 3.2% per year over the past 5 years.

Accelerating Growth: 532466's earnings growth over the past year (6.9%) exceeds its 5-year average (3.2% per year).

Earnings vs Industry: 532466 earnings growth over the past year (6.9%) exceeded the Software industry -4.2%.


Return on Equity

High ROE: 532466's Return on Equity (23.9%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Oracle Financial Services Software's financial position?


Financial Position Analysis

Short Term Liabilities: 532466's short term assets (₹50.1B) exceed its short term liabilities (₹9.7B).

Long Term Liabilities: 532466's short term assets (₹50.1B) exceed its long term liabilities (₹2.2B).


Debt to Equity History and Analysis

Debt Level: 532466 is debt free.

Reducing Debt: 532466 has not had any debt for past 5 years.

Debt Coverage: 532466 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 532466 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 532466 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 532466's debt is covered by short term assets.


Next Steps

Dividend

What is Oracle Financial Services Software's current dividend yield, its reliability and sustainability?

5.33%

Forecast Dividend Yield


Dividend Yield vs Market

company0%marketbottom25%0.6%markettop25%2.5%industryaverage2.1%forecastin3Years5.3%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 532466's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 532466'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 532466's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 532466's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 532466 is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 532466's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

What is the CEO of Oracle Financial Services Software's salary, the management and board of directors tenure and is there insider trading?

12.6yrs

Average management tenure


CEO

Chet Kamat (58yo)

9.2yrs

Tenure

₹33,230,000

Compensation

Mr. Chaitanya M. Kamat, also known as Chet, has been the Chief Executive Officer and Managing Director of Oracle Financial Services Software Limited since October 25, 2010. Mr. Kamat serves as Managing Dir ...


CEO Compensation Analysis

Compensation vs Market: Chet's total compensation ($USD464.82K) is below average for companies of similar size in the Indian market ($USD758.48K).

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


Management Age and Tenure

12.6yrs

Average Tenure

58yo

Average Age

Experienced Management: 532466's management team is seasoned and experienced (12.6 years average tenure).


Board Age and Tenure

3.6yrs

Average Tenure

58yo

Average Age

Experienced Board: 532466's board of directors are considered experienced (3.6 years average tenure).


Insider Trading

Insider Buying: 532466 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sell₹887,63203 Oct 19
Umesh Arora
EntityIndividual
Shares288
Max Price₹3,140.00
Sell₹1,639,10327 Sep 19
Satyen Zaveri
EntityIndividual
Shares550
Max Price₹3,004.15
Sell₹448,91927 Sep 19
Umesh Arora
EntityIndividual
Shares150
Max Price₹3,006.38
Sell₹40,585,28931 May 19
George Thomas
EntityIndividual
Shares12,000
Max Price₹3,418.92
Sell₹3,189,64723 May 19
Edwin Moses
EntityIndividual
Shares918
Max Price₹3,474.56
Sell₹839,75026 Mar 19
K. Raveendranathan
EntityIndividual
Shares250
Max Price₹3,359.00

Ownership Breakdown

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


Management Team

  • Venkatesh Srinivasan (57yo)

    Chief of Staff & VP of Corporate Development

    • Tenure: 12.7yrs
    • Compensation: ₹5.02m
  • Dinesh Shetty (60yo)

    Vice President of Administration

    • Tenure: 0yrs
    • Compensation: ₹4.69m
  • S. Padalkar (60yo)

    CFO, Chief of Staff & Investor Relations & Whole-time Director

    • Tenure: 0.6yrs
  • Mahesh Rao (66yo)

    Vice President of Business Intelligence Group - PrimeSourcing

    • Tenure: 0yrs
    • Compensation: ₹4.46m
  • Manmath Kulkarni (53yo)

    Senior Vice President

    • Tenure: 12.7yrs
    • Compensation: ₹5.53m
  • Vinay Ketkar (52yo)

    Chief Accounting Officer

    • Tenure: 12.7yrs
  • Onkarnath Banerjee

    Compliance Officer & Company Secretary

    • Tenure: 4.5yrs
  • Chet Kamat (58yo)

    CEO, MD & Executive Non-Independent Director

    • Tenure: 9.2yrs
    • Compensation: ₹33.23m
  • Mohamed Yacob

    Director of Legal & Ofss

    • Tenure: 0yrs
  • Bindu Venkatesh

    Vice President of Human Resources & Training

    • Tenure: 5.5yrs

Board Members

  • S. Padalkar (60yo)

    CFO, Chief of Staff & Investor Relations & Whole-time Director

    • Tenure: 0.6yrs
  • Chet Kamat (58yo)

    CEO, MD & Executive Non-Independent Director

    • Tenure: 9.2yrs
    • Compensation: ₹33.23m
  • Sambasivan Venkatachalam (75yo)

    Independent Chairman

    • Tenure: 7.6yrs
    • Compensation: ₹4.05m
  • Richard Jackson (63yo)

    Non-Executive Independent Director

    • Tenure: 7yrs
    • Compensation: ₹3.23m
  • Jane Murphy (52yo)

    Non-Executive Independent Director

    • Tenure: 0.8yrs
    • Compensation: ₹320.00k
  • Sonny Singh (54yo)

    Senior VP & Non-Executive Non-Independent Director

    • Tenure: 6.4yrs
  • Sridhar Srinivasan

    Non Executive Independent Director

    • Tenure: 4.4yrs
    • Compensation: ₹2.54m
  • Kimberly Woolley (47yo)

    Non Executive Non Independent Director

    • Tenure: 2.8yrs
  • Yong Kau

    Non-Executive Non-Independent Director

    • Tenure: 1.1yrs
  • Vincent Grelli

    Non-Executive Non-Independent Director

    • Tenure: 1.1yrs

Company Information

Oracle Financial Services Software Limited's company bio, employee growth, exchange listings and data sources


Key Information


Number of Employees


Location

  • Oracle Financial Services Software Limited
  • Oracle Park
  • Off Western Express Highway
  • Mumbai
  • Maharashtra
  • 400063
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532466BSE (Mumbai Stock Exchange)YesEquity SharesININRJun 2002
OFSSNSEI (National Stock Exchange of India)YesEquity SharesININRJun 2002

Biography

Oracle Financial Services Software Limited provides information technology (IT) solutions and business processing services to the financial services industry worldwide. It operates through three segments:  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/05 12:43
End of Day Share Price2019/12/05 00:00
Earnings2019/09/30
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.