IT - Software
Valuation | |
|---|---|
| Market Cap | 98.13 kCr |
| Price/Earnings (Trailing) | 58.28 |
| Price/Sales (Trailing) | 7.33 |
| EV/EBITDA | 37.58 |
| Price/Free Cashflow | 126.14 |
| MarketCap/EBT | 45.44 |
| Enterprise Value | 97.12 kCr |
Fundamentals | |
|---|---|
Growth & Returns | |
|---|---|
| Price Change 1W | -3.7% |
| Price Change 1M | -0.40% |
| Price Change 6M | 13.1% |
| Price Change 1Y | 6.7% |
| 3Y Cumulative Return | 46.3% |
| 5Y Cumulative Return | 50.4% |
| 7Y Cumulative Return | 56.2% |
| 10Y Cumulative Return | 35.1% |
| Revenue (TTM) |
| 13.39 kCr |
| Rev. Growth (Yr) | 23.4% |
| Earnings (TTM) | 1.67 kCr |
| Earnings Growth (Yr) | 45.1% |
Profitability | |
|---|---|
| Operating Margin | 16% |
| EBT Margin | 16% |
| Return on Equity | 23.3% |
| Return on Assets | 16.84% |
| Free Cashflow Yield | 0.79% |
Cash Flow & Liquidity |
|---|
| Cash Flow from Investing (TTM) | -434.43 Cr |
| Cash Flow from Operations (TTM) | 1.16 kCr |
| Cash Flow from Financing (TTM) | -628.2 Cr |
| Cash & Equivalents | 1 kCr |
| Free Cash Flow (TTM) | 724.27 Cr |
| Free Cash Flow/Share (TTM) | 46.31 |
Balance Sheet | |
|---|---|
| Total Assets | 9.89 kCr |
| Total Liabilities | 2.74 kCr |
| Shareholder Equity | 7.15 kCr |
| Current Assets | 6 kCr |
| Current Liabilities | 2.4 kCr |
| Net PPE | 412.27 Cr |
| Inventory | 0.00 |
| Goodwill | 1.28 kCr |
Capital Structure & Leverage | |
|---|---|
| Debt Ratio | 0.00 |
| Debt/Equity | 0.00 |
| Interest Coverage | 29.93 |
| Interest/Cashflow Ops | 17.51 |
Dividend & Shareholder Returns | |
|---|---|
| Dividend/Share (TTM) | 35 |
| Dividend Yield | 0.56% |
| Shares Dilution (1Y) | 0.40% |
| Shares Dilution (3Y) | 2.3% |
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Balance Sheet: Strong Balance Sheet.
Past Returns: Outperforming stock! In past three years, the stock has provided 46.3% return compared to 12.6% by NIFTY 50.
Profitability: Recent profitability of 12% is a good sign.
Size: It is among the top 200 market size companies of india.
Smart Money: Smart money has been increasing their position in the stock.
Growth: Awesome revenue growth! Revenue grew 23.2% over last year and 87% in last three years on TTM basis.
Technicals: SharesGuru indicator is Bearish.
Momentum: Stock has a weak negative price momentum.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Balance Sheet: Strong Balance Sheet.
Past Returns: Outperforming stock! In past three years, the stock has provided 46.3% return compared to 12.6% by NIFTY 50.
Profitability: Recent profitability of 12% is a good sign.
Size: It is among the top 200 market size companies of india.
Smart Money: Smart money has been increasing their position in the stock.
Growth: Awesome revenue growth! Revenue grew 23.2% over last year and 87% in last three years on TTM basis.
Technicals: SharesGuru indicator is Bearish.
Momentum: Stock has a weak negative price momentum.
Investor Care | |
|---|---|
| Dividend Yield | 0.56% |
| Dividend/Share (TTM) | 35 |
| Shares Dilution (1Y) | 0.40% |
| Earnings/Share (TTM) | 107.66 |
Financial Health | |
|---|---|
| Current Ratio | 2.5 |
| Debt/Equity | 0.00 |
Technical Indicators | |
|---|---|
| RSI (14d) | 45.97 |
| RSI (5d) | 10.54 |
| RSI (21d) | 49.23 |
| MACD Signal | Sell |
| Stochastic Oscillator Signal | Hold |
| SharesGuru Signal | Sell |
| RSI Signal | Hold |
| RSI5 Signal | Buy |
| RSI21 Signal | Hold |
| SMA 5 Signal | Sell |
| SMA 10 Signal |
Updated May 4, 2025
The stock of Persistent Systems is down 16.5% year-to-date despite recent positive quarterly results.
