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Magellanic Cloud Ltd. (IN:MCLOUD)
:MCLOUD
India Market
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Magellanic Cloud Ltd. (MCLOUD) AI Stock Analysis

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IN:MCLOUD

Magellanic Cloud Ltd.

(MCLOUD)

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Outperform 72 (OpenAI - 5.2)
Rating:72Outperform
Price Target:
₹32.00
▼(-46.33% Downside)
Action:Reiterated
Date:06/20/26
The score is driven primarily by strong profitability and revenue/earnings growth, but it is held back by materially weaker operating and free cash flow and rising debt. Valuation is supportive (moderate P/E and high dividend yield), while technicals are mixed with positive near-term momentum but a still-weak longer-term trend versus the 200-day average.
Positive Factors
High Profitability
Sustained high gross, operating and net margins indicate durable pricing power and efficient service delivery for an IT services firm. Strong margins enhance ability to fund R&D, pay dividends and absorb cost volatility, supporting stable profitability over coming quarters.
Negative Factors
Weakened Cash Generation
A sharp decline in operating and free cash flow materially reduces internal funding for capex, working capital and shareholder returns. Persistent cash conversion weakness can force external financing, constrain reinvestment, and limit strategic flexibility over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
High Profitability
Sustained high gross, operating and net margins indicate durable pricing power and efficient service delivery for an IT services firm. Strong margins enhance ability to fund R&D, pay dividends and absorb cost volatility, supporting stable profitability over coming quarters.
Read all positive factors

Magellanic Cloud Ltd. (MCLOUD) vs. iShares MSCI India ETF (INDA)

Magellanic Cloud Ltd. Business Overview & Revenue Model

Company Description
Magellanic Cloud Limited, an IT services firm headquartered in Hyderabad, India, and established in 1981 (originally South India Projects Limited), offers a broad and advanced portfolio of digital and technology-enabled solutions. Their comprehens...

Magellanic Cloud Ltd. Financial Statement Overview

Summary
Strong profitability and growth (FY2025 gross margin ~46%, operating margin ~28%, net margin ~17%; revenue up from ~5.97B to ~6.98B; net income up from ~1.03B to ~1.14B) are tempered by a sharp deterioration in cash generation (operating cash flow down to ~0.92B from ~1.43B; free cash flow down to ~0.27B from ~0.84B) alongside rising debt (~2.57B to ~2.92B).
Income Statement
86
Very Positive
Balance Sheet
78
Positive
Cash Flow
56
Neutral
BreakdownTTMMar 2025Mar 2024
Income Statement
Total Revenue3.21B6.98B5.97B
Gross Profit1.35B2.96B2.77B
EBITDA1.03B2.23B2.09B
Net Income501.55M1.14B1.03B
Balance Sheet
Total Assets10.32B11.53B8.89B
Cash, Cash Equivalents and Short-Term Investments603.10M1.26B536.96M
Total Debt2.71B2.92B2.57B
Total Liabilities4.53B4.66B3.71B
Stockholders Equity5.78B6.86B5.17B
Cash Flow
Free Cash Flow811.07M59.25M838.75M
Operating Cash Flow1.90B705.25M1.43B
Investing Cash Flow-1.65B-1.65B-635.28M
Financing Cash Flow-128.87M668.04M-483.44M

Magellanic Cloud Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
₹18.62B16.280.11%16.85%-43.20%
69
Neutral
₹18.66B13.490.42%14.06%21.84%
63
Neutral
₹33.64B116.970.14%12.53%-9.91%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
55
Neutral
₹83.22B-522.5549.78%-127.94%
50
Neutral
₹30.79B-137.340.16%106.23%32.34%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:MCLOUD
Magellanic Cloud Ltd.
29.23
-44.85
-60.54%
IN:63MOONS
63 Moons Technologies Ltd.
670.50
-204.62
-23.38%
IN:E2E
E2E Networks Ltd.
425.45
-2,109.35
-83.22%
IN:NPST
Network People Services Technologies Limited
1,577.20
-344.82
-17.94%
IN:SAKSOFT
Saksoft Limited
139.85
-48.67
-25.82%

Magellanic Cloud Ltd. Corporate Events

Magellanic Cloud Says Share Price Surge Is Market-Driven, Not News-Led
Jun 20, 2026
Magellanic Cloud Limited addressed recent sharp movements in its share price and trading volumes after queries from the Bombay Stock Exchange and National Stock Exchange. The company stated that all material information is already in the public do...
Magellanic Cloud Publishes FY 2026 Audited Results in Newspapers and Online
May 27, 2026
Magellanic Cloud Limited has notified the stock exchanges that it has published its audited standalone and consolidated financial results for the quarter and financial year ended 31 March 2026 in Business Standard and Mana Telangana. The company h...
Magellanic Cloud files audited FY26 results with Indian exchanges
May 27, 2026
Magellanic Cloud Limited has notified the stock exchanges that it has released its audited standalone and consolidated financial results for the quarter and full financial year ended March 31, 2026. The company has also made the press release on t...
Magellanic Cloud files audited FY26 results with Indian exchanges
May 27, 2026
Magellanic Cloud Limited has announced that it has released its audited standalone and consolidated financial results for the quarter and full financial year ended March 31, 2026. The company has submitted a formal press release on these results t...
Magellanic Cloud Adds Global Investor Ravi Janarthanan to Board as Non-Executive Director
Apr 11, 2026
Magellanic Cloud Limited has strengthened its board structure with the appointment of entrepreneur and global investor Ravi Janarthanan as a non-executive, non-independent additional director, effective April 11, 2026. Janarthanan brings cross-sec...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 20, 2026