Hinduja Global Solutions Limited (HGS.NS) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+512.1%

₹2,081.13

vs ₹340.00 price

Levered DCF

₹521.32

After debt service

Piotroski score

2 / 9

Weak

Altman Z-score

1.25

Distress zone

Rating

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	53.13×	18.11×	28.14×	16.29×	0.89×	10.73×	5.21×	7.76×
P/B	0.21×	0.29×	0.51×	0.63×	0.67×	1.73×	0.61×	0.84×
P/S	0.4×	0.5×	0.82×	1.21×	1.27×	1.39×	0.21×	0.31×
EV / EBITDA	4.71×	4.18×	6.32×	6.81×	11.88×	107.53×	2.68×	3.65×
Gross margin	22.0%	98.6%	41.0%	99.0%	21.0%	9.0%	18.9%	20.3%
Operating margin	-9.2%	-6.0%	-3.7%	-3.8%	-0.7%	-1.0%	7.6%	5.4%
Net margin	0.7%	2.8%	2.9%	7.4%	142.5%	12.9%	4.0%	4.0%
Current ratio	3.34×	3.21×	2.33×	2.66×	2.26×	2.13×	1.88×	1.99×
Debt / equity	0.24×	0.25×	0.28×	0.12×	0.17×	0.57×	0.84×	0.37×
Interest coverage	-1.93×	-1.16×	-1.04×	-1.24×	-0.19×	-0.77×	4.27×	6.04×
Dividend yield	0.1%	1.3%	0.3%	2.0%	8.3%	1.0%	5.4%	1.8%
Payout ratio	3.1%	23.4%	8.3%	32.8%	7.4%	11.2%	28.0%	14.2%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	0.4%	1.6%	1.8%	3.9%	74.9%	16.1%	11.7%	10.8%
Return on invested capital	-3.8%	5.2%	-1.7%	-1.7%	-0.1%	-0.4%	6.4%	7.2%
Return on assets	0.3%	1.1%	1.2%	2.9%	52.0%	7.7%	5.0%	6.0%
Free cash flow yield	16.4%	9.7%	0.2%	-3.4%	0.6%	14.8%	72.8%	-1.7%
Earnings yield	1.9%	5.5%	3.5%	6.1%	112.6%	9.3%	19.2%	12.9%
Enterprise value	₹29.9B	₹33.9B	₹52.4B	₹52.9B	₹47B	₹42.5B	₹19.7B	₹16.6B
Net debt / EBITDA	2.01×	1.47×	1.73×	-0.15×	-1.69×	16.41×	1.25×	0.63×
Cash conversion cycle (days)	198	-2,679	210	-2,855	134	191	80	72