There is a concern over the slowing conversion of pipeline to total contract value as clients grow more cautious.
Persistent Systems has recorded a decline of -15.98% this year, despite a slight gain of 5.22% over the last 5 days.
Summary of Persistent Systems'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.
In the October 14, 2025 earnings call, management provided a positive outlook for Persistent Systems, reflecting confidence in sustained growth and operational excellence. They reported a quarterly revenue of $406.2 million, marking a 4.2% increase quarter-on-quarter and a 17.6% increase year-on-year. This achievement extends the company's growth streak to 22 consecutive quarters. Additionally, the annualized revenue rate has exceeded $1.6 billion.
Key forward-looking points emphasized include:
Growth Target: Management is optimistic about reaching a revenue target of $2 billion by the end of FY27.
Order Book Health: The total contract value for the quarter was reported at $609.2 million, with new bookings contributing $350.8 million. The annual contract value reached $447.9 million, of which $254.4 million came from new bookings, indicating strong client engagement.
Client Metrics: Growth in revenue from major client tiers was notable"”top five clients saw a 23.4% increase, top ten clients 22.4%, and top twenty clients 22.7%. There is continuing diversification in client relationships, with an increase in clients exceeding various revenue thresholds.
Margin Strategy: The EBIT margin improved to 16.3%, with management indicating that wage hikes effective from October 1, 2025, may initially pressure margins but will be offset by strategic measures like offshoring and efficiency improvements.
Investment in AI: There is a strong emphasis on AI-driven growth strategies, positioning the company to capitalize on AI transformations for both operational capabilities and client offerings. Management has indicated proactive engagement with the top 100 clients, aiming to ensure they leverage AI capabilities effectively.
Geographic and Sectoral Growth: North America witnessed a 15.4% growth, while Europe saw a significant 37.9% increase. BFSI led sector growth at 30%, reinforced by numerous deal wins across multiple verticals.
Overall, management conveyed a focus on leveraging their technological advancements and operational improvements to drive future growth amidst challenging macroeconomic conditions.
Understand Persistent Systems ownership landscape with insights into key distribution patterns, offering investors a clear view of stakeholder dynamics.
| Shareholder Name | Holding % |
|---|---|
| Anand Suresh Deshpande | 29.24% |
| Motilal Oswal Midcap Fund | 6.32% |
| Hdfc Mutual Fund - Hdfc Mid-Cap Fund | 2.57% |
| Kotak Midcap Fund | 2.33% |
| Nippon Life India Trustee Ltd- A/C Nippon India Growth Mid Cap Fund | 1.92% |
| Uti-Flexi Cap Fund | 1.75% |
| Shridhar Bhalchandra Shukla |
Detailed comparison of Persistent Systems 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 |
|---|---|---|---|---|---|---|---|---|---|
| LTIM | LTIMindtree | 1.79 LCr | 40.82 kCr | -3.80% | +4.80% | 36.69 | 4.38 | - | - |
| COFORGE | COFORGE | 56.27 kCr | 14.4 kCr |
Comprehensive comparison against sector averages
PERSISTENT metrics compared to IT
| Category | PERSISTENT | IT |
|---|---|---|
| PE | 58.28 | 25.33 |
| PS | 7.33 | 3.78 |
| Growth | 23.2 % | 5.4 % |
Persistent Systems is a company specializing in software and consulting services within the technology sector. With a stock ticker of PERSISTENT and a robust market capitalization of Rs. 82,397.9 Crores, the company is well-established in both domestic and international markets, particularly in India and North America.
The company operates through several key segments, including Banking, Financial Services, and Insurance (BFSI); Healthcare & Life Sciences; and Software, Hi-Tech, and Emerging Industries.
Among its offerings are:
In addition, Persistent Systems provides various cloud services such as:
The company also focuses on data and analytics advisory services, enterprise integration strategies, and application modernization.
Founded in 1990 and headquartered in Pune, India, Persistent Systems serves a diverse clientele across industries like banking, finance, healthcare, consumer tech, and telecommunications.
Financially, the company has shown impressive performance with a trailing 12-month revenue of Rs. 11,437.7 Crores and a profit of Rs. 1,319.7 Crores over the past four quarters. Persistent Systems has achieved a revenue growth of 114.7% in the past three years and maintains a dividend yield of 0.57%, having distributed Rs. 30 dividend per share over the last year.
Despite having diluted shareholdings by 2% over the past three years, Persistent Systems remains a profitable entity demonstrating a solid growth trajectory.
