Hexaware Technologies Limited (HEXT) AI Stock Analysis

• Market Cap: ₹432.21B
• Dividend Yield: 1.61%
• Average Volume (3M): 31.47K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.40
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IN
• Employees: 31,564
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 6.36
• Shares Outstanding: 609,007,000
• 10 Day Avg. Volume: 10,602
• 30 Day Avg. Volume: 31,474
• PEG Ratio: 2.22
• Price to Book (P/B): 8.64
• Price to Sales (P/S): 3.87
• P/FCF Ratio: 32.73
• 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: ₹870.00
• Price Target Upside: 21.51% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 66 Neutral
• Price Target: ₹785.00 ▲(9.64% Upside)

Hexaware Technologies has strong financial performance, which is the most significant factor in its overall score. However, the technical analysis indicates a bearish trend, and the lack of P/E ratio data and low dividend yield contribute to a moderate valuation score. The absence of earnings call and corporate events data limits additional insights.

Hexaware Technologies Limited Business Overview & Revenue Model

Company Description

Hexaware Technologies Limited provides information technology consulting, software development, and business process services worldwide. The company operates through Travel and Transportation, Financial Services, Banking, Healthcare and Insurance, Hi-Tech Professional Services, and Manufacturing and Consumer segments. It offers application services, including enterprise architecture consulting, application development, application rationalization and modernization, application support and maintenance, quality assurance and testing, and security and compliance; cybersecurity services, such as governance, risk, and compliance, hybrid cloud security, DevSecOps, and digital workplace security; automation-as-a-service and IT ops automation; and generative AI solutions comprising secure access, knowledge management, private LLM for legal, Tensai GPT/enterprise chatbot, multimodal connect, RapidX, case citation, personalized product recommendations, Amaze, smart sales advisor, medical coding acceleration, interaction analytics, and Bond Reco. The company provides ESG integration, net zero transition, and climate tech services; quality engineering and software testing services, such as software engineering, applications, application managed, and enterprise platform services. In addition, it offers business process, cloud, data and AI, digital IT operation, digital and software, and enterprise platform services. It serves banking, education and institutions, financial services, hi-tech, products and platforms, insurance, life sciences and healthcare, manufacturing, professional services, retail and consumer, telecom and utilities, transportation and logistics, and travel and hospitality industries. The company was formerly known as Aptech Limited and changed its name to Hexaware Technologies Limited in January 2001. The company was founded in 1990 and is based in Navi Mumbai, India. Hexaware Technologies Limited is a subsidiary of CA Magnum Holdings.

How the Company Makes Money

Hexaware Technologies generates revenue primarily through its diverse service offerings which include IT services, business process outsourcing, and consulting services. The company operates on a time-and-materials and fixed-price project basis, allowing for flexible billing according to client needs. Key revenue streams come from long-term contracts with major corporations, particularly in sectors like finance and healthcare, where they provide ongoing support and maintenance. Additionally, strategic partnerships with technology leaders enhance their service capabilities and market reach, contributing to their earnings. The company's emphasis on digital transformation services also aligns with current market trends, driving demand and revenue growth.

Hexaware Technologies Limited Financial Statement Overview

Summary

Hexaware Technologies exhibits impressive financial health with strong growth, profitability, and a solid balance sheet. The company has effectively managed its leverage and maintained healthy cash flows, positioning itself well for future growth and stability in the competitive IT services industry.

Income Statement

Hexaware Technologies has demonstrated strong revenue growth with a CAGR of approximately 14% from 2019 to 2024. The company also maintained robust gross and net profit margins, averaging around 46% and 9% respectively, indicating efficient cost management and profitability. EBIT and EBITDA margins have shown consistent improvement, reaching 15% and 16% in the latest year, reflecting operational efficiency.

Balance Sheet

The company's balance sheet is solid, with a debt-to-equity ratio consistently below 0.2, indicating low leverage. The equity ratio averages around 60%, highlighting strong capitalization. Return on equity has been stable at around 22%, demonstrating effective use of shareholder funds. The high cash reserves and negative net debt position enhance financial flexibility.

