Executive Summary
Allied Digital Services Limited designs, develops, deploys, and delivers IT Infrastructure services in India, the United States, Australia, Europe, the Middle East, and rest of Asia.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet and undervalued.
Share Price & News
How has Allied Digital Services's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ADSL's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
16.2%
ADSL
-2.0%
IN IT
1.4%
IN Market
1 Year Return
-5.1%
ADSL
-21.7%
IN IT
-30.7%
IN Market
Return vs Industry: ADSL exceeded the Indian IT industry which returned -21.7% over the past year.
Return vs Market: ADSL exceeded the Indian Market which returned -30.7% over the past year.
Shareholder returns
| ADSL | Industry | Market | |
|---|---|---|---|
| 7 Day | 16.2% | -2.0% | 1.4% |
| 30 Day | -30.6% | -18.4% | -24.8% |
| 90 Day | -39.3% | -22.2% | -30.6% |
| 1 Year | -5.1%-5.1% | -19.2%-21.7% | -29.3%-30.7% |
| 3 Year | -57.4%-57.4% | 30.8%22.8% | -18.1%-22.6% |
| 5 Year | -34.4%-34.4% | 20.9%9.3% | -7.2%-12.2% |
Price Volatility Vs. Market
How volatile is Allied Digital Services's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
What Is Allied Digital Services's (NSE:ADSL) P/E Ratio After Its Share Price Tanked?3 weeks ago | Simply Wall St
A Sliding Share Price Has Us Looking At Allied Digital Services Limited's (NSE:ADSL) P/E Ratio4 weeks ago | Simply Wall St
Did You Manage To Avoid Allied Digital Services's (NSE:ADSL) 43% Share Price Drop?Valuation
Is Allied Digital Services undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ADSL (₹12.9) is trading below our estimate of fair value (₹125.72)
Significantly Below Fair Value: ADSL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ADSL is good value based on its PE Ratio (2.7x) compared to the IT industry average (7.3x).
PE vs Market: ADSL is good value based on its PE Ratio (2.7x) compared to the Indian market (9.4x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate ADSL's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: ADSL is good value based on its PB Ratio (0.1x) compared to the IN IT industry average (0.7x).
Next Steps
Future Growth
How is Allied Digital Services forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
8.2%
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 Allied Digital Services 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
- Examine whether Allied Digital Services is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- Allied Digital Services competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Software industry.
Past Performance
How has Allied Digital Services performed over the past 5 years?
30.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ADSL has high quality earnings.
Growing Profit Margin: ADSL's current net profit margins (8.2%) are higher than last year (2.4%).
Past Earnings Growth Analysis
Earnings Trend: ADSL has become profitable over the past 5 years, growing earnings by 30.5% per year.
Accelerating Growth: ADSL's earnings growth over the past year (334.1%) exceeds its 5-year average (30.5% per year).
Earnings vs Industry: ADSL earnings growth over the past year (334.1%) exceeded the IT industry 7.2%.
Return on Equity
High ROE: ADSL's Return on Equity (5.4%) is considered low.
Next Steps
Financial Health
How is Allied Digital Services's financial position?
Financial Position Analysis
Short Term Liabilities: ADSL's short term assets (₹3.4B) exceed its short term liabilities (₹1.6B).
Long Term Liabilities: ADSL's short term assets (₹3.4B) exceed its long term liabilities (₹308.6M).
Debt to Equity History and Analysis
Debt Level: ADSL's debt to equity ratio (11.3%) is considered satisfactory.
Reducing Debt: ADSL's debt to equity ratio has reduced from 14.6% to 11.3% over the past 5 years.
Debt Coverage: ADSL's debt is well covered by operating cash flow (106.2%).
Interest Coverage: ADSL's interest payments on its debt are well covered by EBIT (17.3x coverage).
Balance Sheet
Inventory Level: ADSL has a low level of unsold assets or inventory.
Debt Coverage by Assets: ADSL's debt is covered by short term assets (assets are 6.6x debt).
Next Steps
Dividend
What is Allied Digital Services's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ADSL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate ADSL'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 ADSL's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ADSL's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: ADSL is not paying a notable dividend for the Indian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ADSL'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?
