KPIT Technologies Ltd Vs Hexaware Technologies – Which Stock Has Stronger Growth Potential?

Company Overview of Hexaware Technologies Ltd

Hexaware Technologies Ltd is a digital and technology services company headquartered in Navi Mumbai, India. Established in 1992, it offers services such as business process outsourcing, cloud solutions, data and artificial intelligence, digital IT operations and consulting across various sectors, including banking, financial services, healthcare and manufacturing. 

The company operates globally, with a presence in North America, Europe and the Asia-Pacific region and has partnerships with leading technology providers like Oracle, SAP and Amazon Web Services. 

Company Overview of KPIT Technologies Ltd

KPIT Technologies Limited is an Indian company specializing in embedded software for the automotive and mobility sectors. The company offers a range of solutions, such as autonomous driving, advanced driver assistance systems (ADAS), electric and traditional powertrains, connected vehicles, integrated diagnostics, aftersales transformation (iDART), AUTOSAR, vehicle engineering and design and digital connected solutions. 

In the autonomous driving and ADAS space, the company provides services like cybersecurity, architecture development, requirement authoring, artificial intelligence, machine learning, computer vision and model-based development for control functions.  

The Stock Performance of Hexaware Technologies

The table below displays the month-by-month stock performance of Hexaware Technologies Ltd for the past year.

The Stock Performance of KPIT Technologies Ltd

The table below displays the month-by-month stock performance of KPIT Technologies Ltd for the past year.

Fundamental Analysis of Hexaware Technologies Limited

Hexaware Technologies Ltd is a prominent global IT services and consulting firm that specializes in providing technology solutions to businesses across various industries.  Hexaware focuses on delivering innovative solutions in areas such as digital transformation, cloud computing and automation, helping organizations enhance their efficiency and drive growth.   

The stock is priced at ₹634.30, with a market cap of ₹38,546.07 crore and a dividend yield of 1.38%. It has a 1-year return of -16.82%, a 6-month return of -16.82% and is 33.53% away from its 52-week high. The 5-year average net profit margin stands at 9.80%. 

• Close Price ( ₹ ): 634.30
• Market Cap ( Cr ): 38546.07
• Dividend Yield %: 1.38
• 1Y Return %: -16.82
• 6M Return %: -16.82
• 1M Return %: -18.94 
• % Away From 52W High: 33.53
• 5Y Avg Net Profit Margin %: 9.80 

Fundamental Analysis of KPIT Technologies Limited

KPIT Technologies is a global technology company that specializes in IT services and consulting, focusing on the automotive and manufacturing sectors. Founded in 1990, the company has established a strong presence in markets across North America, Europe and Asia. KPIT leverages cutting-edge technologies and innovative solutions to help organizations accelerate their digital transformation and streamline their operations.   

The stock is priced at ₹1078.35, with a market cap of ₹29,288.41 crore and a dividend yield of 0.62%. It has a 1-year return of -27.64%, a 6-month return of -37.73% and is 78.86% away from its 52-week high. The 5-year CAGR stands at 90.66%, with an average net profit margin of 9.63%. 

• Close Price ( ₹ ): 1078.35
• Market Cap ( Cr ): 29288.41
• Dividend Yield %: 0.62
• 1Y Return %: -27.64
• 6M Return %: -37.73
• 1M Return %: -17.91
• 5Y CAGR %: 90.66
• % Away From 52W High: 78.86
• 5Y Avg Net Profit Margin %: 9.63 

Financial Comparison of Hexaware Technologies and KPIT Technologies Ltd

The table below shows a financial comparison of Hexaware Technologies Ltd and KPIT Technologies Ltd.

