HCL Infosystems Limited
HCL Infosystems Limited Fundamental Analysis
HCL Infosystems Limited (HCL-INSYS.BO) shows weak financial fundamentals with a PE ratio of -18.08, profit margin of -1.13%, and ROE of 8.13%. The company generates $0.2B in annual revenue with weak year-over-year growth of -23.51%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -66.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze HCL-INSYS.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakHCL-INSYS.BO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHCL-INSYS.BO trades at attractive valuation levels.
Growth Score
WeakHCL-INSYS.BO faces weak or negative growth trends.
Financial Health Score
ModerateHCL-INSYS.BO shows balanced financial health with some risks.
Profitability Score
WeakHCL-INSYS.BO struggles to sustain strong margins.
Key Financial Metrics
Is HCL-INSYS.BO Expensive or Cheap?
P/E Ratio
HCL-INSYS.BO trades at -18.08 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, HCL-INSYS.BO's PEG of 0.76 indicates potential undervaluation.
Price to Book
The market values HCL Infosystems Limited at -1.42 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -8.43 times EBITDA. This is generally considered low.
How Well Does HCL-INSYS.BO Make Money?
Net Profit Margin
For every $100 in sales, HCL Infosystems Limited keeps $-1.13 as profit after all expenses.
Operating Margin
Core operations generate -2.71 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.13 in profit for every $100 of shareholder equity.
ROA
HCL Infosystems Limited generates $-5.58 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
HCL Infosystems Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
HCL Infosystems Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
HCL-INSYS.BO converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-18.08
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.76
vs 25 benchmark
P/B Ratio
Price to book value ratio
-1.42
vs 25 benchmark
P/S Ratio
Price to sales ratio
20.39
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-1.18
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.32
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
-0.06
vs 25 benchmark
ROCE
Return on capital employed
0.19
vs 25 benchmark
How HCL-INSYS.BO Stacks Against Its Sector Peers
| Metric | HCL-INSYS.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -18.08 | 35.62 | Better (Cheaper) |
| ROE | 8.13% | 1160.00% | Weak |
| Net Margin | -112.78% | -136515.00% (disorted) | Weak |
| Debt/Equity | -1.18 | 0.39 | Strong (Low Leverage) |
| Current Ratio | 0.32 | 4.79 | Weak Liquidity |
| ROA | -5.58% | -311498.00% (disorted) | Weak |
HCL-INSYS.BO outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews HCL Infosystems Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-98.65%
Industry Style: Growth, Innovation, High Beta
DecliningEPS CAGR
84.55%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
-145.32%
Industry Style: Growth, Innovation, High Beta
Declining