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FCS Software Solutions Limited

FCSSOFTIT - Services

Fundamental Score

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FCS Software Solutions Limited Share Price & Market Analysis

Current Market Price (CMP)
2.36
No change data available
Market Cap
401.76 (Cr)
Industry
IT - Services

Profitability Metrics

Poor

Return on Equity

0.86%
Poor

Return on Capital Employed

2.33%
Excellent

Operating Profit Margin (5Y)

16.64%
Poor

Dividend Yield

0.00%

Valuation Metrics

Poor

Price to Earnings

143.48x

Market Capitalization

401.76 (Cr)

Industry P/E

34.90x

Growth Metrics

Poor

YoY Quarterly Profit Growth

-68.38%
Poor

YoY Quarterly Sales Growth

-9.48%
Poor

Sales Growth (5Y)

-0.43%
Excellent

EPS Growth (5Y)

16.86%
Excellent

Profit Growth (5Y)

16.86%

Financial Health

Excellent

Debt to Equity

0.00x
Poor

Interest Coverage

1.78x
Good

Free Cash Flow (5Y)

29.59 (Cr)

Ownership Structure

Poor

Promoter Holding

19.65%
Poor

FII Holding

0.02%
Poor

DII Holding

0.00%
Excellent

Pledged Percentage

0.00%
Market-cap Classification
Small-cap
Higher growth potential with higher volatility.
19.65%
Promoter Holding
401.76 (Cr)
Market Cap

Labels (e.g., "Excellent", "Good") are peer-based vs industry/sector averages — data-only, not advice

Market Data Analysis & Educational Insights

Educational evaluation of FCSSOFT across key market metrics for learning purposes.

Positive Indicators

6 factors identified

Strong Operating Margins (16.64%)

Observation: Healthy 5-year operating margins indicate pricing power and cost control.

Analysis: OPM >15% suggests operational efficiency and competitive advantages. This indicates sustainable profitability potential.

Excellent EPS Growth (16.86% CAGR)

Observation: Outstanding 5-year earnings per share compound growth.

Analysis: EPS CAGR >15% indicates strong wealth creation potential and effective capital allocation over extended periods.

Strong Profit Growth Track Record (16.86% CAGR)

Observation: Consistent 5-year profit compound annual growth rate.

Analysis: Profit CAGR >15% demonstrates scalable business model and effective operational leverage over time.

Debt-Free Balance Sheet (D/E: 0.00)

Observation: Low leverage provides financial flexibility and reduced risk.

Analysis: Conservative debt structure offers resilience during economic downturns and flexibility for growth investments.

Strong Cash Generation (₹29.59 Cr over 5Y)

Observation: Healthy free cash flow generation supports growth and returns.

Analysis: Strong FCF provides flexibility for dividends, debt reduction, and growth investments.

Zero Share Pledging Risk

Observation: No promoter shares pledged as collateral, reducing forced-selling risk.

Analysis: Absence of share pledging eliminates potential forced-selling pressure during market stress.

Risk Factors

14 factors identified

Below-Average Return on Equity (0.86%)

Observation: Returns on equity are below industry benchmarks.

Analysis: ROE <10% may indicate inefficient capital utilization. Consider monitoring for operational improvements and management effectiveness.

Suboptimal ROCE (2.33%)

Observation: Returns on capital employed are below expectations.

Analysis: ROCE <10% suggests potential inefficiencies in capital allocation. Review business model and competitive positioning.

Premium Valuation Risk (P/E: 143.48x)

Observation: High valuation multiples may limit upside potential.

Analysis: Elevated P/E ratios require strong growth execution to justify current valuations. Consider entry timing carefully.

Profit Decline Concern (-68.38%)

Observation: Significant year-over-year profit contraction observed.

Analysis: Declining profitability requires investigation into underlying causes. Monitor for recovery signs and management guidance.

Revenue Contraction (-9.48%)

Observation: Sales decline may indicate market challenges or competitive pressures.

Analysis: Negative revenue growth requires analysis of market conditions and competitive positioning. Monitor recovery strategies.

Limited Growth History (-0.43% CAGR)

Observation: Below-average 5-year sales growth trajectory.

Analysis: Low sales CAGR may indicate mature markets or limited growth opportunities. Assess future growth catalysts.

Weak Interest Coverage (1.78x)

Observation: Limited ability to service debt obligations from earnings.

Analysis: Low interest coverage raises concerns about financial stability. Monitor cash flow and debt reduction plans.

