Digicontent Ltd. (DGCONTENT) AI Stock Analysis

• Market Cap: ₹1.92B
• Dividend Yield: N/A
• Average Volume (3M): 5.13K
• Price to Earnings (P/E): 9.6
• Beta (1Y): 0.70
• Revenue Growth: 4.81%
• EPS Growth: 17.58%
• Country: IN
• Employees: 18
• Sector: Services
• Sector Strength: N/A
• Industry: Internet Content & Information
• EPS (TTM): 1.64
• Shares Outstanding: 58,187,080
• 10 Day Avg. Volume: 1,085
• 30 Day Avg. Volume: 5,126
• PEG Ratio: 0.03
• Price to Book (P/B): 8.38
• Price to Sales (P/S): 0.52
• P/FCF Ratio: 4.32
• 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: 54 Neutral
• Price Target: ₹33.00 ▲(3.13% Upside)

The overall stock score of 54 reflects mixed financial performance and bearish technical indicators. While the stock appears undervalued based on its P/E ratio, high leverage and weak equity positions pose risks. Technical analysis indicates negative momentum, though oversold conditions suggest potential for recovery.

Positive Factors

Revenue Growth

Sustained revenue growth indicates expanding market reach and successful service offerings, supporting long-term business stability.

Cash Flow Management

Strong cash flow management enhances financial flexibility, enabling the company to invest in growth opportunities and manage debt effectively.

Net Profit Margin Improvement

Improved net profit margins reflect better cost control and operational efficiency, contributing to sustainable profitability.

Negative Factors

High Leverage

High leverage can strain financial resources and limit strategic flexibility, posing risks to long-term financial health.

Gross Profit Margin Decline

A decline in gross profit margin suggests increased cost pressures or pricing challenges, potentially impacting future profitability.

Earnings Volatility

Earnings volatility indicates inconsistent profitability, which can undermine investor confidence and affect long-term growth prospects.

Digicontent Ltd. Business Overview & Revenue Model

Company Description

Digicontent Limited operates in the entertainment and digital innovation business in India. The company operates desimartini.com, a movie reviews and ratings Website that has a base of users who read movies reviews, entertainment news, and martini shots, as well as provides content sourcing services. It is also involved in the aggregation and creation of audio and multi-screen videos; and distribution of in-house creative and niche celeb based content to mobile and digital users, as well as operates an audio feed that plays music inside across various stores. In addition, the company maintains repository of images. Further, it is involved in the dissemination of news, knowledge, information, entertainment, and content of general interest in English, Hindi, and any other language through various digital and economic media; and management of advertising time and space on its news websites, such as hindustantimes.com, livemint.com, and livehindustan.com. The company was formerly known as HT Digital Ventures Limited and changed its name to Digicontent Limited in October 2017. Digicontent Limited was incorporated in 2017 and is based in New Delhi, India.

How the Company Makes Money

DGCONTENT generates revenue primarily through service fees charged for its digital content creation services. This includes project-based fees for video and graphic design work, as well as retainer agreements for ongoing content management and strategy services. Additionally, the company may earn income through licensing agreements for proprietary content and partnerships with businesses that require tailored multimedia solutions. Key revenue streams are bolstered by collaborations with marketing agencies and educational institutions, which often require specialized content services, thus expanding DGCONTENT's market reach and client base.

Digicontent Ltd. Financial Statement Overview

Summary

Digicontent Ltd. shows mixed financial performance with revenue growth and improved net profitability in 2025. However, challenges include a decline in gross profit, historical earnings volatility, high leverage, and weak equity positions. Strong cash flow performance provides a buffer, indicating sound liquidity management.

Income Statement

The company shows a mixed performance in its income statement. Despite revenue growth from 2024 to 2025, there is a sharp decline in Gross Profit Margin due to a significant drop in gross profit. The Net Profit Margin improved substantially in 2025, indicating better cost control or operational efficiencies. However, the historical fluctuations in EBIT and EBITDA margins highlight underlying volatility, suggesting inconsistent profitability.