Points to be noted:

• (TTM) Trailing 12 Months – Trailing 12 months (TTM) is used to describe the past 12 consecutive months of a company’s performance data when reporting financial figures.
• EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization): Measures a company’s profitability before accounting for financial and non-cash expenses.
• PBIT (Profit Before Interest and Tax): Reflects operating profit by excluding interest and taxes from total revenue.
• PBT (Profit Before Tax): Indicates profit after deducting operating costs and interest but before taxes.
• Net Income: Represents the company’s total profit after all expenses, including taxes and interest, are deducted.
• EPS (Earnings Per Share): Shows the portion of a company’s profit allocated to each outstanding share of stock.
• DPS (Dividend Per Share): Reflects the total dividend paid out per share over a specific period.
• Payout Ratio: Measures the proportion of earnings distributed as dividends to shareholders.

Dividend of Hexaware Technologies and KPIT Technologies Ltd

KPIT Technologies Ltd has announced interim dividends of ₹2.5 and ₹4.6 in 2025 and 2024, respectively, showing strong dividend payouts. Hexaware Technologies declared an interim dividend of ₹5.75 in April 2025. Both companies are consistent with dividend payments. Check the table for complete details.  

Advantages and Disadvantages of Investing in Hexaware Technologies

Hexaware Technologies Ltd

The primary advantage of Hexaware Technologies Ltd. is its strong focus on digital transformation services, offering expertise in cloud, artificial intelligence, automation and digital IT operations.  

1. Comprehensive Service Portfolio: Hexaware provides a wide range of services, including business process outsourcing, consulting and digital IT solutions. This diversified offering helps the company cater to various industries such as healthcare, banking and manufacturing, ensuring long-term sustainability.
   
2. Global Presence: With offices in North America, Europe and Asia-Pacific, Hexaware has established a strong global presence. This international footprint enables the company to serve clients across diverse markets, positioning it well for continued global expansion and growth.
   
3. Partnerships with Major Tech Providers: Hexaware partners with global technology leaders like Amazon Web Services, Oracle and SAP. These partnerships strengthen the company’s technology offerings, allowing it to provide cutting-edge solutions and stay competitive in the rapidly evolving IT services industry.
   
4. Focus on Automation and AI: Hexaware is heavily invested in automation and artificial intelligence, helping clients streamline processes and enhance operational efficiency. This focus on emerging technologies gives Hexaware a competitive edge, enabling clients to stay ahead in digital transformation efforts.
   
5. Financial Stability and Growth: Hexaware has shown consistent revenue growth, with annual revenues reaching $1.3 billion. This financial stability, coupled with a steady growth trajectory, makes the company an attractive investment for those looking to capitalize on the digital services boom. 

The main disadvantage of Hexaware Technologies Ltd. is its reliance on the global IT services market, making it vulnerable to economic slowdowns and changing client demands.  

1. Economic Sensitivity: Hexaware’s growth is closely tied to global economic conditions. Economic downturns, especially in major markets like North America and Europe, could lead to reduced IT spending by clients, affecting Hexaware’s revenue streams and growth potential.
   
2. Intense Market Competition: The IT services industry is highly competitive, with major players like Infosys, TCS and Wipro dominating the market. Hexaware must continuously innovate and differentiate itself to maintain market share and meet client demands effectively.
   
3. Dependence on Key Clients: Hexaware has significant business dealings with a few large clients, which exposes it to risks if any of these clients reduce their contracts or shift to competitors. This dependency can lead to revenue volatility.
   
4. Currency Fluctuations: As Hexaware operates globally, it is exposed to currency risks. Fluctuations in exchange rates between the Indian Rupee and foreign currencies can impact profitability, particularly when revenue is generated from international markets like North America.
   
5. Technology Adoption Risks: Hexaware’s growth is heavily reliant on its ability to stay ahead of technological trends like AI and automation. Any failure to keep up with emerging technologies or adapt to market changes could limit its competitive edge in the rapidly evolving IT industry. 

Advantages and Disadvantages of Investing in KPIT Technologies Ltd

KPIT Technologies Ltd

​The primary advantage of KPIT Technologies Ltd. lies in its exclusive focus on the automotive and mobility sectors, providing specialized embedded software, artificial intelligence and digital solutions. 

