SEBI Reg. Investment Advisor

Download App
Help Center Pricing
Money Works 4 Me Logo MoneyWorks4Me
Login Get Free Account
Sign Up

MoneyWorks4Me

Log In Sign Up Schedule Free 15‑min Call
Login Get Free Account
Sign Up

INVESTMENT INSIGHTS

Check Before You Invest : Allied Digital Services Ltd

BSE: 532875 NSE: ADSL ISIN: INE102I01027
  |   Sector:  IT & ITES   |   Industry:  IT - Software

Snapshot

Q.1 Which industry/sub-sector does Allied Digital Services Ltd belong to?
Allied Digital Services Ltd belongs to the IT & ITES sector, operating specifically within the IT - Software segment.
Q.2 Is Allied Digital Services Ltd a good quality company?
Allied Digital Services Ltd is a quality company, based on a 10 year financial track record.
Q.3 Is Allied Digital Services Ltd undervalued or overvalued?
Allied Digital Services Ltd appears Somewhat Undervalued, as its key valuation ratios are below with their past averages.
Q.4 Is Allied Digital Services Ltd a good buy now?
Allied Digital Services Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Allied Digital Services Ltd?
Allied Digital Services Ltd revenue growth is 27.7% for FY-2025 , which is below its 5 year CAGR of 31.3% , indicating slower growth.
Q.2 Gross Profit margin of Allied Digital Services Ltd?
Allied Digital Services Ltd Gross profit margin which is the profit after deduction of direct costs, is 13% for FY-2025 , which is below its 5 year median of 13.7% , indicating decreasing margins.
Q.3 Operating Profit Margin of Allied Digital Services Ltd?
Allied Digital Services Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 6.49% for FY-2025 , which is below its 5 year median of 14.99% indicating decreasing margins.
Q.4 Net Profit Margin of Allied Digital Services Ltd?
Allied Digital Services Ltd Net Profit Margin is 2.93% for FY-2025 , is below with its 5 year median of 4.64%, indicating decreasing margins.
Current Level Historic Median
Gross Profit Margin 13 13.7
Operating Profit Margin 6.49 14.99
Net Profit Margin 2.93 4.64
Q.5 Return on Asset of Allied Digital Services Ltd?
Allied Digital Services Ltd Return on Asset is 1.63(x), which is in line with its 5 year historical median of 1.63(x), indicating stable asset utilization efficiency.
Q.6 Return on Equity (ROE) of Allied Digital Services Ltd?
Allied Digital Services Ltd Return on equity is 2.3% for FY-2025 , which is above its historical median of 2.01%, indicating the business is making better use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of Allied Digital Services Ltd?
Allied Digital Services Ltd Return on capital employed is 6.83% for FY-2025 , which is below its estimated weighted average cost of capital(WACC) 14%, indicating value preservation.
Q.8 Cash conversion cycle of Allied Digital Services Ltd?
Allied Digital Services Ltd Cash conversion cycle is 60 , below its historical median of 215 , indicating improved working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 0.55 0.37
ROE 2.3 2.01
ROCE 6.83 3.16
Cash Conversion Cycle 60 215
Q.9 Debt to Equity ratio of Allied Digital Services Ltd?
Allied Digital Services Ltd Debt-to-Equity ratio is 0.12 , which is above with the industry average of 0.01 , indicating higher debt levels in the industry.
Q.10 Debt to cash flow from operations of Allied Digital Services Ltd?
Allied Digital Services Ltd Debt to cash flow from operations is 6.05 , which is at a unhealthy level, indicating the business is not able to service its debt comfortably.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Allied Digital Services Ltd?
Promoters hold 51.07% of the Allied Digital Services Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Allied Digital Services Ltd vs industry peers?
Allied Digital Services Ltd revenue CAGR is 31.31% , compared to the industry median CAGR of 2.48% , indicating faster growth and gaining its market share.
Profit Metrics
Current Level Industry Median
Revenue 366.2 23.6
Gross Profit 47.6 1.9
Operating Profit 16 1.2
Net Profit 11 0.8
Operating Efficiency
Current Level Industry Median
Asset Turnover 0.55 0.45
ROE 2.3 4.09
ROCE 6.83 6.4
Cash Conversion Cycle 59.96 36

Valuation & price assessment

Q.1 Stock return of Allied Digital Services Ltd over the last decade?
Over the last 9 years, the stock has delivered a CAGR of 9.8% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price 9.8% 18.4% 10.3% -39.2%
Q.3 Valuation ratios of Allied Digital Services Ltd vs historical?
The current P/E is lower that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 13.01 16.57 22.96
Price to Book 1.32 0.24 2.61
Price to Sales 1.66 1.19 4.40
EV to EBITDA 11.49 6.09 17.20

Check more companies

1. Tata Elxsi
2. Tata Technologies
3. KPIT Technologies
4. Fractal Analytics
5. Zensar Technologies
6. Birlasoft
7. Cyient
8. Intellect Design
9. Nazara Technologies
10. Amagi Media Labs
2026 ©The Alchemists Ark Pvt. Ltd. All rights reserved. MoneyWorks4Me® is a registered trademark of The Alchemists Ark Pvt. Ltd.

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×