Low Promoter Commitment (19.65%)

Observation: Reduced promoter stake may indicate limited confidence.

Analysis: Low promoter holding may raise questions about management commitment and long-term vision alignment.

Limited Institutional Interest (FII+DII: 0.02%)

Observation: Low institutional participation may affect liquidity and visibility.

Analysis: Limited institutional interest may indicate size constraints or visibility issues in the investment community.

No Dividend Distribution

Observation: Company does not currently pay dividends to shareholders.

Analysis: Zero dividend yield may indicate growth reinvestment focus or cash flow constraints. Assess capital allocation strategy.

Very Low ROE

Observation: Poor capital utilization and shareholder returns.

Analysis: ROE below 5% suggests significant inefficiencies in capital deployment.

High P/E Ratio

Observation: Stock may be overvalued relative to earnings.

Analysis: P/E above 30 requires strong growth execution to justify current valuations.

Very High P/E Ratio

Observation: Significant overvaluation risk present.

Analysis: Extremely high P/E ratios indicate potential bubble territory and high downside risk.

Small Market Cap

Observation: Higher investment risk due to limited size.

Analysis: Small-cap stocks typically carry higher volatility and liquidity risks.

📊 Educational Market Overview

Disclaimer: The ratings and scores are generated algorithmically from publicly available market data and are provided for educational and informational purposes only. They do not constitute investment advice, recommendation, or solicitation to buy/sell any securities.

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Financial Statements

Comprehensive financial data for FCS Software Solutions Limited

About FCSSOFT

Company Details

Symbol:FCSSOFT
Industry:IT - Services
Sector:IT Enabled Services

Market Information

Market Cap:401.76 (Cr)
P/E Ratio:143.48
Beta:N/A

Performance

52W High:N/A
52W Low:N/A
Dividend Yield:0.00%

FCSSOFT Stock Details & Analysis

Key Financial Metrics

Return on Equity (ROE)0.86%
Return on Capital Employed2.33%
Operating Profit Margin (5Y)16.64%
Debt to Equity Ratio0.00
Interest Coverage Ratio1.78

Growth & Valuation

Sales Growth (5Y)-0.43%
Profit Growth (5Y)16.86%
EPS Growth (5Y)16.86%
YoY Quarterly Profit Growth-68.38%
YoY Quarterly Sales Growth-9.48%

Frequently Asked Questions

What is the current price of FCSSOFT?

FCSSOFT is currently trading at ₹2.36 with a gain of 0.00% today. The current market price (CMP) represents the last traded price of FCSSOFT shares on the stock exchange. This price fluctuates throughout trading hours based on supply and demand. You can track real-time price movements, percentage changes, and trading volume in the header section.

What is the P/E ratio of FCSSOFT and what does it mean?

FCSSOFT has a P/E ratio of 143.48x compared to the industry average of 34.90x. The Price-to-Earnings (P/E) ratio is calculated by dividing the current share price by earnings per share (EPS). This means investors are paying ₹143 for every ₹1 of annual earnings. This is higher than the industry average, suggesting either growth premium or potential overvaluation.

How is FCSSOFT performing according to Bull Run's analysis?

FCSSOFT has a Bull Run fundamental score of 18.6/100, which indicates concerns that require careful analysis. This comprehensive rating is based on 15+ financial parameters including profitability (ROE: 0.86%), growth metrics, valuation ratios, and financial health indicators. The score updates quarterly with new financial data and helps you quickly assess overall investment quality.

What sector and industry does FCSSOFT belong to?

FCSSOFT operates in the IT - Services industry. This sector classification helps understand the broader economic trends, regulatory framework, and competitive landscape affecting FCS Software Solutions Limited. Companies in this industry typically face similar market dynamics, cyclical patterns, and macroeconomic factors. Understanding the industry context is crucial for peer comparison and assessing how sector-specific trends might impact the stock's performance.

What is Return on Equity (ROE) and why is it important for FCSSOFT?

FCSSOFT has an ROE of 0.86%, which suggests challenges in generating returns from shareholders' equity. Return on Equity measures how efficiently FCS Software Solutions Limited generates profits from shareholders' equity. An ROE of 1% means the company generates ₹1 profit for every ₹100 of shareholders' equity. This metric is crucial for assessing management's ability to create value for shareholders.

How is FCSSOFT's debt-to-equity ratio and what does it indicate?

