Zensar Technologies Ltd logo

Zensar Technologies Ltd

ZENSARTECH NSE

Zensar Technologies is a leading digital solutions and technology services company. It is a part of the Mumbai-based RPG group and is headquartered in Pune, India. It operates in two segments: Application Management Service and Infrastructure management service. It is focused on industry verticals, such as Hitech & manufacturing, consumer services, and banking, financial services, and insurance. They have offices located in India, the USA, UK, Europe, and Africa. [1] [2]

AI Verdict: HOLD Confidence: 5%

Zensar Technologies trades at an attractive PE of 14.2x with strong profit CAGR of 36% over 3 years, but the stock has corrected 41% in the past year and revenue growth remains tepid at 8% TTM. The risk-reward is balanced given improving profitability offset by weak topline momentum and deteriorating working capital.

Key Fundamentals

MicrocapComputer Software & ConsultingInformation Technology
Market Cap
₹10,308 Cr
Volatility
Moderate
P/E Ratio
13.07
EBITDA
₹891 Cr
Return on Equity
18.67%
Debt to Equity
0.04
Book Value
₹207.41
EPS
₹29.42
52W High
₹881
52W Low
₹438.4

Technical Indicators

Key Insights

Strengths

4
  • Company has reduced debt.
  • Company is almost debt free.
  • Company has delivered good profit growth of 19.2% CAGR over last 5 years
  • Company has been maintaining a healthy dividend payout of 37.6%

Weaknesses

2
  • The company has delivered a poor sales growth of 8.51% over past five years.
  • Working capital days have increased from 61.2 days to 126 days

Growth Rate

Revenue Growth
4.53% ↗
Net Income Growth
22.78% ↗
Cash Flow Change
-12.01% ↘
ROE
-14.46% ↘
ROCE
-13.75% ↘
EBITDA Margin (Avg.)
-16.20% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 16d ago
HOLD
Risk medium

Zensar Technologies trades at an attractive PE of 14.2x with strong profit CAGR of 36% over 3 years, but the stock has corrected 41% in the past year and revenue growth remains tepid at 8% TTM. The risk-reward is balanced given improving profitability offset by weak topline momentum and deteriorating working capital.

Bull Case 8
  • Attractive valuation at PE of 14.2x, well below the IT sector median of 25-30x, offering margin of safety
  • Exceptional profit growth with 36% CAGR over 3 years and 27% TTM growth indicating margin expansion
  • Company is virtually debt-free, providing financial flexibility and resilience in a downturn
  • Consistent ROE of 18% over the last year and 3-year average of 18%, demonstrating efficient capital allocation
  • Healthy dividend payout ratio of 37.6% with 0.49% yield provides downside support
  • 63.64% of analysts (7 out of 11) have a Buy rating, reflecting institutional confidence
  • Long-term stock CAGR of 10% over 5 and 10 years shows sustained wealth creation track record
  • Price-to-book of 2.34x is reasonable for an IT services company with 18% ROE
Bear Case 8
  • Stock has declined 41% in the past 1 year, indicating severe negative momentum and possible de-rating
  • Revenue growth is anemic at just 5% CAGR over 3 years and 8% TTM, lagging IT sector peers
  • Working capital days have deteriorated sharply from 61.2 days to 126 days, signaling collection inefficiency
  • 5-year sales CAGR of only 8.51% suggests structural challenges in winning large deals
  • Market cap of Rs 10,863 crore places it in mid-cap territory with higher volatility risk
  • 9.09% of analysts (1 out of 11) have a Sell rating, and 27.27% recommend Hold, reflecting divided opinion
  • 10-year profit CAGR of only 11% versus 3-year CAGR of 36% suggests recent growth may not be sustainable
  • Dividend yield of only 0.49% offers minimal income cushion during periods of capital depreciation

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 16d ago
Positives 1
  • ₹15 dividend declared for FY26 May 26

    Zensar Technologies declared a ₹15 per share dividend for FY26, backed by 3.1% revenue growth to $643.7M and a healthy net profit margin of 13.5%.

Neutral 1
  • RPG investor conference hosted May 21

    Zensar held the RPG Annual Investor Conference 2026 on May 26, 2026, conducted in person for institutional and retail investors.

