Mphasis Ltd fundamental analysis highlights key financial metrics: Market Cap of ₹56,305.32 crore, PE Ratio of 36.21, Debt to Equity of 17.55, and Return on Equity of 18.59%. These indicators reflect the company’s financial health and market valuation.
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Mphasis Ltd Overview
Mphasis Ltd is an Indian information technology solutions provider specializing in cloud and cognitive services. It operates in the IT sector, offering digital transformation services to enterprises across various industries globally.
The company is listed on both the NSE and BSE. With a market capitalization of ₹56,305.32 crore, it’s currently 3.47% away from its 52-week high and 43.91% away from its 52-week low.
Mphasis Ltd Financial Results
Mphasis Ltd reported strong financial performance in FY24, with consistent growth across key metrics. Revenue totaled ₹13,279 crores, a slight decrease from ₹13,798 crores in FY23. The company’s profitability remained steady with a net profit of ₹1,555 crores compared to ₹1,638 crores in FY23.
1. Revenue Trend: Sales reached ₹13,279 crores in FY24, down from ₹13,798 crores in FY23, reflecting a marginal dip in revenue.
2. Equity and Liabilities: Equity capital stood at ₹189 crores, with total liabilities rising to ₹14,130 crores in FY24 from ₹11,609 crores in FY23.
3. Profitability: Net profit decreased to ₹1,555 crores in FY24 compared to ₹1,638 crores in FY23, maintaining profitability.
4. Earnings per Share (EPS): EPS dropped to ₹82 in FY24 from ₹87 in FY23, reflecting lower earnings per share.
5. Return on Net Worth (RoNW): RoNW was influenced by the change in reserves and net profit, with reserves growing to ₹8,606 crores from ₹7,746 crores in FY23.
6. Financial Position: Non-current assets increased to ₹7,498 crores in FY24, while current assets rose to ₹6,632 crores, indicating a stronger financial position compared to FY23.
Mphasis Ltd Financial Analysis
| FY 24 | FY 23 | FY 22 | |
| Sales | 13,279 | 13,798 | 11,961 |
| Expenses | 10,857 | 11,365 | 9,844 |
| Operating Profit | 2,422 | 2,434 | 2,118 |
| OPM % | 17.94 | 17.44 | 17.47 |
| Other Income | 218 | 162 | 160.45 |
| EBITDA | 2,640 | 2,596 | 2,278 |
| Interest | 161 | 97 | 74 |
| Depreciation | 411 | 325 | 291 |
| Profit Before Tax | 2,068 | 2,173 | 1,913 |
| Tax % | 24.83 | 24.63 | 25.2 |
| Net Profit | 1,555 | 1,638 | 1,431 |
| EPS | 82 | 87 | 76 |
| Dividend Payout % | 66.85 | 57.51 | 60.38 |
* Consolidated Figures in Rs. Crores
Mphasis Limited Company Metrics
Mphasis Ltd company metrics include a market capitalization of ₹56,305.32 crore, a book value per share of ₹465, and a face value of ₹10. With a debt-to-equity ratio of 17.55, return on equity of 18.59%, and no dividend yield, these figures underscore the company’s financial position and investment profile.
Market Capitalization:
Market Capitalization represents the total market value of Mphasis’ outstanding shares, amounting to ₹56,305.32 crore.
Book Value:
The book value per share of Mphasis is ₹465, indicating the value of the company’s net assets divided by its outstanding shares.
Face Value:
The face value of Mphasis’ shares is ₹10, which is the original cost of the shares as stated on the certificate.
Asset Turnover Ratio:
The asset turnover ratio of 1.06 measures how efficiently Mphasis uses its assets to generate revenue.
Total Debt:
The total debt of ₹1,543.57 crore represents the sum of all short-term and long-term debt obligations of Mphasis.
Return on Equity (ROE):
The ROE of 18.59% measures Mphasis’ profitability in generating income from its equity investments.
EBITDA (Q):
The quarterly EBITDA of ₹692.1 crore represents Mphasis’ earnings before interest, taxes, depreciation, and amortization.
Mphasis Ltd Stock Performance
Mphasis Ltd has delivered varied returns over different periods, with a 1-year return of 21.0%, a 3-year return of -2.02%, and a 5-year return of 25.3%. This showcases a strong long-term performance despite some fluctuations in the medium term.
| Period | Return on Investment (%) |
| 1 Year | 21.0 |
| 3 Years | -2.02 |
| 5 Years | 25.3 |
If you had invested ₹1,000 in Mphasis Ltd:
1 year ago, your investment would be worth ₹1,210.
3 years ago, your investment would have decreased to ₹979.80.
5 years ago, your investment would have grown to ₹1,253.