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.
| Sell |
| SMA 20 Signal | Sell |
| SMA 50 Signal | Sell |
| SMA 100 Signal | Sell |
PERSISTENT vs IT (2021 - 2026)
Persistent Systems reported revenue surpassing USD 1.4 billion for FY25, reflecting an 18.8% year-on-year growth.
General • 02 Jan 2026 The intimation under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, is as enclosed. |
Analyst / Investor Meet • 02 Jan 2026 The update regarding the earlier intimation of investor/analyst call scheduled on Tuesday, January 20, 2026 (IST) is as enclosed. |
Newspaper Publication • 01 Jan 2026 The newspaper publications dated January 1, 2026 are as enclosed. |
Analyst / Investor Meet • 01 Jan 2026 We wish to inform you that Persistent Systems Limited
(the 'Company') will hold an investor/analyst call on Tuesday, January 20, 2026, at 6:00 PM (IST). The details of the said call are .... |
Analyst / Investor Meet • 24 Dec 2025 The outcome of Investor/analyst session held on Wednesday, December 24, 2025, is as enclosed. |
This information is AI-generated and may contain inaccuracies. Please verify from multiple sources.
Here are the major questions from the Q&A section of the earnings transcript along with their detailed answers:
Question: "I wanted to check on the TCV growth and its implications for next year's $2 billion target. How do you see the decline in new TCV affecting us?"
Answer: "Out of the TCV of $609.2 million, $350.8 million is new business. While the ACV is strong with $254.4 million from new bookings, TCV reflects long-term contracts. We remain confident about future growth, as revenue realization will draw from both ACV bookings and TCV conversions unless macroeconomic conditions shift adversely."
Question: "What led to the strong margins improvement of 230 basis points YoY? Will you prioritize growth or further optimizing margins?"
Answer: "We've seen good margin progress as planned. We're committed to maintaining balanced growth and investing in innovation. While we've enhanced our margins, we recognize that a changing environment calls for continued investment in growth. Thus, we'll strive for a combination of heightened margins while prioritizing continued growth."
Question: "What is driving the sustained high growth in BFSI and Europe, and are they interconnected?"
Answer: "BFSI and Europe's growth isn't interlinked. The European growth is linked to significant deals we won, while BFSI growth stems from multiple wins, including large consolidation deals. These wins span various sub-sectors, indicating a broad-based growth rather than dependence on a few clients."
Question: "How does the current macro landscape affect demand and pipeline stability?"
Answer: "The macroeconomic environment remains challenging, but we've adapted. Deal pipeline is broad-based across verticals like BFSI and hi-tech, indicating resilience. Demand is improving as clients adjust to changing conditions. We believe, with execution excellence, we can leverage this growth, especially as healthcare begins to rebound."
Question: "As clients seek productivity benefits from AI, is there a risk of pricing deflation?"
Answer: "It's early to conclude AI is causing pricing deflation. We proactively engage clients, integrating AI-led offerings into renewals. Our strategy focuses on enhancing overall efficiency through AI, not just unit prices, which has prevented negative impacts on our realization."
Question: "Can you provide clarity on what's driving margin improvements in the tech segment specifically?"
Answer: "Margin improvements in tech arise from successful AI-driven deal wins using platforms like SASVA. These allow us to optimize resources while enhancing project profitability and are central to achieving better realizations in competitive landscapes."
Question: "Do you foresee structural changes in headcount distribution, particularly in North America vs India?"
Answer: "Changes are likely due to market conditions, but not dramatically. Our strategy remains consistent; we're focused on efficient project delivery, leveraging headcount as needed for client demands while ensuring sustainable operations without over-relying on H-1B staffing."
Question: "With recent strong deal wins, should we expect accelerated growth in the latter half of the year?"
Answer: "While we won't provide explicit forecasts, the solid pipeline reflects strong positions for potential growth. We're optimistic but grounded, and our focus remains on maintaining execution and exploring market opportunities diligently."
