High Scoring Large Cap stocks have outperformed low scoring stocks by 90% over last 4 years
Size: Market Cap wise it is among the top 20% companies of india.
Dividend: Dividend paying stock. Dividend yield of 2.09%.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Past Returns: Outperforming stock! In past three years, the stock has provided 27% return compared to 8.9% by NIFTY 50.
Growth: Awesome revenue growth! Revenue grew 19.9% over last year and 55.4% in last three years on TTM basis.
Smart Money: Smart money has been increasing their position in the stock.
Insider Trading: There's significant insider buying recently.
Balance Sheet: Reasonably good balance sheet.
No major cons observed.
Valuation | |
|---|---|
| Market Cap | 18.31 kCr |
| Price/Earnings (Trailing) | 26.92 |
| Price/Sales (Trailing) | 1.91 |
| EV/EBITDA | 13.64 |
| Price/Free Cashflow | 17.98 |
| MarketCap/EBT | 21.55 |
| Enterprise Value | 19.99 kCr |
Fundamentals | |
|---|---|
| Revenue (TTM) | 9.56 kCr |
| Rev. Growth (Yr) | 19.3% |
| Earnings (TTM) | 674.41 Cr |
| Earnings Growth (Yr) | 27.7% |
Profitability | |
|---|---|
| Operating Margin | 10% |
| EBT Margin | 9% |
| Return on Equity | 15.38% |
| Return on Assets | 7.24% |
| Free Cashflow Yield | 5.56% |
Growth & Returns | |
|---|---|
| Price Change 1W | -2.2% |
| Price Change 1M | 22.5% |
| Price Change 6M | -24% |
| Price Change 1Y | -33.4% |
| 3Y Cumulative Return | 27% |
| 5Y Cumulative Return | 13.2% |
| 7Y Cumulative Return | 25.2% |
| 10Y Cumulative Return | 22.4% |
Cash Flow & Liquidity | |
|---|---|
| Cash Flow from Investing (TTM) | -452.36 Cr |
| Cash Flow from Operations (TTM) | 1.21 kCr |
| Cash Flow from Financing (TTM) | -666.78 Cr |
| Cash & Equivalents | 258.58 Cr |
| Free Cash Flow (TTM) | 1.02 kCr |
| Free Cash Flow/Share (TTM) | 14.61 |
Balance Sheet | |
|---|---|
| Total Assets | 9.32 kCr |
| Total Liabilities | 4.94 kCr |
| Shareholder Equity | 4.38 kCr |
| Current Assets | 2.76 kCr |
| Current Liabilities | 3.48 kCr |
| Net PPE | 310.35 Cr |
| Inventory | 0.00 |
| Goodwill | 4.27 kCr |
Capital Structure & Leverage | |
|---|---|
| Debt Ratio | 0.21 |
| Debt/Equity | 0.44 |
| Interest Coverage | 3.68 |
| Interest/Cashflow Ops | 7.69 |
Dividend & Shareholder Returns | |
|---|---|
| Dividend/Share (TTM) | 5.5 |
| Dividend Yield | 2.09% |
| Shares Dilution (1Y) | 0.00% |
| Shares Dilution (3Y) | 0.00% |
Size: Market Cap wise it is among the top 20% companies of india.
Dividend: Dividend paying stock. Dividend yield of 2.09%.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Past Returns: Outperforming stock! In past three years, the stock has provided 27% return compared to 8.9% by NIFTY 50.
Growth: Awesome revenue growth! Revenue grew 19.9% over last year and 55.4% in last three years on TTM basis.
Smart Money: Smart money has been increasing their position in the stock.
Insider Trading: There's significant insider buying recently.
Balance Sheet: Reasonably good balance sheet.
No major cons observed.