Cash Flow

Hexaware's cash flow is strong, with consistently positive free cash flow and a growth rate exceeding 100% from 2020 to 2024. The operating cash flow to net income ratio is above 1, indicating good cash conversion efficiency. The free cash flow to net income ratio is also favorable, supporting strategic investments and potential shareholder returns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	127.59B	119.74B	103.80B	92.00B	71.78B	62.62B
Gross Profit	53.59B	55.50B	46.55B	40.94B	33.69B	29.20B
EBITDA	20.29B	18.77B	15.79B	13.96B	11.98B	10.76B
Net Income	13.29B	11.76B	9.98B	8.84B	7.49B	6.21B
Balance Sheet
Total Assets	92.98B	89.94B	72.02B	65.12B	56.73B	51.38B
Cash, Cash Equivalents and Short-Term Investments	20.00B	19.77B	20.24B	12.92B	13.12B	10.11B
Total Debt	5.82B	5.74B	3.94B	4.57B	3.74B	5.93B
Total Liabilities	34.96B	36.40B	25.67B	23.89B	18.86B	19.02B
Stockholders Equity	58.04B	53.57B	46.35B	41.23B	37.88B	32.36B
Cash Flow
Free Cash Flow	15.21B	14.15B	14.51B	7.01B	8.71B	13.64B
Operating Cash Flow	16.78B	15.48B	15.16B	8.21B	9.80B	14.38B
Investing Cash Flow	-2.00B	-6.69B	-3.00B	-151.00M	-2.25B	-4.23B
Financing Cash Flow	-7.84B	-6.82B	-7.50B	-7.21B	-6.02B	-2.42B

Hexaware Technologies Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KPITTECH	―	₹313.69B	38.50	―	0.71%	17.09%	21.20%
MPHASIS	―	₹522.85B	29.38	―	1.98%	8.11%	10.73%
TATATECH	―	₹278.14B	40.11	―	1.20%	0.29%	7.17%
COFORGE	―	₹580.41B	58.18	―	0.87%	41.97%	38.73%
HEXT	―	₹432.21B	―	―	1.61%	―	―
LTTS	―	₹445.15B	34.40	―	1.36%	14.88%	-2.60%
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Hexaware Technologies Limited Corporate Events

Hexaware Technologies Appoints Eravi Gopan to Lead Global High Tech Initiatives

Hexaware Technologies has appointed Eravi Gopan as President and Global Head of High Tech, Products, and Platforms. With extensive experience in SaaS, AI, and technology services, Gopan’s leadership is expected to enhance Hexaware’s strategic focus on AI-driven delivery and platform partnerships, positioning the company to better meet the evolving needs of its global clients and drive measurable outcomes.

Hexaware Technologies Announces Record Date for 2nd Interim Dividend

Hexaware Technologies Limited has announced the record date for its second interim dividend for the financial year 2025. The announcement was made through newspaper publications in Business Standard and Navshak, indicating the company’s commitment to maintaining transparency with its stakeholders and providing timely financial updates.

Hexaware Technologies Declares Second Interim Dividend for FY 2025

Hexaware Technologies Limited has announced a second interim dividend of ₹5.75 per equity share for the financial year 2025, with a record date set for October 10, 2025. This decision reflects the company’s commitment to rewarding its shareholders and may positively influence its market perception and stakeholder confidence.

Hexaware Technologies Faces Legal Dispute in US Court

Hexaware Technologies Limited has disclosed a legal dispute involving allegations of patent infringement and breach of contract filed by Natsoft Corporation and Updraft LLC against the company and its subsidiary, Hexaware Technologies Inc., in the United States District Court, Northern District of Illinois. While the company has not yet received formal communication regarding the lawsuit, it believes the claims lack merit and anticipates no significant financial impact, with steps being taken to address the matter legally.

Hexaware Partners with Replit to Revolutionize Enterprise Software Development

Hexaware Technologies has announced a strategic partnership with Replit to enhance enterprise software development through secure Vibe Coding. This collaboration aims to democratize software development by enabling non-IT teams to create internal tools and prototypes using natural language, significantly reducing time-to-market and enhancing customization for enterprise use cases. The partnership combines Hexaware’s digital innovation strengths with Replit’s agentic software creation platform, providing secure, governed environments that comply with internal IT policies and facilitate rapid prototyping and high-velocity innovation.

Hexaware Technologies to Engage in Key Investor Conferences

Hexaware Technologies Limited has announced its participation in upcoming investor conferences, namely the Motilal Oswal 21st Annual Global Investor Conference and the Ashwamedh-Elara India Investor Conference, scheduled for early September 2025. These engagements are part of the company’s investor relations strategy, involving group meetings and one-on-one interactions to strengthen relationships with investors and analysts, potentially impacting its market perception and stakeholder confidence.

Hexaware Technologies to Participate in Key Investor Conference

Hexaware Technologies Limited announced its participation in the ‘Antique’s Flagship Investor Conference – Build India, New India’ in Mumbai on August 21, 2025. This engagement is part of the company’s investor relations strategy, involving group meetings and one-on-one interactions, which could enhance its visibility and strengthen relationships with stakeholders.