Dev Information Technology Ltd (DEVIT) AI Stock Analysis

• Market Cap: ₹1.77B
• Dividend Yield: 0.49%
• Average Volume (3M): 6.40K
• Price to Earnings (P/E): 2.3
• Beta (1Y): 1.34
• Revenue Growth: 30.15%
• EPS Growth: 330.45%
• Country: IN
• Employees: 971
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 12.75
• Shares Outstanding: 56,335,230
• 10 Day Avg. Volume: 4,420
• 30 Day Avg. Volume: 6,401
• PEG Ratio: 0.30
• Price to Book (P/B): 3.79
• Price to Sales (P/S): 1.53
• P/FCF Ratio: -16.63
• 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: 62 Neutral
• Price Target: ₹33.00 ▼(-18.05% Downside)

Dev Information Technology Ltd's overall stock score is primarily influenced by its solid financial performance, despite cash flow challenges. The technical analysis indicates a bearish trend, which weighs on the score. Valuation metrics are reasonable but not compelling enough to offset the technical weaknesses.

Positive Factors

Revenue Growth

Sustained ~30% top-line growth indicates durable market demand for the company's IT services and scalability. Over the medium term this supports increased pricing power, client expansion and reinvestment capacity, underpinning long‑term revenue momentum and strategic initiatives.

Profitability Improvement

Material improvement in net margins demonstrates the firm is converting revenue into profit more effectively, pointing to lasting operational improvements. Higher margin sustainability supports internal cash generation and resilience to pricing pressure across economic cycles.

Balance Sheet Strength / ROE

A stable equity base combined with rising ROE indicates capital is being deployed more efficiently and provides a buffer against shocks. This stronger capital structure gives the company flexibility for investment, strategic hires, or selective M&A over the medium term.

Negative Factors

Negative Operating Cash Flow

Persistent negative operating cash flows are a structural concern for liquidity and operational funding. Over 2–6 months this can force reliance on external financing, constrain reinvestment, and limit the company’s ability to convert accounting profits into durable cash generation.

Rising Leverage

An upward trend in leverage reduces financial flexibility and raises interest and refinancing risk. If unchecked, increasing debt levels can strain cash flow and limit strategic options, making the business more vulnerable to macro shocks and margin pressure over the medium term.

Gross Margin Volatility

Volatile gross margins suggest exposure to pricing or input‑cost variability in core services. Without steadier gross margin trends, durability of net margin gains is uncertain and profitability remains sensitive to competitive pricing or cost increases over the next several months.

Dev Information Technology Ltd Business Overview & Revenue Model

Company Description

Dev Information Technology Limited provides information technology enabled services in India. The company offers enterprise resource planning and customer relationship management applications, and application development solutions; and enterprise mobility services, such as mobile application development and mobile device management services. It also provides infrastructure management services, including incident management, problem management, helpdesk, server management, database administration, network and firewall, and consulting and managed services; planning, licensing, and implementation services for office 365 solutions; and cybersecurity services. In addition, the company offers cloud computing services, including cloud advisory, cloud management, cloud migration, managed backups, disaster recovery, and unified communication solutions; and digital commerce, digital marketing, and document digitization services. Further, it licenses software products; and provides digital signatures and SSL certificates. Additionally, the company offers maintenance services for software products, as well as technical support services; and resells software products. Dev Information Technology Limited was incorporated in 1997 and is based in Ahmedabad, India.

How the Company Makes Money

DEVIT generates revenue primarily through a diversified model that includes project-based contracts for software development and consulting services. The company charges clients on a time-and-materials basis or fixed-price contracts, depending on the project scope and client needs. Additionally, DEVIT earns recurring revenue through maintenance and support services for its software products, along with subscription fees for cloud-based solutions. The company has established strategic partnerships with leading technology firms, which enhance its service offerings and expand its customer base. These collaborations often lead to joint projects that contribute significantly to DEVIT's revenue stream, alongside direct sales from its proprietary software products.

Dev Information Technology Ltd Financial Statement Overview

Summary

Dev Information Technology Ltd shows strong revenue growth and improved profitability, supported by a stable balance sheet. However, challenges with cash flow management and rising leverage need addressing to ensure long-term financial stability.

Income Statement

Dev Information Technology Ltd has demonstrated strong revenue growth with a notable increase in total revenue over the past years, indicating a positive growth trajectory. The net profit margin has improved significantly, reflecting better cost management and operational efficiency. However, there is room for improvement in gross profit margin, which has shown some volatility.