FCSSOFT has a debt-to-equity ratio of 0.00, which indicates conservative financing with low financial risk. This means the company has ₹0 of debt for every ₹100 of equity. This conservative approach provides financial stability but may limit growth potential.

What is FCSSOFT's dividend yield and is it a good dividend stock?

FCSSOFT offers a dividend yield of 0.00%, which means you receive ₹0.00 annual dividend for every ₹100 invested. The focus appears to be more on growth rather than dividend income. Dividend yield is calculated as annual dividend per share ÷ current share price × 100. Evaluate dividend consistency over 5+ years and free cash flow coverage for sustainability.

How has FCSSOFT grown over the past 5 years?

FCSSOFT has achieved 5-year growth rates of: Sales Growth -0.43%, Profit Growth 16.86%, and EPS Growth 16.86%. These growth metrics show the company's ability to expand its business and improve profitability over time. Sales growth indicates market expansion, profit growth shows operational efficiency, and EPS growth directly impacts share price appreciation potential.

What is the promoter holding in FCSSOFT and why does it matter?

Promoters hold 19.65% of FCSSOFT shares, with 0.00% of promoter shares pledged. This promoter holding level suggests balanced ownership between management and public shareholders. Low pledging indicates financial stability of promoters. Recent change in promoter holding: 0.00%.

How does FCSSOFT compare with its industry peers?

FCSSOFT trades at P/E 143.48x vs industry average 34.90x, with ROE of 0.86% and ROCE of 2.33%. The stock trades at a premium to industry average, which may be justified by superior fundamentals. Peer comparison helps identify whether FCSSOFT is outperforming its competitive set in profitability, growth, and valuation metrics.

What is FCSSOFT's market capitalization and what category does it fall into?

FCSSOFT has a market capitalization of ₹402 crores, making it a Large-cap stock. Large-cap stocks offer stability and liquidity but typically slower growth. Market cap is calculated as current share price × total outstanding shares, representing the company's total market value.

What are the key financial ratios to consider for FCSSOFT?

Key ratios for FCSSOFT: ROE 0.86% (Needs improvement), ROCE 2.33%, P/E 143.48x, Debt-to-Equity 0.00, Interest Coverage 1.78x. These ratios help assess profitability (ROE, ROCE), valuation (P/E), financial health (D/E, Interest Coverage), and overall investment quality. Compare these with industry medians and historical trends for meaningful analysis.

How volatile is FCSSOFT stock and what is its beta?

FCSSOFT has a beta of N/A, which means it is less volatile than the market and offers defensive characteristics. Beta measures price volatility relative to the Nifty 50. Lower beta stocks provide stability during uncertain market conditions. Consider beta alongside your risk tolerance and portfolio diversification strategy.

What is the 52-week high and low for FCSSOFT?

FCSSOFT has a 52-week high of ₹N/A and low of ₹N/A. Currently trading at ₹2.36, the stock is within its annual trading range. Trading near highs indicates strong momentum but limited upside potential.

What are the key risks associated with investing in FCSSOFT?

Key risks for FCSSOFT include: Market volatility (Beta: N/A), financial leverage (Debt-to-Equity: 0.00), and operational challenges. The stock has a Fundamental Score of 18.6/100, indicating higher risk requiring thorough due diligence. Sector-specific risks in IT - Services include regulatory changes, economic cycles, and competitive pressures. Consider your risk tolerance, investment horizon, and portfolio diversification before investing. Past performance doesn't guarantee future results.

What is FCSSOFT's operating profit margin and how has it trended?

FCSSOFT has a 5-year average Operating Profit Margin (OPM) of 16.64%, which is good and shows decent operational efficiency. Operating Profit Margin shows operational efficiency by measuring operating profit as a percentage of revenue. This strong margin indicates competitive advantages and operational leverage. Compare with industry peers to understand relative performance.

How is FCSSOFT's quarterly performance in terms of sales and profit growth?

FCSSOFT's recent quarterly performance shows YoY Sales Growth of -9.48% and YoY Profit Growth of -68.38%. Growth rates indicate the current business trajectory and market demand. Sales growth shows market demand while profit growth reveals operational efficiency and margin management.

What is the FII and DII holding pattern in FCSSOFT?

FCSSOFT has FII holding of 0.02% and DII holding of 0.00%, totaling 0.02% institutional ownership. This institutional participation level shows the confidence of professional money managers. Monitor quarterly changes in institutional holdings for investment flow trends and sentiment.