DEN Networks Limited (DEN) AI Stock Analysis

• Market Cap: ₹13.83B
• Dividend Yield: N/A
• Average Volume (3M): 23.20K
• Price to Earnings (P/E): 7.4
• Beta (1Y): 1.44
• Revenue Growth: -3.51%
• EPS Growth: -14.31%
• Country: IN
• Employees: 612
• Sector: Services
• Sector Strength: N/A
• Industry: Entertainment
• EPS (TTM): 0.80
• Shares Outstanding: 477,223,850
• 10 Day Avg. Volume: 33,704
• 30 Day Avg. Volume: 23,203
• PEG Ratio: -1.16
• Price to Book (P/B): 0.43
• Price to Sales (P/S): 1.54
• P/FCF Ratio: -67.01
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: ₹30.00 ▼(-6.13% Downside)

DEN Networks Limited's overall stock score is primarily influenced by its mixed financial performance, with strong profitability but declining revenue and cash flow volatility. The technical analysis indicates bearish momentum, while the valuation suggests potential undervaluation. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Strong balance sheet

Low leverage and a high equity ratio give DEN structural financial resilience. This reduces refinancing and interest-rate risk, preserves strategic optionality for capex or spectrum/broadband investments, and supports consistent shareholder returns over a multi-quarter horizon.

Recurring distribution revenue

A business built on subscription and carriage fees produces recurring, contract-driven cash flows tied to subscriber bases and broadcaster deals. Durable last‑mile relationships and predictable billing cycles support revenue stability and long-term customer retention dynamics.

Maintains healthy net margins

Strong gross and net margins indicate effective cost management and pricing discipline. Even with top-line pressures, the ability to convert revenue into profit supports internal funding for operations and selective investments, reinforcing medium-term financial sustainability.

Negative Factors

Declining revenue trend

A multiyear revenue decline erodes scale economics and bargaining power with broadcasters and distributors. Persistent top‑line contraction can limit reinvestment capacity, increase per-unit costs, and pressure long-term market position if not offset by new products or service expansion.

Volatile cash generation

Inconsistent operating cash flow and declining free cash flow growth restrict the firm’s ability to fund capex, broadband rollouts, or M&A from internal sources. Volatility raises reliance on external financing and complicates long-term planning and shareholder distribution policies.

Inconsistent operating margins

Variation in EBIT/EBITDA margins signals operational execution or cost volatility issues that can undermine sustainable profitability. Even with healthy net margins today, inconsistent underlying operating performance reduces earnings visibility and increases execution risk over multiple quarters.

DEN Networks Limited Business Overview & Revenue Model

Company Description

DEN Networks Limited engages in the distribution and promotion of television channels through digital cable distribution network in India. It operates through Cable and Broadband segments. The company also offers cable TV, over-the-top entertainment, and broadband services. It serves approximately 13 million households primarily in 13 states in India, including Delhi, Uttar Pradesh, Karnataka, Maharashtra, Gujarat, Rajasthan, Haryana, Kerala, West Bengal, Jharkhand, Bihar, Madhya Pradesh, and Uttarakhand. The company was formerly known as DEN Digital Entertainment Networks Limited and changed its name to DEN Networks Limited in June 2008. DEN Networks Limited was incorporated in 2007 and is headquartered in New Delhi, India.

How the Company Makes Money

DEN Networks generates revenue primarily through subscription fees from its cable television services, which include various channel packages tailored to different customer preferences. The company also earns income from broadband internet services by offering high-speed internet access to its subscribers. Additionally, DEN monetizes its platform through advertising revenue by collaborating with broadcasters and advertisers to display commercials during programming. Significant partnerships with content providers and technology firms enhance its service offerings and competitive edge, contributing to its overall earnings.

DEN Networks Limited Financial Statement Overview

Summary

DEN Networks Limited shows mixed financial health with strong profitability and low leverage, indicating financial stability. However, declining revenue and cash flow volatility present challenges for growth and liquidity.