Mphasis Peer Comparison
Mphasis Ltd, with a current market price of ₹3,028.35 and a market cap of ₹57,303.7 crores, trades at a P/E of 36.66, and an ROE of 18.44%. In comparison, Persistent Systems has a higher P/E of 70.71 and ROE of 23.99%, while TCS leads with a ROE of 51.51%.
| Name | CMP Rs. | Mar Cap Rs.Cr. | P/E | ROE % | EPS 12M Rs. | 1Yr return % | ROCE % | Div Yld % |
| TCS | 4284.9 | 1550314.32 | 32.58 | 51.51 | 129.2 | 18.9 | 64.28 | 1.28 |
| Infosys | 1905.75 | 791295.38 | 29.69 | 31.83 | 64.21 | 27.38 | 39.99 | 1.99 |
| HCL Technologies | 1760.05 | 477618.63 | 29.08 | 23.3 | 60.53 | 38.18 | 29.6 | 2.95 |
| Wipro | 539.1 | 282015.82 | 25.23 | 14.31 | 21.39 | 28.82 | 16.93 | 0.19 |
| LTIMindtree | 6373.1 | 188754.08 | 41.35 | 25.03 | 154.18 | 17.42 | 31.17 | 1.02 |
| Tech Mahindra | 1622.05 | 158693.19 | 63.05 | 8.63 | 25.77 | 24.26 | 11.88 | 2.47 |
| Persistent Sys | 5355.05 | 82815.85 | 70.71 | 23.99 | 76.06 | 83.1 | 29.17 | 0.49 |
| Mphasis | 3028.35 | 57303.7 | 36.66 | 18.44 | 82.77 | 21.82 | 23.95 | 1.82 |
Mphasis Shareholding Pattern
Mphasis Ltd shareholding pattern for June 2024 shows Promoters holding 40.35%, a significant decrease from 55.45% in March 2024. FII holdings rose to 18.32%, up from 14.84%. DII holdings increased to 35.95%, while Retail & others saw a slight increase to 5.38%.
| All values in % | Jun-24 | Mar-24 | Dec-23 |
| Promoters | 40.35 | 55.45 | 55.52 |
| FII | 18.32 | 14.84 | 15.72 |
| DII | 35.95 | 24.74 | 23.82 |
| Retail & others | 5.38 | 4.98 | 4.95 |
Mphasis Ltd History
Mphasis Limited is a leading Indian IT solutions provider, specializing in cloud and cognitive services. The company focuses on applying technology to help enterprises transform their businesses globally, using its Front2Back transformation approach to deliver personalized digital experiences to clients and their end customers.
Mphasis operates across various segments, including Banking and Financial Services, Logistics and Transportation, Technology Media and Telecom, and Insurance. Its service portfolio is extensive, encompassing application services, blockchain platforms, business process services, cloud solutions, cognitive services, cybersecurity, and digital transformation.
The company serves a diverse range of industries, including banking and capital markets, insurance, healthcare and life sciences, payments, hospitality, travel and transportation, energy and utilities, and oil and gas. This broad industry coverage allows Mphasis to leverage its expertise across multiple sectors and drive innovation in IT solutions.
How To Invest In Mphasis Shares?
To invest in Mphasis shares, open a demat account with Alice Blue. Research the company’s fundamentals, financial performance, and position in the IT services sector. Analyze historical stock data and compare it with industry peers.
Determine your investment strategy based on your financial goals and risk tolerance. Consider factors such as the company’s client base, technological capabilities, and growth in digital services. Decide on the investment amount and timing.
Place your order through the broker’s platform. Regularly monitor your investment, staying updated on company news, quarterly results, and IT industry trends. Consider seeking advice from a financial advisor for personalized guidance and to ensure your investment aligns with your overall portfolio strategy.
Mphasis Fundamental Analysis – FAQs
Mphasis Ltd fundamental analysis reveals a Market Cap of ₹56,305.32 crore, PE Ratio of 36.21, Debt to Equity of 17.55, and Return on Equity of 18.59%. These metrics provide insights into the company’s financial health, profitability, and market valuation.
Mphasis’ market capitalization is ₹56,305.32 crore. This figure represents the total value of the company’s outstanding shares in the stock market, calculated by multiplying the current stock price by the number of outstanding shares.
Mphasis Limited is an Indian IT solutions provider specializing in cloud and cognitive services. It offers digital transformation solutions to enterprises globally, focusing on areas such as application services, blockchain, cybersecurity, and business process services across various industries.
Mphasis is a public limited company with diverse ownership. The Blackstone Group holds a significant stake as a promoter. As a listed entity, ownership is distributed among various institutional and individual shareholders through stock market participation.
The main shareholders of Mphasis Ltd include the Blackstone Group as a promoter, along with institutional investors and public shareholders. For the most current and accurate information on major shareholders, refer to the company’s latest shareholding pattern disclosure.
Mphasis operates in the Information Technology (IT) services industry. The company specializes in providing digital transformation solutions, including cloud services, cognitive computing, and application development, catering to various sectors such as banking, insurance, and healthcare.
To invest in Mphasis shares, open a demat account with Alice Blue. Research the company’s performance and IT sector trends. Decide on your investment strategy. Place your order through the broker’s platform. Regularly monitor your investment, staying informed about market conditions. Consider seeking financial advice for personalized guidance.
Determining if Mphasis is overvalued or undervalued requires analyzing its financials, growth prospects, industry position, and peer comparison. Consider factors like PE ratio, future earnings potential, and IT services sector trends. Consult recent analyst reports for expert opinions on the company’s valuation.
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.
