Dynacons Systems & Solutions Ltd. (DSSL) AI Stock Analysis

• Market Cap: ₹12.81B
• Dividend Yield: 0.05%
• Average Volume (3M): 1.89K
• Price to Earnings (P/E): 16.2
• Beta (1Y): 1.42
• Revenue Growth: 16.27%
• EPS Growth: 24.79%
• Country: IN
• Employees: 1,071
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 17.81
• Shares Outstanding: 12,725,330
• 10 Day Avg. Volume: 3,135
• 30 Day Avg. Volume: 1,894
• PEG Ratio: 0.54
• Price to Book (P/B): 5.85
• Price to Sales (P/S): 1.07
• P/FCF Ratio: 36.65
• 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: 74 Outperform
• Price Target: ₹1,082.00 ▲(7.67% Upside)

Dynacons Systems & Solutions Ltd. demonstrates strong financial performance with consistent revenue growth and effective cash flow management, which are the most significant factors contributing to the score. The valuation is reasonable with a good dividend yield, adding to the stock's attractiveness. Technical analysis indicates mixed signals, with a bearish trend but neutral momentum, slightly dampening the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability.

Cash Flow Management

Improved cash flow management supports business expansion and shareholder returns, ensuring financial resilience and operational flexibility.

Profitability

Strong EBIT and EBITDA margins reflect effective cost management and operational efficiency, contributing to sustainable profitability.

Negative Factors

Net Profit Margin

While other margins are strong, improving the net profit margin is crucial for maximizing profitability and long-term financial health.

Liability Management

Monitoring liabilities is essential to maintain financial flexibility and prevent potential constraints on future growth opportunities.

Debt Levels

A moderate debt-to-equity ratio suggests cautious leverage use, but careful management is needed to avoid financial strain.

Dynacons Systems & Solutions Ltd. Business Overview & Revenue Model

Company Description

Dynacons Systems & Solutions Limited operates as an IT solutions provider in India. The company offers system integration services, such as architecture, integration, and management of custom application and information infrastructures; and datacenter solutions comprising hyper converged infrastructure, server virtualization, software defined storage, enterprise backup and recovery solutions, data replication, DR automation, power and cooling, fire and safety, electrical and civil works, and physical access control solutions. It also provides workplace solutions consisting of design and development of mobility strategies, BYOD implementation integration and migration, monitoring management and end user support, MS infra management tools, IT asset management services, secure virtual desktop, print services, unified communication, and workforce optimization; and network monitoring and management solutions comprising network monitoring of bandwidth utilization, network errors/collisions, network troubleshooting, day-to-day network operations, network performance monitoring, and tuning network operating systems. In addition, the company offers project management and execution solutions; and managed services, such as data center and network management, service desk, managed security, cloud, infrastructure management, IT staff augmentation, and vendor management services. It serves BFSI, healthcare/pharmaceuticals, and other enterprises, as well as governments and PSUs. The company also exports its products. Dynacons Systems & Solutions Limited was incorporated in 1995 and is based in Mumbai, India.

How the Company Makes Money

Dynacons Systems & Solutions Ltd. generates revenue through several key streams. Primarily, the company earns income by providing IT consulting services, which include assessing client needs and developing customized technology solutions. Additionally, DSSL sells hardware and software products, often partnering with major technology vendors to offer a range of solutions. Managed services, which encompass ongoing support and maintenance for IT systems, also contribute significantly to the company's revenue. The company has established strategic partnerships with leading technology providers, enhancing its service offerings and expanding its market reach. Furthermore, DSSL engages in project-based work, where it undertakes specific technology implementation projects for clients, which can provide substantial one-time revenue. Overall, the combination of product sales, consulting, managed services, and strategic partnerships forms the backbone of DSSL's revenue model.

Dynacons Systems & Solutions Ltd. Financial Statement Overview

Summary

Dynacons Systems & Solutions Ltd. shows a strong financial position with consistent revenue growth and improving profitability. The balance sheet is robust, with a healthy equity base and manageable debt levels. Cash flow management is effective, supporting business expansion and shareholder returns. The company is well-positioned for future growth, though maintaining control over liabilities and enhancing profit margins could further strengthen its financial health.

Income Statement

Dynacons Systems & Solutions Ltd. has demonstrated strong revenue growth over the years, with a noticeable increase from 32.88 billion INR in 2020 to 126.72 billion INR in 2025. The gross profit margin is healthy, and the net profit margin shows consistent improvement. The EBIT and EBITDA margins are robust, reflecting effective cost management and operational efficiency. However, there is room for improvement in net profit margin to further enhance profitability.