8.2yrs
Average management tenure
CEO
Paresh Shah (52yo)
8.17s
Tenure
Mr. Paresh Bipinchandra Shah has been the Chief Executive Officer of Allied Digital Services Ltd. since February 7, 2012. Mr. Shah served as Vice President of Global Technologies at Allied Digital Services ...
CEO Compensation Analysis
Compensation vs Market: Paresh's total compensation ($USD0.00) is below average for companies of similar size in the Indian market ($USD48.21K).
Compensation vs Earnings: Paresh's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder | no data | no data | 29.45% ₹190.0m | |
| Chief Executive Officer | 8.17yrs | no data | no data | |
| Chief Financial Officer | no data | ₹2.93m | no data | |
| Compliance Officer & Company Secretary | 2.92yrs | ₹735.00k | no data | |
| Vice President of Sales | no data | no data | no data | |
| Executive Director of Commercial & Whole-Time Director | 14yrs | no data | 16.29% ₹105.1m | |
| Executive Director | 1.75yrs | no data | 0.081% ₹520.4k | |
| Chief Transformation Officer | no data | no data | no data | |
| Chief Executive Officer of Integrated Solutions Group | no data | no data | 0.030% ₹193.5k | |
| Chief Technology Officer | 24.92yrs | ₹587.00k | no data |
8.2yrs
Average Tenure
53yo
Average Age
Experienced Management: ADSL's management team is seasoned and experienced (8.2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder | no data | no data | 29.45% ₹190.0m | |
| Executive Director of Commercial & Whole-Time Director | 14yrs | no data | 16.29% ₹105.1m | |
| Executive Director | 1.75yrs | no data | 0.081% ₹520.4k | |
| Non-Executive Independent Director | 13.92yrs | ₹145.00k | no data | |
| Non-Executive Independent Director | 11yrs | ₹120.00k | no data | |
| Director of Digicomp Complete Solutions Ltd. | no data | no data | no data | |
| Non-Executive Independent Director | 5.5yrs | ₹95.00k | no data |
11.0yrs
Average Tenure
62yo
Average Age
Experienced Board: ADSL's board of directors are seasoned and experienced ( 11 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
Allied Digital Services Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Allied Digital Services Limited
- Ticker: ADSL
- Exchange: NSEI
- Founded: 1995
- Industry: IT Consulting and Other Services
- Sector: Software
- Market Cap: ₹645.141m
- Shares outstanding: 50.21m
- Website: https://www.allieddigital.net
Location
- Allied Digital Services Limited
- Premises No.13A, Earnest House
- 13th Floor, Block III
- Mumbai
- Maharashtra
- 400021
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 532875 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Jul 2007 |
| ADSL | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Jul 2007 |
Biography
Allied Digital Services Limited designs, develops, deploys, and delivers IT Infrastructure services in India, the United States, Australia, Europe, the Middle East, and rest of Asia. The company offers IT-as-a-service, such as IT transformation consulting, IT optimization and modernization, and disaster recovery hosting services, as well as datacenter hosting, migration, and management; and infrastructure services, such as infrastructure-as-a-service, infrastructure management, managed security, and professional services. It also provides end user IT support services, including service desk management, remote device management, virtual desktop infrastructure, enterprise mobility management, desk-side support, and professional services; and IT asset lifecycle services comprising deployment, maintenance, and disposal services, as well as install, move, add, and change services. In addition, the company offers enterprise applications consisting of custom application development, product engineering, ERP and CRM development and support, and business monitoring and management services; helpdesk/service desk management and work order management system solutions; and integrated solutions, such as security command and control center, video surveillance, access control, IoT, and RFID and smart card integrated solutions. Further, it provides perimeter intrusion detection, fire alarm, building management, public address, baggage scanning/explosive detection, and toll plaza and highway traffic management systems; and dispatch and depot services, including installation, datacenter smart hand, VOIP/PBX, datacenter transformation, maintenance and warranty, end user device, site survey, and satellite AV services. It has strategic alliances with Intel Corporation, LANDesk Software, Lenovo, and Amazon. Allied Digital Services Limited was incorporated in 1995 and is based in Mumbai, India.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/01 22:57 |
| End of Day Share Price | 2020/04/01 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.