Hinduja Global Solutions Ltd Stock Analysis

BSE: 532859 | NSE: HGS | BPO/ITeS | Small Cap

BSE Share Price Jul 01, 18:01
1074.95 2.65 (0.25%)

DeciZen - Make an Informed Decision on Hinduja Global Soln.

Overall Rating

1. Quality

2. Valuation

Overvalued

3. Price Trend

FAQs

1. Is Hinduja Global Solutions Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Hinduja Global Solutions Ltd is a average quality company.

2. Is Hinduja Global Solutions Ltd undervalued or overvalued?

The key valuation ratios of Hinduja Global Solutions Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Hinduja Global Solutions Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Hinduja Global Solutions Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Hinduja Global Soln.:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Hinduja Global Solutions Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good

Value Creation

Value Creation Index Colour Code Guide

Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
ROCE % 8.7%8%16.6%13.2%11.8%10.6%16.2%13.5%12.1%10.5%-
Value Creation Index -0.4-0.40.2-0.1-0.2-0.20.2-0.0-0.1-0.3-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 6317038661,0701,3761,5982,0592,1962,3812,363618
YoY Gr. Rt. %-11.4%23.2%23.6%28.5%16.1%28.9%6.7%8.4%-0.8%-
Adj EPS 13.912.631.826.827.927.650.350.95255.4-0.1
YoY Gr. Rt. %--9.4%153.1%-15.6%4%-1.1%82.7%1%2.2%6.5%-
BVPS (₹) 158.7161.4186.2196.3224.7238.3329.7377.9402.9456.1922.7
Adj Net Profit 5751.7131111116114209212217231-1
Cash Flow from Ops. 71.497.810413128.9228165288514418-
Debt/CF from Ops. 1.81.41.50.89.60.70.90.61.81.8-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 15.8%11.4%4.7%-0.8%
Adj EPS 16.6%14.7%3.2%6.5%
BVPS 12.515.211.413.2
Share Price 20% 32.5% 49.4% -15.2%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Return on Equity % 8.87.818.314.113.211.917.714.413.312.9-0
Op. Profit Mgn % 16.217.220.619.417.515.115.516.520.921.917
Net Profit Mgn % 97.415.110.48.47.210.29.79.19.8-0.1
Debt to Equity 0.20.20.20.10.30.20.10.10.50.40
Working Cap Days 1791811761771881951892462893392,059
Cash Conv. Cycle 323334273241669997971,582

Recent Performance Summary

Sales growth is good in last 4 quarters at 14.46%

Return on Equity has declined versus last 3 years average to 0.00%

Sales growth has been subdued in last 3 years 4.70%

Net Profit has been subdued in last 3 years 3.22%

Latest Financials - Hinduja Global Solutions Ltd.

Standalone Consolidated
TTM EPS (₹) -0.1 1,460.4
TTM Sales (₹ Cr.) 618 3,264
BVPS (₹.) 922.7 1,868.3
Reserves (₹ Cr.) 3,814 7,767
P/BV 1.17 0.57
PE 0.00 0.73
From the Market
52 Week Low / High (₹) 847.00 / 1974.00
All Time Low / High (₹) 46.00 / 1974.00
Market Cap (₹ Cr.) 4,493
Equity (₹ Cr.) 41.8
Face Value (₹) 10
Industry PE 8.1

Management X-Ray of Hinduja Global Soln. :

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

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News

About Hinduja Global Solutions Ltd

Hinduja Global Solutions started its operations with one client and 25 employees in the year 2000. Today, it is a leading provider of outsourcing solutions to a global clientele of Fortune 500 companies,

From its inception, Hinduja Global Solutions had set its sights high, and was focused on building client's businesses. The success graph grew rapidly.

Between 2000 and 2003, Hinduja Global Solutions acquired businesses of major international clients, some of who were among the leaders in the insurance & telecom industries, thus establishing itself as a major player to reckon with.2003 also marked the company’s entry into international markets, with the establishment of its center in Manila.

The company’s vision is to be a globally preferred business process transformation partner for its clients, creating value in their business through innovative outsourcing solutions.

The company is a part of Hinduja Group that was founded in 1914 by a young entrepreneur from Shikarpur, Parmanand Deepchand Hinduja. He spotted opportunities and seized them wherever they surfaced. He traveled to Mumbai in 1914, and quickly learnt the ropes of business. The business journey which began in Sind, entered the international arena in 1919, with an office in Iran, the first outside of India. Merchant banking and trade were the twin pillars of the business. The Group remained headquartered in Iran until 1979, when it moved to Europe.

Products  and services offered by the company are:

Consumer Electronics:

  • Parts / Accessories Sales

Health Insurance

  • Insurance Policy Sales

Banking and Financial Services

  • Credit Card Sales

Extensive and Intensive Technical Support for various consumer electronic products. including -

  • Installation
  • Configuration

Provide technical support for software applications

  • Installation
  • Configuration
  • How to use the application

Awards & Achievements:

Industry Recognition:

  • Number one of the ITES Companies in India,
  • Winner most Innovative BPO Philippines
  • Top 15 ITES BPO exporters FY07/08
  • Top 10 employer’s employee satisfaction HR practices
  • 1 of the 200 'best under a billion forbes Asia'
  • Gold Medalist Compentency Development
  • Top 2 call centre companies globally (last 3 years)
  • Gold Medalist Lean Six Sigma 

  Quality Certification:

  • ISO 9001:2000 – UKAS
  • ISO 9001:2000 – ANAB
  • ISO 27001 
  • HIPAA – Health Insurance
  • Six Sigma Process Improvement 
  • ISO 27001 – Underway
  • SAS 70   

  Milestones of the company:

2000 Launch of HTMT brand First International Customer with 23 seatsISO 9001:2000 certification

2001-2004 Acquisition of Philippines center1500 seat facility in Bangalore India Employee strength 1700

2005-2006 Acquired source oneBS 7799 certification Strategic foray into national markets 300 seat DR center in Mauritius HIPAA certification Employee strength, 7000

2007-2008 Acquired Affina Foray into more verticals Expansion into Tier 2 cities in India First Healthcare contact center in Manila ISO 27001 certification Most Innovation BPO company ICT

2009 Employee Strength 14500  Entry into the UK market Expansion into China Inorganic growth – Acquisition underway

2010-12 Acquired careline services
Expanded into Tier III centres in India- Guntur and Nagarcoil.
Operations commence at global village SEZ in Banglore.
New centres at Llolio ( Philippines) and Siliguri (India).
Acquired one line supoprt HCCA & EBOS E-SCM level-4

2014- Hinduja Global Solutions (HGS), announced the opening of a new center in Princeton, New Jersey in the US.


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