Dynacons Systems & Solutions Limited
Dynacons Systems & Solutions Limited Fundamental Analysis
Dynacons Systems & Solutions Limited (DSSL.NS) shows strong financial fundamentals with a PE ratio of 13.36, profit margin of 6.22%, and ROE of 36.21%. The company generates $13.5B in annual revenue with strong year-over-year growth of 23.70%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 55.4/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze DSSL.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakDSSL.NS struggles to generate sufficient returns from assets.
Valuation Score
ModerateDSSL.NS shows balanced valuation metrics.
Growth Score
ExcellentDSSL.NS delivers strong and consistent growth momentum.
Financial Health Score
ExcellentDSSL.NS maintains a strong and stable balance sheet.
Profitability Score
WeakDSSL.NS struggles to sustain strong margins.
Key Financial Metrics
Is DSSL.NS Expensive or Cheap?
P/E Ratio
DSSL.NS trades at 13.36 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, DSSL.NS's PEG of 2.11 indicates potential overvaluation.
Price to Book
The market values Dynacons Systems & Solutions Limited at 4.12 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 6.86 times EBITDA. This is generally considered low.
How Well Does DSSL.NS Make Money?
Net Profit Margin
For every $100 in sales, Dynacons Systems & Solutions Limited keeps $6.22 as profit after all expenses.
Operating Margin
Core operations generate 9.65 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $36.21 in profit for every $100 of shareholder equity.
ROA
Dynacons Systems & Solutions Limited generates $9.52 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Dynacons Systems & Solutions Limited generates limited operating cash flow of $97.39M, signaling weaker underlying cash strength.
Free Cash Flow
Dynacons Systems & Solutions Limited generates weak or negative free cash flow of $-82.17M, restricting financial flexibility.
FCF Per Share
Each share generates $-6.46 in free cash annually.
FCF Yield
DSSL.NS converts -0.73% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.36
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.11
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.12
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.83
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.64
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.36
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.36
vs 25 benchmark
ROA
Return on assets percentage
0.10
vs 25 benchmark
ROCE
Return on capital employed
0.36
vs 25 benchmark
How DSSL.NS Stacks Against Its Sector Peers
| Metric | DSSL.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.36 | 34.49 | Better (Cheaper) |
| ROE | 36.21% | 1124.00% | Weak |
| Net Margin | 6.22% | -133673.00% (disorted) | Weak |
| Debt/Equity | 0.64 | 7.86 | Strong (Low Leverage) |
| Current Ratio | 1.36 | 5.81 | Neutral |
| ROA | 9.52% | -308769.00% (disorted) | Weak |
DSSL.NS outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Dynacons Systems & Solutions Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
178.35%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
815.22%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
1010.79%
Industry Style: Growth, Innovation, High Beta
High Growth