TL;DR: Zensar Technologies is delivering steady revenue growth and maintaining a strong profit margin of 13.5%, rewarding shareholders with a ₹15 dividend. No visible headwinds emerged in recent news flow. The trend appears stable with consistent capital returns, though revenue growth at 3.1% suggests a modest pace that investors will watch for acceleration in coming quarters.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Sales
1,213
1,227
1,241
1,204
1,230
1,288
1,308
1,326
1,359
1,385
1,421
1,431
1,450
Expenses
1,037
997
1,010
996
1,027
1,092
1,107
1,119
1,146
1,174
1,201
1,181
1,215
Operating Profit
176
230
231
208
203
196
201
207
212
211
220
250
236
OPM %
14%
19%
19%
17%
17%
15%
15%
16%
16%
15%
15%
17%
16%
Other Income
27
28
36
42
52
42
41
31
46
57
49
38
66
Interest
6
6
6
6
3
4
4
4
5
4
4
2
2
Depreciation
35
42
37
31
24
25
30
24
24
23
25
20
23
PBT
162
210
225
212
229
210
208
210
230
241
240
265
276
Tax %
26%
26%
23%
24%
24%
25%
25%
24%
23%
24%
24%
25%
24%
Net Profit
119
156
174
162
173
158
156
160
176
182
182
200
211
EPS in Rs
5.27
6.9
7.68
7.14
7.65
6.97
6.86
7.04
7.77
8.01
8.01
8.79
9.26
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Sales
2,656
2,952
3,056
3,108
3,966
4,182
3,781
4,244
4,848
4,902
5,281
5,687
Expenses
2,264
2,513
2,674
2,743
3,487
3,675
3,097
3,587
4,296
4,030
4,464
4,771
Operating Profit
392
439
382
365
479
507
685
656
552
872
817
916
OPM %
15%
15%
12%
12%
12%
12%
18%
15%
11%
18%
15%
16%
Other Income
27
54
24
74
93
88
-24
138
103
159
160
209
Interest
11
11
9
23
37
61
54
35
28
21
17
12
Depreciation
42
65
49
65
89
159
175
185
183
134
102
91
PBT
366
417
349
352
445
376
433
574
444
876
858
1,022
Tax %
28%
30%
32%
30%
28%
28%
29%
27%
26%
24%
24%
24%
Net Profit
265
292
238
246
319
272
307
422
328
665
650
775
EPS in Rs
11.94
12.97
10.47
10.74
13.93
11.69
13.3
18.4
14.47
29.34
28.61
34.05
Div. Payout %
18%
18%
23%
22%
20%
24%
27%
27%
35%
31%
45%
37%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
44
45
45
45
45
45
45
45
45
45
45
45
Reserves
1,113
1,220
1,427
1,624
1,897
2,045
2,297
2,642
2,931
3,517
4,024
4,674
Borrowings
176
149
134
9
300
332
350
335
273
186
125
79
Other Liabilities
402
455
500
618
847
1,174
742
817
872
899
978
1,285
Total Liabilities
1,734
1,869
2,106
2,296
3,090
3,596
3,433
3,840
4,121
4,648
5,173
6,084
Fixed Assets
547
386
447
592
950
1,323
1,133
1,254
1,174
1,034
1,170
1,398
CWIP
1
2
3
6
12
11
0
1
0
5
1
1
Investments
94
134
243
275
115
278
517
324
899
1,408
1,714
1,921
Other Assets
1,092
1,347
1,413
1,424
2,013
1,983
1,783
2,260
2,049
2,200
2,288
2,764
Total Assets
1,734
1,869
2,106
2,296
3,090
3,596
3,433
3,840
4,121
4,648
5,173
6,084
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
321
255
304
206
156
686
858
336
714
642
565
771
Investing
-182
-41
-204
-142
-229
-315
-530
3
-527
-476
-473
-241
Financing
-87
-129
-50
-204
201
-197
-467
-183
-219
-197
-264
-401
Net Cash Flow
51
85
50
-140
128
175
-139
156
-31
-31
-172
129
Free Cash Flow
283
212
269
154
104
608
819
279
681
627
530
719
CFO/OP
107
82
107
85
61
158
146
74
146
100
96
105
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
62
67
64
75
81
58
57
69
55
55
55
59
Inventory Days
266
304
—
—
—
—
—
—
—
—
—
—
Days Payable
283
400
—
—
—
—
—
—
—
—
—
—
Cash Conversion Cycle
45
-29
64
75
81
58
57
69
55
55
55
59
Working Capital Days
41
56
49
70
57
20
19
36
21
27
30
126
ROCE %
30%
31%
24%
23%
23%
18%
21%
21%
15%
25%
21%
24%