This format provides clarity on the major points discussed and the respective responses in the call.
| 1.41% |
| Axis Mutual Fund Trustee Limited A/C Axis Mutual Fund A/C Axis Midcap Fund | 1.12% |
| Sbi Life Insurance Co. Limited | 1.08% |
| Hdfc Life Insurance Company Limited | 1.06% |
| Chitra Hemadri Buzruk | 0.6% |
| Mukund Suresh Deshpande | 0.51% |
| Sonali Anand Deshpande | 0.14% |
| Hemadri Narayan Buzruk | 0.01% |
| Arul Anand Deshpande | 0.01% |
| Chinmay Hemadri Buzruk | 0.01% |
| Gayatri Hemadri Buzruk | 0.01% |
| Ria Anand Deshpande | 0.01% |
| RAMA PURUSHOTTAM FOUNDATION | 0% |
| Sulabha Suresh Deshpande | 0% |
Distribution across major stakeholders
Distribution across major institutional holders
| -2.10% |
| 48.09 |
| 3.91 |
| - |
| - |
| MPHASIS | Mphasis | 53.1 kCr | 15.18 kCr | -3.70% | +0.40% | 29.7 | 3.5 | - | - |
| LTTS | L&T Technology Services | 44.98 kCr | 11.7 kCr | -8.00% | -9.80% | 35.17 | 3.85 | - | - |
| CYIENT | Cyient | 13.06 kCr | 7.47 kCr | +1.60% | -31.40% | 22.58 | 1.75 | - | - |
| Total profit before tax |
| 11.2% |
| 617 |
| 555 |
| 505 |
| 482 |
| 435 |
| 401 |
| Current tax | 26.9% | 171 | 135 | 128 | 139 | 123 | 82 |
| Deferred tax | -421.3% | -25.69 | -4.12 | -19.02 | -29.77 | -13.25 | 12 |
| Total tax | 11.6% | 145 | 130 | 109 | 109 | 110 | 94 |
| Total profit (loss) for period | 10.8% | 471 | 425 | 396 | 373 | 325 | 306 |
| Other comp. income net of taxes | -86% | 4.09 | 23 | 2.04 | -61.05 | 47 | 32 |
| Total Comprehensive Income | 6.3% | 476 | 448 | 398 | 312 | 372 | 338 |
| Earnings Per Share, Basic | 10.9% | 30.31 | 27.43 | 25.64 | 24.28 | 21.19 | 20.09 |
| Earnings Per Share, Diluted | 11.2% | 30.15 | 27.21 | 25.39 | 23.93 | 20.98 | 19.89 |
| Debt equity ratio | - | 0 | 0 | 0 | 0 | 0 | 004 |
| Debt service coverage ratio | - | 0 | 0 | 0 | 0.08 | 0.04 | 0.0236 |
| 8.7% |
| 176 |
| 162 |
| 134 |
| 84 |
| 57 |
| 56 |
| Other expenses | 111.5% | 1,583 | 749 | 570 | 371 | 282 | 390 |
| Total Expenses | 92.8% | 10,336 | 5,362 | 4,112 | 2,796 | 1,929 | 1,735 |
| Profit Before exceptional items and Tax | 19.5% | 1,573 | 1,317 | 1,080 | 912 | 668 | 533 |
| Exceptional items before tax | - | 0 | 0 | -29.66 | 0 | 0 | 0 |
| Total profit before tax | 19.5% | 1,573 | 1,317 | 1,050 | 912 | 668 | 533 |
| Current tax | 18.5% | 404 | 341 | 271 | 225 | 169 | 130 |
| Deferred tax | 212.1% | 14 | -10.6 | -11.51 | 1.19 | -5.74 | -4.45 |
| Total tax | 26.4% | 418 | 331 | 259 | 226 | 163 | 125 |
| Total profit (loss) for period | 17.2% | 1,155 | 986 | 791 | 686 | 505 | 408 |
| Other comp. income net of taxes | 351.7% | 12 | -3.37 | -6.33 | -28.85 | 40 | -45.96 |
| Total Comprehensive Income | 18.9% | 1,167 | 982 | 785 | 657 | 545 | 362 |
| Earnings Per Share, Basic | 16.5% | 74.45 | 64.06 | 51.76 | 44.87 | 33.045 | 26.585 |
| Earnings Per Share, Diluted | 16.5% | 74.45 | 64.06 | 51.76 | 44.87 | 33.045 | 26.585 |
| Debt service coverage ratio | - | 0 | - | - | - | - | - |
| Interest service coverage ratio | - | 0 | - | - | - | - | - |
| 136.3% |
| 7.64 |
| 3.81 |
| 16 |
| 33 |
| 40 |
| 16 |
| Goodwill | 156.5% | 60 | 24 | 24 | 24 | 24 | 24 |
| Non-current investments | 0.6% | 1,495 | 1,486 | 1,426 | 1,408 | 1,232 | 1,215 |
