HOV Services Limited, together with its subsidiaries, provides software and information technology enabled services in India and internationally.
Excellent balance sheet and fair value.
Share Price & News
How has HOV Services's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: HOVS's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: HOVS underperformed the Indian IT industry which returned -16.8% over the past year.
Return vs Market: HOVS underperformed the Indian Market which returned -29.6% over the past year.
Price Volatility Vs. Market
How volatile is HOV Services's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall StWhat Is HOV Services's (NSE:HOVS) P/E Ratio After Its Share Price Tanked?
3 weeks ago | Simply Wall StWhat Is HOV Services's (NSE:HOVS) P/E Ratio After Its Share Price Tanked?
1 month ago | Simply Wall StDo Institutions Own HOV Services Limited (NSE:HOVS) Shares?
Is HOV Services 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: HOVS (₹23.85) is trading below our estimate of fair value (₹63.98)
Significantly Below Fair Value: HOVS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: HOVS is poor value based on its PE Ratio (71.4x) compared to the IT industry average (7x).
PE vs Market: HOVS is poor value based on its PE Ratio (71.4x) compared to the Indian market (9.4x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate HOVS's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: HOVS is good value based on its PB Ratio (0.2x) compared to the IN IT industry average (0.7x).
How is HOV Services forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
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 HOV 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.
- Examine whether HOV 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.
- HOV Services competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Software industry.
How has HOV Services performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HOVS has high quality earnings.
Growing Profit Margin: HOVS's current net profit margins (3.7%) are lower than last year (6.4%).
Past Earnings Growth Analysis
Earnings Trend: HOVS has become profitable over the past 5 years, growing earnings by 62% per year.
Accelerating Growth: HOVS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: HOVS had negative earnings growth (-42.8%) over the past year, making it difficult to compare to the IT industry average (7.2%).
Return on Equity
High ROE: HOVS's Return on Equity (0.3%) is considered low.
How is HOV Services's financial position?
Financial Position Analysis
Short Term Liabilities: HOVS's short term assets (₹118.5M) exceed its short term liabilities (₹47.4M).
Long Term Liabilities: HOVS's short term assets (₹118.5M) do not cover its long term liabilities (₹303.3M).
Debt to Equity History and Analysis
Debt Level: HOVS's debt to equity ratio (2.1%) is considered satisfactory.
Reducing Debt: HOVS's debt to equity ratio has reduced from 2.5% to 2.1% over the past 5 years.
Inventory Level: HOVS has a low level of unsold assets or inventory.
Debt Coverage by Assets: HOVS's debt is covered by short term assets (assets are 4.3x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: HOVS is profitable, therefore cash runway is not a concern.
Forecast Cash Runway: HOVS is profitable, therefore cash runway is not a concern.
What is HOV Services's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate HOVS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate HOVS'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 HOVS's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if HOVS's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: HOVS is not paying a notable dividend for the Indian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of HOVS's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Vik Negi (43yo)
Mr. Vikram Negi, also known as Vik, is a Principal at HGM, LLC. Mr. Negi is a part of the Europe and Asia team. He has been Chairman of HOV Services Limited since May 30, 2019 and its Whole Time Director s ...
|Chairman of the Board||no data||no data||0.50% ₹1.5m|
|Executive Director||16.92yrs||no data||0.95% ₹2.9m|
|Executive Director||14yrs||₹4.80m||4.68% ₹14.2m|
|Non-Executive Independent Director||14.25yrs||₹480.00k||0.087% ₹266.2k|
|Non-Executive Independent Director||5.5yrs||₹420.00k||no data|
|Independent Director||1.75yrs||₹50.00k||no data|
Experienced Board: HOVS's board of directors are considered experienced (9.8 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
HOV Services Limited's company bio, employee growth, exchange listings and data sources
- Name: HOV Services Limited
- Ticker: HOVS
- Exchange: NSEI
- Founded: 1989
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: ₹304.653m
- Shares outstanding: 12.59m
- Website: https://www.hovsltd.com
Number of Employees
- HOV Services Limited
- Sharda Arcade
- 3rd Floor
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|532761||BSE (Mumbai Stock Exchange)||Yes||Equity Shares||IN||INR||Sep 2006|
|HOVS||NSEI (National Stock Exchange of India)||Yes||Equity Shares||IN||INR||Sep 2006|
HOV Services Limited, together with its subsidiaries, provides software and information technology enabled services in India and internationally. The company offers software development, maintenance, and support services; BPO services; and data entry services. It also provides environment protection solutions. HOV Services Limited was founded in 1989 and is headquartered in Pune, India.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/02 14:39|
|End of Day Share Price||2020/04/01 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.