Shareholding Pattern

As of Mar 2026
Promoters 49.00%
DIIs 23.66%
Public 12.35%
FIIs 10.50%
Others 4.48%
Total 99.99%
  Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
49.19%
49.18%
49.12%
49.10%
49.09%
49.16%
49.15%
49.15%
49.21%
49.21%
49.20%
49.20%
49.17%
49.17%
49.13%
49.10%
49.07%
49.06%
49.02%
49.01%
49.00%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
16.53%
15.74%
14.84%
15.06%
14.98%
14.56%
13.30%
11.80%
10.50%
DIIs
1.58%
9.18%
9.38%
13.57%
14.41%
13.58%
12.28%
11.47%
15.78%
17.31%
16.55%
16.17%
17.53%
19.05%
19.05%
19.83%
19.89%
20.52%
22.24%
23.12%
23.66%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
Public
8.64%
10.42%
11.25%
13.59%
16.43%
18.10%
21.84%
22.14%
19.58%
16.85%
14.02%
13.84%
13.45%
12.70%
13.43%
12.49%
12.61%
12.37%
11.85%
11.66%
12.35%
Others
40.59%
31.23%
30.25%
23.74%
20.08%
19.17%
16.72%
17.24%
15.43%
16.64%
20.24%
20.80%
3.31%
3.35%
3.54%
3.52%
3.45%
3.49%
3.59%
4.41%
4.48%
No. of Shareholders
38,861
62,003
88,542
1,18,381
1,71,073
1,86,559
2,22,974
2,24,511
2,11,754
1,97,826
2,17,699
2,25,657
2,16,935
2,01,777
2,17,218
2,03,592
2,25,502
2,10,063
2,01,872
2,04,025
2,06,187

Documents

1
Concall - Jun 2017 Jun 2017
2
Concall - Jun 2018 Jun 2018
3
Concall - Jul 2018 Jul 2018
4
Concall - Nov 2018 Nov 2018
5
Concall - Jan 2019 Jan 2019

Frequently Asked Questions about Zensar Technologies Ltd

What does Zensar Technologies Ltd do?
Zensar Technologies is a leading digital solutions and technology services company. It is a part of the Mumbai-based RPG group and is headquartered in Pune, India. It operates in two segments: Application Management Service and Infrastructure management service. It is focused on industry vertical...
Where is Zensar Technologies Ltd (ZENSARTECH) listed?
Zensar Technologies Ltd is listed on the Indian stock exchanges. It is listed on NSE: ZENSARTECH and BSE: 504067. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Zensar Technologies Ltd belong to?
Zensar Technologies Ltd operates in the Information Technology sector within the Computer Software & Consulting industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Zensar Technologies Ltd?
Zensar Technologies Ltd has a market capitalisation of approximately ₹10307.77 Cr. Based on this, it is classified as a Mid Cap stock.
What is the PE ratio of Zensar Technologies Ltd?
The Price-to-Earnings (PE) ratio of Zensar Technologies Ltd is 13.07. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Zensar Technologies Ltd?
Over the past 52 weeks, Zensar Technologies Ltd has traded between a low of ₹438.4 and a high of ₹881. This range helps investors understand the stock's price volatility and recent trading levels.
Does Zensar Technologies Ltd pay dividends?
Yes, Zensar Technologies Ltd has a dividend yield of 0.53%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Zensar Technologies Ltd?
Zensar Technologies Ltd has a Return on Equity (ROE) of 18.67%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Zensar Technologies Ltd on Tapetide?
On Tapetide, you can view Zensar Technologies Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Zensar Technologies is a leading digital solutions and technology services company. It is a part of the Mumbai-based RPG group and is headquartered in Pune, India. It operates in two segments: Application Management Service and Infrastructure management service. It is focused on industry verticals, such as Hitech & manufacturing, consumer services, and banking, financial services, and insurance. They have offices located in India, the USA, UK, Europe, and Africa. [1] [2]

Website zensar.com
CEO Mr. Manish Tandon
Employees 9,975
Listed 2003-07-09
Face Value ₹ 2
Issued Size 22,73,72,542

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