| Loans, non-current | -8.7% | 337 | 369 | 486 | 276 | 382 | 287 |
| Total non-current financial assets | -2.4% | 1,929 | 1,977 | 2,011 | 1,755 | 1,681 | 1,598 |
| Total non-current assets | 7.6% | 3,204 | 2,979 | 2,934 | 2,553 | 2,485 | 2,413 |
| Total assets | 27.4% | 10,198 | 8,005 | 8,266 | 6,052 | 5,490 | 4,899 |
| Borrowings, non-current | - | 0 | 0 | 0 | 0 | 0 | 0.18 |
| Total non-current financial liabilities | 18.6% | 199 | 168 | 155 | 94 | 111 | 109 |
| Provisions, non-current | 221.5% | 20 | 6.91 | 0 | 53 | 47 | 37 |
| Total non-current liabilities | 23.6% | 221 | 179 | 160 | 150 | 158 | 148 |
| Borrowings, current | - | 0 | 0 | 0 | 0.19 | 0.18 | 0.19 |
| Total current financial liabilities | 115% | 2,633 | 1,225 | 1,867 | 365 | 243 | 250 |
| Provisions, current | -53.6% | 123 | 264 | 189 | 204 | 166 | 260 |
| Current tax liabilities | - | 104 | 0 | 33 | 29 | 42 | 2.06 |
| Total current liabilities | 81.2% | 3,355 | 1,852 | 2,629 | 1,123 | 809 | 809 |
| Total liabilities | 76.1% | 3,576 | 2,031 | 2,789 | 1,273 | 966 | 957 |
| Equity share capital | 0% | 78 | 78 | 78 | 77 | 77 | 76 |
| Total equity | 10.8% | 6,622 | 5,974 | 5,477 | 4,779 | 4,524 | 3,942 |
| Total equity and liabilities | 27.4% | 10,198 | 8,005 | 8,266 | 6,052 | 5,490 | 4,899 |
| 57.6% |
| 491 |
| 312 |
| -292.4 |
| 232 |
| - |
| - |
| Other inflows (outflows) of cash | 95.3% | 0 | -20.45 | -547.77 | 0 | - | - |
| Net Cashflows From Operating Activities | 24.9% | 713 | 571 | 520 | 586 | - | - |
| Proceeds from sales of PPE | 779.1% | 17 | 2.82 | 0.38 | 1.32 | - | - |
| Purchase of property, plant and equipment | 18.9% | 171 | 144 | 348 | 336 | - | - |
| Dividends received | -104.2% | 0 | 25 | 0 | 5.32 | - | - |
| Interest received | -4% | 73 | 76 | 70 | 71 | - | - |
| Other inflows (outflows) of cash | -2822% | -171.4 | -4.9 | 168 | 324 | - | - |
| Net Cashflows From Investing Activities | -453% | -251.62 | -44.68 | -110.07 | -392.61 | - | - |
| Proceeds from issuing shares | 15% | 185 | 161 | 0 | 0 | - | - |
| Repayments of borrowings | 0% | 0.18 | 0.18 | 0.19 | 0.18 | - | - |
| Payments of lease liabilities | 56.9% | 81 | 52 | 34 | 17 | - | - |
| Dividends paid | 12.3% | 466 | 415 | 298 | 199 | - | - |
| Interest paid | 4093.5% | 53 | 2.24 | 13 | 6.88 | - | - |
| Other inflows (outflows) of cash | 94.8% | 0 | -18.16 | 0 | 0 | - | - |
| Net Cashflows from Financing Activities | -27% | -415.81 | -327.24 | -345.65 | -223.14 | - | - |
| Effect of exchange rate on cash eq. | -165.8% | -0.54 | 3.34 | 3.17 | -0.03 | - | - |
| Net change in cash and cash eq. | -78.1% | 45 | 202 | 67 | -29.91 | - | - |
Restructuring • 24 Dec 2025 The intimation under Regulation 30 of the SEBI (LODR) Regulations, 2015 is as enclosed. |
Acquisition • 23 Dec 2025 The intimation under Reg. 30 of the SEBI (LODR) Regulations, 2015 is as enclosed. |
Analysis of Persistent Systems's financial performance, highlighting revenue trends, growth patterns, and key metrics through quarterly analysis.
Last Updated: Sep 30, 2025
| Description | Share | Value |
|---|---|---|
| Software, Hi-Tech and Emerging Industries | 40.0% | 1.4 kCr |
| Banking, Financial Services and Insurance (BFSI) | 34.8% | 1.2 kCr |
| Healthcare & Life Sciences | 25.2% | 902.7 Cr |
| Total | 3.6 kCr |