1. Specialized Expertise in Automotive Software: KPIT Technologies offers deep expertise in automotive software solutions, including autonomous driving and advanced driver-assistance systems (ADAS). This specialization enables the company to deliver tailored solutions that meet the unique needs of the automotive industry, enhancing vehicle safety and performance. ​
   
2. Global Presence with Strategic Engineering Centers: With engineering centers in Europe, the USA, Japan, China, Thailand and India, KPIT maintains a strong global presence.
   
3. Comprehensive Service Portfolio Covering Key Mobility Domains: KPIT’s service offerings span critical mobility domains such as body electronics, chassis, cockpit, propulsion and vehicle engineering and design. 
   
4. Commitment to Sustainability and Innovation: KPIT is dedicated to advancing green transportation technologies, focusing on areas like green hydrogen generation and efficient powertrains. This commitment not only supports environmental sustainability but also drives innovation in the mobility sector, aligning with global trends toward cleaner transportation solutions.
   
5. Strategic Partnerships Enhancing Technological Capabilities: The company has established strategic partnerships with major automotive players, including BMW and ZF Friedrichshafen. These collaborations enhance KPIT’s technological capabilities, enabling it to deliver cutting-edge solutions that meet the evolving demands of the automotive industry.   

The main disadvantage of KPIT Technologies Ltd. lies in its niche focus on the automotive sector, making it highly dependent on the industry’s performance.  

1. Dependence on the Automotive Industry: KPIT’s core focus on the automotive sector makes it vulnerable to any slowdown or disruption in this market. A downturn in global vehicle sales or a shift to alternative transportation models could impact revenue growth and profitability.
   
2. Technological Risks and Innovation Pressure: KPIT is heavily invested in autonomous driving, electrification and AI technologies. The rapid pace of technological change requires continuous innovation. Failure to stay ahead of the curve could diminish KPIT’s competitive edge in the evolving automotive sector.
   
3. Competition in the Automotive Software Market: KPIT faces intense competition from global players like Tata Elxsi and Luxoft that offer similar automotive software solutions. The competitive pressure may affect KPIT’s ability to maintain or grow its market share, leading to pricing and margin challenges.
   
4. Economic and Regulatory Risks: As KPIT operates in several international markets, it is subject to changing economic conditions and regulatory frameworks. Any adverse economic environment or regulatory shifts in key regions, like Europe and North America, could impact the company’s profitability. 

How to Invest in KPIT Technologies and Hexaware Technologies Stocks?

If you’re interested in investing in KPIT Technologies and Hexaware Technologies Stocks, you can do so effortlessly through Alice Blue, which offers zero brokerage on equity delivery trades, allowing you to purchase stocks without any additional charges.

Step 1: Open a Demat & Trading Account

• Visit the Alice Blue website.
• Click on “Open Demat Account” and complete the registration process.
• Upload your PAN, Aadhaar and bank details for verification.

Step 2: Fund Your Trading Account

• Log in to Alice Blue and navigate to the Funds section.
• Deposit money using UPI, Net Banking, or NEFT/RTGS for seamless transactions.

Step 3: Search & Analyze KPIT Technologies and Hexaware Technologies Stocks

• Use the search bar to find KPIT Technologies and Hexaware Technologies Stocks.
• Review the stock’s market price, charts and company insights before making a decision.

Step 4: Place Your Buy Order

• Click “Buy” and select either a Market Order (instant purchase) or a Limit Order (buy at a specified price).
• Enter the quantity and confirm your order to complete the purchase. 

Hexaware Technologies vs. KPIT Technologies – Conclusion

Hexaware Technologies is a leading player in the IT services sector with a focus on digital transformation, offering strong growth potential. With consistent dividend payouts and global client reach, it provides stable returns and long-term value for investors.

KPIT Technologies excels in the automotive and mobility sector, offering specialized software solutions. The company’s focus on digital transformation and autonomous driving positions it for future growth. Its consistent dividend performance further enhances its attractiveness to long-term investors.

Hexaware Technologies vs. KPIT Technologies – FAQ

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.