Investor Care | |
|---|---|
| Dividend Yield | 2.09% |
| Dividend/Share (TTM) | 5.5 |
| Shares Dilution (1Y) | 0.00% |
| Earnings/Share (TTM) | 9.76 |
Financial Health | |
|---|---|
| Current Ratio | 0.79 |
| Debt/Equity | 0.44 |
Technical Indicators | |
|---|---|
| RSI (14d) | 62.76 |
| RSI (5d) | 94.47 |
| RSI (21d) | 69.6 |
| MACD Signal | Buy |
| Stochastic Oscillator Signal | Hold |
| SharesGuru Signal | Buy |
| RSI Signal | Hold |
| RSI5 Signal | Sell |
| RSI21 Signal | Hold |
| SMA 5 Signal | Buy |
| SMA 10 Signal | Buy |
| SMA 20 Signal | Buy |
| SMA 50 Signal | Buy |
| SMA 100 Signal | Buy |
Summary of Firstsource Solutions's latest earnings call, featuring management's outlook on business performance, financial results, and analyst Q&A sessions that highlight key strategic initiatives and market challenges.
The management of Firstsource Solutions Limited provided an optimistic outlook for FY27, with projected constant currency revenue growth of 10% to 13% and EBIT margins expected to fall within the range of 12.25% to 12.75%. This guidance indicates strong momentum stemming from a robust deal pipeline, which is at an all-time high, and a record intake of large deals exiting FY26.
Key forward-looking points from management include:
Revenue Growth: The company crossed the billion-dollar revenue mark, reporting FY26 revenues of INR 95.6 billion, a 19.7% increase year-on-year. In constant currency terms, revenue growth was 13.6%.
Margin Improvement: The EBIT margin for FY26 was 11.7%, consistent with guidance, and management aims for continued margin improvement with a target EBIT margin of 14% to 15% in the next couple of years.
Deal Wins: In FY26, Firstsource secured 17 large deals, a significant increase compared to previous years. This includes four large deals in Q4 alone, marking the fifth consecutive quarter of such performance.
Client Base Expansion: The number of clients with over $1 million in revenue increased to 150, showcasing significant growth in strategic relationships. The company added 24 strategic clients during FY26, doubling the number from FY25.
Focus on AI and Automation: The management highlighted the shift toward "Intelligence that operates," emphasizing their capability in integrating AI and automation into service delivery, which is expected to create a competitive edge and expand their total addressable market.
These indicators collectively underscore management's confidence in sustaining growth and enhancing profitability in the coming fiscal year.
Q1: "Could you help us understand the dichotomy in the industry regarding growth despite concerns around AI and revenue cannibalization?"
A1: Our growth reflects a dual macro environment where traditional BPO services are more tied to recurring revenue. Recent AI advancements have expanded our addressable market significantly. Clients increasingly view us as comprehensive partners, integrating advice and implementation. This expansion allows us to capture more opportunities and gain market share from competitors, aided by our strong value propositions and creative commercial strategies.
Q2: "What is your outlook on debt, particularly given recent acquisitions?"
A2: We view our debt levels as manageable. The growth in debt relates predominantly to acquisitions, but our cash flow remains strong. We're committed to balancing shareholder returns and funding growth opportunities. Internal cash flow will help in debt reduction over time. We believe we can still pursue further acquisitions without significant concern regarding our current debt levels.
Q3: "Is there a reason for softness in Q4 growth, and what were the expectations at the quarter's outset?"
A3: Q4 met our expectations aside from two delays: a UK collections deal that required longer regulatory approval and timing shifts in Medicare Advantage plans. Both are now resolved and should improve performance going forward. The underlying business momentum remains strong, and we don't see these delays as structural issues.
Q4: "Can you elaborate on the contribution of inorganic growth to FY26 and guidance for FY27?"
A4: For FY26, inorganic sources like TeleMedik contributed about 1.5%. Our organic growth stood at approximately 12.1%. Looking ahead to FY27, we anticipate inorganic contributions could range from 2% to 2.5%. The majority of our growth will still be driven by our organic efforts through client engagements and account development.
Q5: "How do you view the investment required for your strategy against margin aspirations?"
A5: We are committed to margin improvement while investing in growth. We've expanded margins gradually while funding investments in new talent and technologies. The efficiencies gained through AI and workflow redesign help us maintain our margin aspirations while we continue to attract skilled talent to meet evolving client needs. Our guidance for FY27 reflects our comfort in maintaining these margins amidst these investments.
Analysis of Firstsource Solutions's financial performance, highlighting revenue trends, growth patterns, and key metrics through quarterly analysis.
