NSEI:ROLTA

Stock Analysis Report

Executive Summary

Rolta India Limited, together with its subsidiaries, provides various information technology (IT) solutions and services in India and internationally.


Snowflake Analysis

Imperfect balance sheet with weak fundamentals.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: ROLTA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-7.1%

ROLTA

2.1%

IN IT

-2.9%

IN Market


1 Year Return

-72.5%

ROLTA

-15.1%

IN IT

-29.3%

IN Market

Return vs Industry: ROLTA underperformed the Indian IT industry which returned -15.1% over the past year.

Return vs Market: ROLTA underperformed the Indian Market which returned -29.3% over the past year.


Shareholder returns

ROLTAIndustryMarket
7 Day-7.1%2.1%-2.9%
30 Day-37.1%-13.4%-23.7%
90 Day-55.7%-18.3%-28.6%
1 Year-72.5%-72.5%-12.5%-15.1%-27.9%-29.3%
3 Year-96.6%-96.6%35.7%27.3%-15.4%-20.0%
5 Year-98.8%-98.9%31.0%18.5%-3.3%-8.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Rolta India undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Rolta India is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Rolta India has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of ROLTA’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Rolta India regulatory filings.
  • Explore potentially undervalued companies in the Software industry.

Future Growth

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

8.5%

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 Rolta 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 Rolta India performed over the past 5 years?

-84.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ROLTA is currently unprofitable.

Growing Profit Margin: ROLTA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ROLTA is unprofitable, and losses have increased over the past 5 years at a rate of -84.8% per year.

Accelerating Growth: Unable to compare ROLTA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ROLTA is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (7.2%).


Return on Equity

High ROE: ROLTA's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Rolta India's financial position?


Financial Position Analysis

Short Term Liabilities: ROLTA has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: ROLTA has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: ROLTA has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: ROLTA's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

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

Debt Coverage by Assets: ROLTA has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


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: ROLTA has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: ROLTA has sufficient cash runway for more than 3 years if free cash flow continues to grow at historical rates of 33.9% each year


Next Steps

Dividend

What is Rolta India's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ROLTA'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?

2.8yrs

Average management tenure


CEO

Kamal Singh (68yo)

no data

Tenure

Mr. Kamal K. Singh, BE serves as Chairman and Chief Executive Officer at Piocon Technologies, Inc. Mr. Singh serves as Chief Executive Officer of Rolta India Limited and Rolta International, Inc. Mr. Singh ...


CEO Compensation Analysis

Compensation vs Market: Kamal's total compensation ($USD0.00) is below average for companies of similar size in the Indian market ($USD48.15K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Kamal Singh
Founderno datano data0.52% 1.7m
Dineshkumar Kapadia
Chief Financial Officer1.83yrsno datano data
K. Parnaik
Joint MD of Defence & Security and Whole-Time Director3.83yrs₹20.80m0.075% 251.2k
Preetha Pulusani
President of North America & International Operationsno datano datano data
Hetal Vichhi
Company Secretary0.083yrno datano data
Tariq Farooqui
Vice President of Sales & Marketingno datano datano data
Vinay Sawarkar
Senior Vice President of Human Resourcesno datano datano data
Sudhindra Shirguppi
Executive Vice President of Geospatial Engineering & Businessno datano datano data
Rajbir Rathi
Executive Vice President of Business Development Defenceno datano datano data
Blane Schertz
Executive Vice President of Legal - North America4.58yrsno datano data

2.8yrs

Average Tenure

65yo

Average Age

Experienced Management: ROLTA's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Kamal Singh
Founderno datano data0.52% 1.7m
K. Parnaik
Joint MD of Defence & Security and Whole-Time Director3.83yrs₹20.80m0.075% 251.2k
Homai Daruwalla
Non-Executive Independent Director3.67yrs₹1.10mno data
Ramnath Pradeep
Non-Executive Independent Director3.75yrs₹1.20mno data
Padam Pal Bhandari
Non-Executive Independent Director3.67yrs₹1.00m0.0092% 30.6k

3.7yrs

Average Tenure

68yo

Average Age

Experienced Board: ROLTA's board of directors are considered experienced (3.7 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Rolta India Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Rolta India Limited
  • Ticker: ROLTA
  • Exchange: NSEI
  • Founded: 1989
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: ₹333.442m
  • Shares outstanding: 165.89m
  • Website: https://www.rolta.com

Number of Employees


Location

  • Rolta India Limited
  • Rolta Tower A
  • Rolta Technology Park, 22nd Street
  • Mumbai
  • Maharashtra
  • 400093
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500366BSE (Mumbai Stock Exchange)YesEquity SharesININRMar 1995
ROLTANSEI (National Stock Exchange of India)YesEquity SharesININRMar 1995

Biography

Rolta India Limited, together with its subsidiaries, provides various information technology (IT) solutions and services in India and internationally. The company operates in two segments, Enterprise Geospatial and Engineering Solutions, and System Integration and Enterprise IT Solutions. Its solutions include BI and big data analytics, smart city, cloud security and IT transformation, geospatial fusion, enterprise application, e-Governance, financial analytics, defense, safety and security, and engineering AIM solutions. The company also provides application development and maintenance, managed, Rolta adviser, business consulting, enterprise performance management, GIS, and engineering services. Its products include Rolta OneView, a BI and big data analytics solution; Rolta IT-OT Fusion, a middleware integration solution; ROLTA iPerspective, an enterprise suite for SOA needs; Rolta SmartMigrate solution; Rolta OnPoint, a spatial integration application; Rolta GeoCAD, an emergency response management solution; Rolta Command and Control Solution; Rolta Photogrammetry Suite, a solution to publish GIS data; Rolta Image Processing Suite; Rolta 3D Analysis and Visualization Suite; and Rolta Battlefield Management Systems. The company serves defense, homeland and maritime security, government, infrastructure and natural resources, oil and gas, chemicals, discrete manufacturing, transportation, banking and financial services, and retail and healthcare industries, as well as utilities comprising power, water, gas, and telecom. Rolta India Limited was incorporated in 1989 and is headquartered in Mumbai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/29 12:59
End of Day Share Price2020/03/27 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.