Majesco Limited, together with its subsidiaries, provides software solutions for the insurance industry in North America, Europe, and internationally.
Excellent balance sheet with reasonable growth potential.
Share Price & News
How has Majesco's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 539289's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: 539289 underperformed the Indian Software industry which returned -49.4% over the past year.
Return vs Market: 539289 underperformed the Indian Market which returned -32.1% over the past year.
Price Volatility Vs. Market
How volatile is Majesco's share price compared to the market and industry in the last 5 years?
Simply Wall St News
Is Majesco undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 539289 (₹230) is trading below our estimate of fair value (₹390.26)
Significantly Below Fair Value: 539289 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 539289 is poor value based on its PE Ratio (12x) compared to the Software industry average (7.3x).
PE vs Market: 539289 is poor value based on its PE Ratio (12x) compared to the Indian market (9.4x).
Price to Earnings Growth Ratio
PEG Ratio: 539289 is good value based on its PEG Ratio (0.5x)
Price to Book Ratio
PB vs Industry: 539289 is overvalued based on its PB Ratio (0.9x) compared to the IN Software industry average (0.7x).
How is Majesco forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 539289's forecast earnings growth (22.6% per year) is above the savings rate (6.5%).
Earnings vs Market: 539289's earnings (22.6% per year) are forecast to grow faster than the Indian market (19.2% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: 539289's revenue (13.2% per year) is forecast to grow faster than the Indian market (8.8% per year).
High Growth Revenue: 539289's revenue (13.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 539289's Return on Equity is forecast to be low in 3 years time (10.7%).
How has Majesco performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 539289 has a large one-off gain of ₹313.9M impacting its December 31 2019 financial results.
Growing Profit Margin: 539289's current net profit margins (5.3%) are lower than last year (5.7%).
Past Earnings Growth Analysis
Earnings Trend: 539289 has become profitable over the past 5 years, growing earnings by 60.5% per year.
Accelerating Growth: 539289's earnings growth over the past year (1.7%) is below its 5-year average (60.5% per year).
Earnings vs Industry: 539289 earnings growth over the past year (1.7%) exceeded the Software industry -4%.
Return on Equity
High ROE: 539289's Return on Equity (8.2%) is considered low.
How is Majesco's financial position?
Financial Position Analysis
Short Term Liabilities: 539289's short term assets (₹7.1B) exceed its short term liabilities (₹2.1B).
Long Term Liabilities: 539289's short term assets (₹7.1B) exceed its long term liabilities (₹887.6M).
Debt to Equity History and Analysis
Debt Level: 539289's debt to equity ratio (0.08%) is considered satisfactory.
Reducing Debt: 539289's debt to equity ratio has reduced from 9.3% to 0.08% over the past 5 years.
Debt Coverage: 539289's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: 539289 earns more interest than it pays, so coverage of interest payments is not a concern.
Inventory Level: 539289 has a low level of unsold assets or inventory.
Debt Coverage by Assets: 539289's debt is covered by short term assets (assets are 1076.4x debt).
What is Majesco's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 539289's dividend (0.87%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.96%).
High Dividend: 539289's dividend (0.87%) is low compared to the top 25% of dividend payers in the Indian market (4.06%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether 539289's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if 539289's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (7.9%), 539289's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 539289 is not forecast to pay a dividend in 3 years.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Adam Elster (51yo)
Mr. Adam Elster serves as Chief Executive Officer and Director of Majesco since October 1, 2018. He has been Chief Executive Officer and Director at Majesco Limited since October 1, 2018. He was Executive ...
|MD & Group CFO - India||0.25yr||₹29.51m||0.58% ₹38.5m|
|Company Secretary||1.92yrs||₹2.41m||0.000020% ₹1.3k|
|CEO & Director||1.5yrs||no data||no data|
|President & Chief Product Officer||1.08yrs||₹23.20m||no data|
|Chief Financial Officer||no data||no data||no data|
|Chief Operating Officer||5.25yrs||₹23.12m||no data|
|Chief Information Officer||0.75yr||no data||no data|
|Head of Investor Relations||no data||no data||no data|
|Chief General Counsel||0.58yr||₹13.99m||no data|
|Director of Global Marketing||no data||no data||no data|
Experienced Management: 539289's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.
|CEO & Director||1.5yrs||no data||no data|
|Director||no data||no data||no data|
|Vice Chairman of the Board of Directors||no data||no data||no data|
|Director||no data||no data||5.69% ₹375.3m|
|Co-Founder & Chairman of the Board||1.5yrs||no data||9.51% ₹627.9m|
|Director||no data||no data||no data|
|Director||5.25yrs||no data||no data|
|Director||1.25yrs||no data||no data|
|Independent Director||0.083yr||no data||no data|
Experienced Board: 539289's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 539289 insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.7%.
Majesco Limited's company bio, employee growth, exchange listings and data sources
- Name: Majesco Limited
- Ticker: 539289
- Exchange: BSE
- Founded: 2013
- Industry: Application Software
- Sector: Software
- Market Cap: ₹6.601b
- Shares outstanding: 28.70m
- Website: https://www.majesco.com
Number of Employees
- Majesco Limited
- MBP-P–136, 136A
- Navi Mumbai
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|539289||BSE (Mumbai Stock Exchange)||Yes||Equity Shares||IN||INR||Aug 2015|
|MAJESCO||NSEI (National Stock Exchange of India)||Yes||Equity Shares||IN||INR||Aug 2015|
Majesco Limited, together with its subsidiaries, provides software solutions for the insurance industry in North America, Europe, and internationally. The company offers software, consulting, and services for insurance value chain. It also provides policy management, underwriting, rating, billing, claims management, distribution management, BI/analytics, predictive modeling, digital platform with mobile and portal, testing services, cloud services, bureau and content services, and others. The company offers software solutions for property and, casualty and life and annuity providers. The company was formerly known as Minefields Computers Limited and changed its name to Majesco Limited in June 2015. Majesco Limited was incorporated in 2013 and is based in Navi Mumbai, India.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/06 13:39|
|End of Day Share Price||2020/04/03 00:00|
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.