Hexaware Technologies Intrinsic Value

HEXT • Information Technology
Current Stock Price
₹425.00
Primary Intrinsic Value
₹292.32
Market Cap
₹2592 Cr
+100.0% Upside
Median Value
₹850.00
Value Range
₹156 - ₹1063
Assessment
Trading Below Calculated Value
Safety Margin
50.0%

HEXT Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹292.32 ₹233.86 - ₹350.78 -31.2% EPS: ₹24.36, Sector P/E: 12x
Book Value Method asset ₹877.87 ₹790.08 - ₹965.66 +106.6% Book Value/Share: ₹877.87, P/B: 1.0x
Revenue Multiple Method revenue ₹850.00 ₹765.00 - ₹935.00 +100.0% Revenue/Share: ₹2291.15, P/S: 0.8x
EBITDA Multiple Method earnings ₹850.00 ₹765.00 - ₹935.00 +100.0% EBITDA: ₹2448.00Cr, EV/EBITDA: 6x
Simple DCF (5Y) dcf ₹1062.50 ₹850.00 - ₹1275.00 +150.0% CF Growth: 1.9%, Discount: 15%
PEG Ratio Method growth ₹155.90 ₹140.31 - ₹171.49 -63.3% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹200.73 ₹180.66 - ₹220.80 -52.8% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹850.00 ₹765.00 - ₹935.00 +100.0% ROE: 27.6%, P/E Multiple: 16x
Graham Defensive Method conservative ₹693.66 ₹624.29 - ₹763.03 +63.2% EPS: ₹24.36, BVPS: ₹877.87
Method Types: Earnings Asset DCF Growth Dividend Conservative

Valuation Comparison Chart

HEXT Intrinsic Value Analysis

What is the intrinsic value of HEXT?

Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Hexaware Technologies (HEXT) is ₹850.00 (median value). With the current market price of ₹425.00, this represents a +100.0% variance from our estimated fair value.

The valuation range spans from ₹155.90 to ₹1062.50, indicating ₹155.90 - ₹1062.50.

Is HEXT undervalued or overvalued?

Based on our multi-method analysis, Hexaware Technologies (HEXT) appears to be trading below calculated value by approximately 100.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 5.93 Industry Standard: 2.0+ Above 2.0 Measures short-term liquidity capacity
Return on Equity 27.6% Industry Standard: 15%+ Above 15% Measures shareholder return efficiency
Operating Margin 17.0% Industry Standard: 20%+ Above 10% Indicates operational efficiency level
Asset Turnover Ratio 1.55x Industry Standard: 1.0x+ Above 1.0x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2024 ₹1,548 Cr ₹1,217 Cr Positive Free Cash Flow 8/10
March 2023 ₹1,516 Cr ₹1,374 Cr Positive Free Cash Flow 8/10
March 2022 ₹821 Cr ₹821 Cr Positive Free Cash Flow 8/10
March 2021 ₹980 Cr ₹875 Cr Positive Free Cash Flow 8/10
March 2020 ₹1,438 Cr ₹1,230 Cr Positive Free Cash Flow 8/10