⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
CYIENT - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.8
| Stock Code | CYIENT | Market Cap | 9,500 Cr. | Current Price | 858 ₹ | High / Low | 1,377 ₹ |
| Stock P/E | 20.9 | Book Value | 348 ₹ | Dividend Yield | 3.03 % | ROCE | 15.6 % |
| ROE | 13.2 % | Face Value | 5.00 ₹ | DMA 50 | 999 ₹ | DMA 200 | 1,166 ₹ |
| Chg in FII Hold | -2.28 % | Chg in DII Hold | 1.09 % | PAT Qtr | 89.5 Cr. | PAT Prev Qtr | 128 Cr. |
| RSI | 31.5 | MACD | -49.7 | Volume | 3,36,319 | Avg Vol 1Wk | 2,65,559 |
| Low price | 841 ₹ | High price | 1,377 ₹ | PEG Ratio | -2.59 | Debt to equity | 0.02 |
| 52w Index | 3.18 % | Qtr Profit Var | 25.5 % | EPS | 21.2 ₹ | Industry PE | 23.1 |
📊 Core Financials
- Revenue Growth: PAT declined (₹89.5 Cr vs ₹128 Cr), showing pressure on earnings
- Profit Margins: EPS ₹21.2, moderate profitability
- Debt Ratio: Very low (Debt-to-Equity 0.02)
- Cash Flows: Stable, supported by low leverage
- Return Metrics: ROCE 15.6%, ROE 13.2% — decent but not industry-leading
💹 Valuation Indicators
- P/E Ratio: 20.9 (below industry PE of 23.1, fairly valued)
- P/B Ratio: ~2.46 (reasonable valuation)
- PEG Ratio: -2.59 (negative, weak growth outlook)
- Intrinsic Value: Current price ₹858 is near support (₹841), offering cautious entry
🏢 Business Model & Competitive Advantage
- IT services and engineering solutions provider with global clients
- Strong presence in aerospace, automotive, and telecom sectors
- Low debt enhances financial stability
- Dividend yield of 3.03% adds investor appeal
📈 Entry Zone & Long-Term Guidance
- Entry Zone: ₹840–₹880 range (near support levels)
- Long-Term Holding: Suitable for investors seeking steady IT services exposure
- Risk: Weak growth outlook and declining PAT may limit upside
✅ Positive
- Low debt ensures strong financial stability
- Dividend yield of 3.03% provides steady returns
- Valuation is fair compared to industry peers
⚠️ Limitation
- Negative PEG ratio indicates poor growth prospects
- Quarterly PAT declined significantly
- Stock trading below DMA 50 & DMA 200, showing weak momentum
📰 Company Negative News
- Decline in FII holdings (-2.28%) shows reduced foreign investor confidence
🌟 Company Positive News
- DII holdings increased (+1.09%), showing domestic investor support
- Dividend yield above 3% adds shareholder value
🏦 Industry
- IT services and engineering sector with global demand
- Industry PE at 23.1, CYIENT trades slightly below this, offering relative value
- Sector growth supported by digital transformation and outsourcing trends
🔎 Conclusion
- CYIENT offers stability with low debt and fair valuation
- Dividend yield makes it attractive for income-focused investors
- Entry near ₹840–₹880 is favorable for long-term conservative investors
- Best suited for portfolios seeking steady IT exposure, but growth outlook remains weak