Balance Sheet

The balance sheet indicates a high debt level relative to equity, as reflected by the unfavorable Debt-to-Equity ratio, though the debt has decreased over time. The equity position remains weak, as seen by the low equity ratio, suggesting potential financial instability. Return on Equity has improved in 2025, but the historical negative equity in some years is concerning.

Cash Flow

Cash flow statements show substantial improvement, with positive Free Cash Flow and Operating Cash Flow. The Free Cash Flow growth rate from 2024 to 2025 is strong, indicating effective cash management. The Free Cash Flow to Net Income ratio is healthy, suggesting that the company is generating adequate cash relative to its net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.49B	4.43B	4.14B	3.49B	3.24B	2.49B
Gross Profit	1.40B	1.29B	1.94B	808.50M	3.24B	2.49B
EBITDA	562.60M	651.20M	487.10M	203.50M	618.20M	312.50M
Net Income	212.90M	243.10M	57.40M	-128.50M	210.50M	-435.90M
Balance Sheet
Total Assets	0.00	2.26B	2.39B	2.26B	1.74B	1.60B
Cash, Cash Equivalents and Short-Term Investments	303.90M	303.90M	296.20M	336.10M	633.60M	394.50M
Total Debt	0.00	1.11B	1.57B	1.53B	684.50M	902.40M
Total Liabilities	-273.30M	1.99B	2.38B	2.32B	1.68B	1.73B
Stockholders Equity	273.30M	273.30M	11.50M	-59.30M	55.90M	-135.60M
Cash Flow
Free Cash Flow	0.00	529.60M	126.30M	216.30M	364.50M	653.10M
Operating Cash Flow	0.00	617.60M	226.10M	245.90M	388.70M	670.90M
Investing Cash Flow	0.00	-216.80M	-24.60M	303.70M	-217.10M	-404.80M
Financing Cash Flow	0.00	-439.00M	-179.10M	-548.00M	-354.60M	-160.70M

Digicontent Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 32.00
• 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:DGCONTENT, the sentiment is Neutral. The current price of 32 is below the 20-day moving average (MA) of 32.25, below the 50-day MA of 33.43, and below the 200-day MA of 38.48, indicating a neutral trend. The MACD of -0.12 indicates Negative momentum. The RSI at 51.51 is Neutral, neither overbought nor oversold. The STOCH value of 32.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:DGCONTENT.

Digicontent Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAMBHAAV	58 Neutral	₹1.64B	-42,500.00	―	―	-4.53%	-100.15%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
DGCONTENT	54 Neutral	₹1.92B	9.60	―	―	4.81%	17.58%
BAGFILMS	53 Neutral	₹1.21B	18.91	―	―	10.86%	249.20%
RADIOCITY	49 Neutral	₹2.30B	-5.10	―	―	-12.75%	-809.36%
DNAMEDIA	42 Neutral	₹400.21M	11.03	―	―	―	―
CYBERMEDIA	41 Neutral	₹338.27M	-3.26	―	―	3.93%	-6902.88%

Digicontent Ltd. Corporate Events

Digicontent Files SEBI Demat Compliance Certificate for December 2025 Quarter

Digicontent Limited has submitted to the stock exchanges a compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended 31 December 2025. The certificate from KFin Technologies confirms that all dematerialisation requests during the period were processed within the prescribed timelines, with share certificates verified, mutilated and cancelled, the depositories recorded as registered owners where applicable, and confirmations provided to both depositories and exchanges, underscoring the company’s adherence to securities handling and listing norms for its equity shares.

Digicontent Limited Announces Q2 2025 Financial Results

Digicontent Limited announced the approval of its unaudited financial results for the quarter and half-year ending September 30, 2025, during a board meeting held on November 4, 2025. The results, which include both standalone and consolidated figures, were reviewed by the company’s statutory auditors, S.R. Batliboi & Associates LLP, and showed compliance with Indian Accounting Standards. This announcement reflects the company’s ongoing commitment to transparency and regulatory compliance, potentially impacting its market positioning and stakeholder confidence.