AI Summary
✦ ClarthaFirstsource Solutions is an outsourced technology-enabled business process services company serving global clients. Healthcare contributes enrollment, claims optimization, patient access, and revenue-cycle solutions, while Banking and Financial Services provides lending, payments, fraud management, and core-banking services. Communications, Media and Technology adds customer acquisition and subscriber operations. Revenue grew 20.6% year-on-year, but the recent earnings miss and Q1 concerns suggest execution may moderate despite improving margins. Profit growth of 13.5% trails revenue growth, indicating operating leverage remains incomplete even as margins improve. ROE is unavailable, while debt/equity of 67.14 means leverage can materially influence eventual returns on equity. At 29.2 times earnings, valuation appears fair relative to current growth, but not discounted given the earnings miss and mixed brokerage outlook. The key question is whether healthcare and financial-services demand can sustain growth without further margin pressure.
Price Forecast
Probabilistic Range
Probabilistic lognormal cone using 1Y realized volatility and analyst-target drift when available.
Revenue Forecast
₹ CrEPS Forecast
₹ / shareMulti-factor synthesis of 5 key dimensions
From 14 analysts
Fundamentals
Fundamentals institutional score is 98 using growth durability 97.8.
Valuation
Valuation institutional score is 44 using relative multiple z-scores where peer dispersion is available.
Analyst Consensus
Analyst View institutional score is 51 using mean target upside 10.7%; dispersion penalty 19.4; recommendation breadth from available consensus.
Technical Structure
Technicals institutional score is 47 using EMA-20 continuation within 5% tolerance; VCP range/volume contraction proxy.
Market Sentiment
Recent news flow is balanced or not decisive enough to tilt the tape. Based on 11 recent ticker-linked news items.
Signal Summary
Market intelligence remains Neutral. fundamentals and market sentiment provide support, while valuation and analyst consensus remain considerations.
Composite weights: Fundamentals 25%, Valuation 20%, Analyst Consensus 20%, Technical Structure 20%, Market Sentiment 15%.
Key Data Points
Important Note: This is market intelligence, not investment advice. Always conduct your own research and consider your financial goals and risk tolerance.
Valuation Metrics
Trading 2.8% below historical median. Valuation is declining — currently in the fair zone (z-score: +0.13). Confidence: 73%.
Live forward EPS implies next-12-month EPS of ₹15.80. Applying the stock's normalized valuation corridor produces a fair range of ₹325.01 to ₹558.69, with base value near ₹475.11 (+69.9% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹15.80
Forward P/E
17.7x
Base Fair Value
₹475.11
Fair Range
₹325.01 - ₹558.69
Upside To Base
+69.9%
Estimate Source
Live forward EPS
Growth Estimate
-1.7%
5Y Average
22.17
Current
29.24
Overvalued
35.36
Undervalued
20.57
5Y Average
1.46
Current
1.92
Overvalued
1.68
Undervalued
1.24
5Y Average
12.15
Current
16.02
Overvalued
18.05
Undervalued
6.88
Peers & Comparison
Sector: Information Technology · Theme: Outsourced services
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
ECLERX SERVICES LTD ECLERXOutsourced services | +23.3% | 16.8% | 22.9x Premium | +19% vs avg | -13.9% |
BLS INTL SERVS LTD BLSOutsourced services | +28.5% | 22.2% | 15.7x Undervalued | -19% vs avg | -34.9% |
FIRSTSOURCE SOLU. LTD. trades at a premium (29.2x vs peer avg 19.3x), implying higher growth or quality expectations from the Outsourced Services cohort. Peers include ECLERX SERVICES LTD, BLS INTL SERVS LTD — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Real statement data for revenue, earnings quality, conversion, and balance-sheet coverage. Monetary values are shown in Rs crore.
Latest revenue
₹879 CrJun 2026Latest net profit
₹207 CrJun 2026Latest EPS
₹2.92Jun 2026Net margin
37.0%Jun 2026Performance
Bars show revenue and net profit. The line shows net margin.
- Revenue
- Net income
- Net margin %
Earnings
Revenue is shown in crores. EPS is rupees per share.
- Revenue
- EPS
Revenue to profit conversion
Bridge from operating numbers to profit for the latest reported period.
Latest reported period: Jun 2026
Debt level and coverage
Debt, cash and free cash flow compared on the same crore scale.
- Debt
- Free cash flow
- Cash & equivalents
Results
| Metric | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales + | 336 | 364 | 435 | 466 | 513 | 542 | 624 | 628 | 682 | 675 | 752 | 774 | 879 |
| Expenses + | 247 | 263 | 307 | 332 | 371 | 402 | 466 | 460 | 470 | 498 | 524 | 524 | 556 |
| Operating Profit | 90 | 101 | 128 | 134 | 142 | 140 | 158 | 168 | 212 | 177 | 228 | 250 | 323 |
| OPM % | 27% | 28% | 30% | 29% | 28% | 26% | 25% | 27% | 31% | 26% | 30% | 32% | 37% |
| Other Income + | 8 | 9 | 10 | 9 | 10 | 8 | 66 | 11 | 12 | 10 | -87 | 9 | 15 |
| Interest | 3 | 4 | 5 | 5 | 8 | 10 | 11 | 13 | 14 | 15 | 17 | 17 | 17 |
| Depreciation | 20 | 22 | 24 | 26 | 26 | 26 | 34 | 40 | 44 | 54 | 53 | 54 | 55 |
| Profit before tax | 75 | 85 | 109 | 111 | 118 | 112 | 178 | 126 | 166 | 118 | 71 | 188 | 267 |
| Tax % | 13% | 15% | 18% | 16% | 20% | 18% | 17% | 26% | 19% | 17% | 18% | 25% | 22% |
| Net Profit + | 65 | 72 | 90 | 93 | 95 | 92 | 148 | 92 | 135 | 98 | 59 | 140 | 207 |
| EPS in Rs | 0.92 | 1.03 | 1.27 | 1.32 | 1.34 | 1.30 | 2.09 | 1.31 | 1.91 | 1.39 | 0.83 | 1.98 | 2.92 |
| Raw PDF |
All values in ₹ Crores unless otherwise stated. Source: Screener Master (Standalone).
Events Timeline
Voting Result In Respect Of 25Th Annual General Meeting (""AGM").
Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Outcome