Persistent Systems Limited (PERSISTENT.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

+67.2%

₹10,192.51

vs ₹6,094.50 price

Levered DCF

₹7,867.26

After debt service

Piotroski score

4 / 9

Average

Altman Z-score

16.27

Safe zone

Rating

A-

Overall 4 / 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	42.35×	57.13×	55.17×	37.25×	52.75×	32.59×	12.41×	14.29×
P/B	10.08×	12.8×	12.26×	8.65×	10.81×	5.25×	1.77×	2.14×
P/S	5.36×	6.77×	6.19×	4.11×	6.38×	3.51×	1.18×	1.49×
EV / EBITDA	27.16×	36.65×	33.59×	22.12×	33.3×	18.41×	6.57×	7.54×
Gross margin	31.2%	27.5%	26.5%	28.6%	27.0%	39.3%	39.6%	43.3%
Operating margin	16.2%	13.5%	13.3%	15.1%	14.4%	12.5%	9.2%	12.9%
Net margin	12.6%	11.7%	11.1%	11.0%	12.1%	10.8%	9.5%	10.4%
Current ratio	2.43×	2.36×	1.86×	1.71×	1.99×	3.47×	3.06×	3.84×
Debt / equity	0.06×	0.05×	0.09×	0.17×	0.17×	0.04×	0.03×	0×
Interest coverage	32.92×	23.95×	27.89×	26.59×	69.3×	90.6×	51.77×	1,426.9×
Dividend yield	0.7%	0.6%	0.7%	0.9%	0.5%	0.7%	3.1%	1.8%
Payout ratio	31.0%	32.9%	37.3%	32.4%	28.8%	23.7%	38.2%	25.1%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	23.8%	22.2%	22.1%	23.2%	20.5%	16.1%	14.3%	15.0%
Return on invested capital	21.4%	18.4%	18.1%	18.9%	14.7%	13.3%	10.0%	13.3%
Return on assets	16.4%	16.0%	14.8%	13.8%	12.7%	12.3%	11.0%	12.3%
Free cash flow yield	2.0%	1.1%	1.5%	1.5%	1.3%	4.1%	6.5%	7.8%
Earnings yield	2.4%	1.7%	1.8%	2.7%	1.9%	3.1%	8.1%	7.0%
Enterprise value	₹783.9B	₹805B	₹605.9B	₹345.1B	₹367B	₹145.6B	₹41.1B	₹48.5B
Net debt / EBITDA	-0.21×	-0.17×	-0.12×	0.12×	0.25×	-0.16×	-0.19×	-0.27×
Cash conversion cycle (days)	42	51	52	58	50	55	47	-91