Balance Sheet

The company maintains a stable equity ratio, suggesting a well-capitalized balance sheet. The debt-to-equity ratio remains moderate but has been increasing, indicating a potential risk if leverage continues to rise. Return on equity has improved, which is a positive indicator of profitability.

Cash Flow

Cash flow analysis reveals challenges with negative operating cash flows in recent years, which could affect liquidity if not addressed. However, free cash flow has shown some recovery in earlier periods, suggesting the potential for future improvement. The company needs to focus on enhancing cash flow generation to support ongoing operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.78B	1.71B	1.63B	1.24B	997.49M	843.80M
Gross Profit	167.43M	160.83M	197.53M	121.61M	106.99M	80.49M
EBITDA	217.89M	237.18M	153.11M	138.93M	59.06M	32.53M
Net Income	134.46M	148.73M	92.88M	89.75M	1.34M	-3.20M
Balance Sheet
Total Assets	0.00	1.22B	954.86M	677.40M	664.81M	629.74M
Cash, Cash Equivalents and Short-Term Investments	19.05M	23.34M	65.07M	24.96M	88.33M	78.38M
Total Debt	0.00	199.84M	145.80M	72.93M	96.32M	111.05M
Total Liabilities	-687.63M	533.35M	372.02M	261.33M	337.02M	288.95M
Stockholders Equity	687.63M	686.22M	554.51M	415.46M	327.86M	338.81M
Cash Flow
Free Cash Flow	0.00	-156.49M	-27.84M	-74.13M	32.30M	50.41M
Operating Cash Flow	0.00	-110.96M	-7.92M	-16.48M	47.73M	56.52M
Investing Cash Flow	0.00	48.28M	-21.05M	-6.49M	-10.93M	-3.66M
Financing Cash Flow	0.00	47.71M	38.01M	-43.32M	-21.33M	-1.72M

Dev Information Technology Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 40.27
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DEVIT, the sentiment is Negative. The current price of 40.27 is above the 20-day moving average (MA) of 31.89, above the 50-day MA of 35.38, and below the 200-day MA of 41.09, indicating a bearish trend. The MACD of -1.32 indicates Negative momentum. The RSI at 39.70 is Neutral, neither overbought nor oversold. The STOCH value of 34.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:DEVIT.

Dev Information Technology Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DRCSYSTEMS	66 Neutral	₹2.47B	12.55	―	―	20.62%	1.68%
DEVIT	62 Neutral	₹1.77B	2.31	―	0.49%	30.15%	330.45%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
GOLDTECH	55 Neutral	₹2.39B	28.80	―	―	18.44%	-32.39%
TRIGYN	52 Neutral	₹1.99B	47.37	―	―	-16.31%	-9.79%
XELPMOC	45 Neutral	₹1.97B	-24.97	―	―	-30.22%	25.16%
RSSOFTWARE	44 Neutral	₹1.02B	-4.92	―	0.46%	-52.09%	-142.64%

Dev Information Technology Ltd Corporate Events

Dev Information Technology Wins INR 29 Lakh AutoCAD Licensing Order from GIFT City

Dev Information Technology Limited has secured a fixed-cost order worth approximately INR 29 lakh from Gujarat International Finance Tec-City (GIFT), an undertaking of the Gujarat Government, for the procurement of AutoCAD licences with a three-year subscription for the DTA area of GIFT City. The contract, to be executed over roughly three years, strengthens DEVIT’s presence in government-linked infrastructure and design technology projects, underlining its role as a technology partner for specialised platforms that support architectural design, structural engineering, MEP and construction workflows, and potentially enhancing its credentials in the urban development and smart-city ecosystem.

Dev Information Technology Ltd Releases Q2 Earnings Call Transcript

Dev Information Technology Ltd has released the transcript of its earnings conference call for the second quarter and half-year ending September 30, 2025. This announcement aligns with SEBI regulations and is accessible on the company’s website, reflecting transparency and compliance in financial reporting.

Dev Information Technology Ltd Reschedules Earnings Call

Dev Information Technology Ltd announced a rescheduling of its earnings conference call for the second quarter and half-year financial results ending September 30, 2025. Originally set for November 26, 2025, the call will now take place on November 27, 2025, at 12:00 PM. The meeting will be a group session, and no unpublished price-sensitive information will be disclosed. This announcement is part of the company’s compliance with SEBI regulations, ensuring transparency and timely communication with stakeholders.