Income Statement

DEN Networks Limited's income statement shows a declining revenue trend over the years, with revenue dropping from 2021 to 2025. Gross profit margin is strong, but both EBIT and EBITDA margins have been inconsistent, revealing operational challenges. The net profit margin is relatively healthy, suggesting good cost management. However, the negative revenue growth rate is concerning for future prospects.

Balance Sheet

The balance sheet of DEN Networks Limited displays strong equity, with a high equity ratio indicating financial stability. The debt-to-equity ratio is low, suggesting limited leverage and reduced financial risk. Return on equity has been positive, reflecting profitability for shareholders. Overall, the balance sheet reflects a strong financial position, albeit with some fluctuations in asset management.

Cash Flow

Cash flow analysis indicates volatility, with fluctuating free cash flows over the years. The operating cash flow to net income ratio suggests that cash generation from operations is inconsistent, which could impact liquidity. The decline in free cash flow growth rate is a concern, indicating potential challenges in sustaining operations and growth without relying on external financing.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.91B	10.05B	10.81B	11.04B	11.83B	12.90B
Gross Profit	3.87B	4.21B	4.74B	4.91B	5.56B	6.74B
EBITDA	2.21B	3.56B	3.62B	2.64B	3.24B	4.47B
Net Income	1.92B	2.00B	2.15B	2.43B	1.76B	1.98B
Balance Sheet
Total Assets	43.01B	41.42B	39.27B	37.59B	35.09B	34.54B
Cash, Cash Equivalents and Short-Term Investments	32.54B	31.98B	29.31B	25.15B	24.84B	23.94B
Total Debt	215.42M	229.83M	255.11M	275.97M	0.00	0.00
Total Liabilities	5.52B	4.83B	4.63B	5.03B	4.96B	6.14B
Stockholders Equity	37.09B	36.20B	34.20B	32.07B	29.53B	27.75B
Cash Flow
Free Cash Flow	0.00	-231.37M	883.17M	399.93M	258.53M	1.06B
Operating Cash Flow	0.00	183.00M	1.42B	1.39B	1.29B	2.18B
Investing Cash Flow	0.00	-217.79M	-1.25B	-542.63M	-2.58B	-3.61B
Financing Cash Flow	0.00	-71.55M	-65.93M	-1.15B	959.00M	1.34B

DEN Networks Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 31.96
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DEN, the sentiment is Neutral. The current price of 31.96 is above the 20-day moving average (MA) of 29.13, above the 50-day MA of 30.50, and below the 200-day MA of 34.12, indicating a neutral trend. The MACD of -0.62 indicates Negative momentum. The RSI at 50.28 is Neutral, neither overbought nor oversold. The STOCH value of 83.94 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:DEN.

DEN Networks Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GTPL	61 Neutral	₹8.87B	21.43	―	2.00%	8.43%	-36.53%
DEN	60 Neutral	₹13.83B	7.42	―	―	-3.51%	-14.31%
HATHWAY	60 Neutral	₹19.98B	18.63	―	―	3.88%	-3.40%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
SITINET	39 Underperform	₹427.31M	-0.21	―	―	-6.97%	-25.25%
DISHTV	38 Underperform	₹6.30B	-0.92	―	―	-22.62%	66.73%

DEN Networks Limited Corporate Events

DEN Networks Announces Management Change with CTO’s Retirement

DEN Networks Limited has announced a change in its senior management, as Mr. Sanjay Kumar Jain, the Chief Technical Officer, has retired from his position effective November 30, 2025, due to superannuation. This change in management is a significant development for the company, potentially impacting its technical operations and strategic direction, as Mr. Jain’s departure marks a transition in leadership within the technical team.

DEN Networks Reclassifies Access Equity Private Limited

DEN Networks Limited has announced the approval for reclassification of Access Equity Private Limited from the ‘Promoter Group’ category to ‘Public’ under the SEBI regulations. This change, effective from November 28, 2025, reflects that AEPL no longer holds any equity shares or voting rights in the company, potentially impacting the company’s shareholder structure and market perception.