Last Updated: Mar 31, 2026
| Description | Share | Value |
|---|---|---|
| Healthcare | 34.4% | 898.1 Cr |
| Banking and Financial Services | 32.2% | 841.3 Cr |
| Communication, Media and Technology | 19.9% | 521.2 Cr |
| Diverse Industries | 13.5% | 352.4 Cr |
| Total | 2.6 kCr |
Understand Firstsource Solutions ownership landscape with insights into key distribution patterns, offering investors a clear view of stakeholder dynamics.
| Shareholder Name | Holding % |
|---|---|
| RPSG VENTURES LIMITED | 53.66% |
| SBI TECHNOLOGY OPPORTUNITIES FUND | 2.25% |
| TATA DIGITAL INDIA FUND | 1.83% |
| ICICI BANK LTD | 1.73% |
| ABU DHABI INVESTMENT AUTHORITY | 1.11% |
| ADITYA BIRLA SUN LIFE TRUSTEE PRIVATE LIMITED A/C ADITYA BIRLA SUN LIFE DIGITAL INDIA FUND | 1.1% |
Distribution across major stakeholders
Distribution across major institutional holders
Detailed comparison of Firstsource Solutions against industry peers, highlighting key financial metrics, valuation ratios, and performance indicators to provide competitive context within the sector.
Ticker | Name | Mkt Cap | Revenue | Price %, 1M | Returns, 1Y | P/E | P/S | Rev 1-Yr | Inc 1-Yr |
|---|---|---|---|---|---|---|---|---|---|
| MPHASIS | Mphasis | 43.34 kCr | 16.21 kCr | +0.90% | -11.50% | 23.22 | 2.67 | - | - |
| ECLERX | eClerx Services | 14.18 kCr | 4.22 kCr | +6.50% | -14.10% | 19.98 | 3.36 | - | - |
| ZENSARTECH | Zensar Tech | 11.24 kCr | 5.92 kCr | -5.20% | -41.90% | 14.48 | 1.9 | - | - |
| QUESS | Quess Corp | 3.12 kCr | 15.32 kCr | +3.00% | -35.10% | 14.06 | 0.2 | - | - |
| HGS | Hinduja Global Solutions | 1.92 kCr | 4.9 kCr | 0.00% | -20.20% | 43.37 | 0.39 | - | - |
Comprehensive comparison against sector averages
FSL metrics compared to Commercial
| Category | FSL | Commercial |
|---|---|---|
| PE | 28.51 | 17.24 |
| PS | 2.03 | 0.49 |
| Growth | 19.9 % | 15.3 % |
Firstsource Solutions Limited provides tech-enabled business processes in India, the United Kingdom, the United States, Asia, South Africa, the Philippines, Australia, New Zealand, and internationally. It operates through Banking and Financial Services; Healthcare; Communication, Media and Technology; and Diverse Industries segments. The company offers various banking and financial services and solutions, including customer acquisition, onboarding, transaction processing and payments, disputes and complaints, servicing, bereavement and power of attorney, fraud and financial crime, and account closure; lending services, such as origination, post-closing, title, settlement, and quality control and due diligence services; and collections. It also provides health plan services comprising claims operations, enrollment and billing, customer service, care coordination, credential provider, data and network management, benefit coding, maintenance, coverage, medicaid enrollment, prior authorization, medical coding, denial management and prevention, patient billing and collections, and receivables management; and communication services, such as sales and retention, tech ops, receivables and collections management, and generative AI. In addition, the company offers media/edtech solutions, including content development and enrichment, learners support, student pre-registration and enrollment, and digital collections; and other services for diversified industries, such as retention and loyalty, meter-to-cash operations, crisis/contingency management, smart meter conversions, debt management, and complaints handling; and consulting services. It serves to banking and financial services, healthcare, communications, media and technology, insurance, energy, and utilities sectors. The company was formerly known as ICICI Onesource Limited and changed its name to Firstsource Solutions Limited in November 2006. The company was incorporated in 2001 and is based in Mumbai, India. Firstsource Solutions Limited is a subsidiary of RPSG Ventures Limited.
This is an informational page just to provide a quick 'first look' at the stock. You must do your own deeper research. Know your risk appetite. Consult a SEBI-registered financial advisor before making any investment decisions.
FSL vs Commercial (2021 - 2026)