Balance Sheet

The company's balance sheet shows a stable increase in stockholders' equity, indicating growing shareholder value. The debt-to-equity ratio is moderate, suggesting a balanced approach to leveraging debt for growth. The equity ratio has strengthened over the years, reflecting a solid asset base. Nonetheless, the company should monitor its total liabilities to maintain financial flexibility.

Cash Flow

Operating cash flow has improved significantly, indicating better cash generation from core operations. Free cash flow growth is positive, supporting the company's ability to fund expansion and return value to shareholders. The operating cash flow to net income ratio is solid, suggesting efficient cash conversion. Continued focus on cash flow management will be crucial to support future growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	12.75B	12.67B	10.24B	8.04B	6.54B	4.36B
Gross Profit	1.25B	1.18B	918.75M	681.39M	394.67M	252.49M
EBITDA	1.19B	1.12B	824.57M	569.66M	307.79M	193.29M
Net Income	744.02M	723.95M	538.19M	334.54M	164.29M	85.37M
Balance Sheet
Total Assets	0.00	7.77B	5.87B	4.03B	2.99B	1.81B
Cash, Cash Equivalents and Short-Term Investments	1.05B	1.32B	28.63M	162.92M	22.36M	97.33M
Total Debt	0.00	1.39B	357.68M	686.28M	641.45M	435.13M
Total Liabilities	-2.31B	5.46B	4.30B	2.98B	2.31B	1.31B
Stockholders Equity	2.31B	2.31B	1.58B	1.05B	679.72M	495.91M
Cash Flow
Free Cash Flow	0.00	368.71M	287.00M	128.27M	-157.76M	65.51M
Operating Cash Flow	0.00	660.42M	292.47M	131.29M	-133.57M	90.73M
Investing Cash Flow	0.00	-279.46M	-5.38M	-3.01M	-11.71M	-28.22M
Financing Cash Flow	0.00	-62.69M	-421.38M	-53.71M	136.30M	-4.54M

Dynacons Systems & Solutions Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1004.90
• 50DMA: Positive
• 100DMA: Positive
• 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:DSSL, the sentiment is Positive. The current price of 1004.9 is above the 20-day moving average (MA) of 984.18, above the 50-day MA of 947.92, and below the 200-day MA of 1007.60, indicating a neutral trend. The MACD of 21.58 indicates Negative momentum. The RSI at 55.04 is Neutral, neither overbought nor oversold. The STOCH value of 52.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:DSSL.

Dynacons Systems & Solutions Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DSSL	74 Outperform	₹12.81B	16.25	―	0.05%	16.27%	24.79%
ADSL	66 Neutral	₹7.36B	18.35	―	0.96%	20.23%	-17.78%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
KELLTONTEC	58 Neutral	₹8.81B	9.50	―	―	13.11%	19.26%
RAMCOSYS	52 Neutral	₹17.95B	207.55	―	―	20.41%	―
SUBEXLTD	50 Neutral	₹5.81B	-110.48	―	―	-9.53%	96.99%

Dynacons Systems & Solutions Ltd. Corporate Events

Dynacons Confirms SEBI Dematerialisation Compliance for Q3 FY2025

Dynacons Systems & Solutions Ltd. has notified the stock exchanges that it has received a compliance certificate from its registrar and share transfer agent, Bigshare Services Pvt. Ltd., under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018, for the quarter ended December 31, 2025. The registrar confirmed that all securities submitted for dematerialisation during the period were duly processed, that the underlying securities are listed on the relevant stock exchanges, and that physical certificates received for dematerialisation were mutilated, cancelled and replaced in the register of members with the depositories’ names as registered owners within the prescribed 15-day timeline, reinforcing Dynacons’ adherence to regulatory requirements on share dematerialisation and investor record-keeping.

Dynacons Secures Rs 74.99 Crore DaaS Project with J&K Bank

Dynacons Systems & Solutions Ltd. has secured a significant Device-as-a-Service (DaaS) project with Jammu & Kashmir Bank valued at Rs 74.99 crores. This project involves deploying 9,851 advanced desktops across 1,019 branches in India over five years, covering the entire device lifecycle from procurement to e-waste management. This contract enhances Dynacons’ market position in the IT services sector and underscores its capability to manage large-scale IT projects, potentially boosting stakeholder confidence.

Dynacons Systems & Solutions Ltd. Releases Q2 2025 Financial Results

Dynacons Systems & Solutions Ltd. has announced its unaudited standalone and consolidated financial results for the quarter and half-year ending September 30, 2025. The publication of these results in prominent newspapers signifies the company’s compliance with SEBI regulations and its commitment to transparency with stakeholders. This announcement may impact the company’s market perception and investor confidence as it provides insights into the company’s financial health and operational performance.