Megasoft Limited (MEGASOFT) AI Stock Analysis

• Market Cap: ₹14.32B
• Dividend Yield: N/A
• Average Volume (3M): 37.41K
• Price to Earnings (P/E): 10.4
• Beta (1Y): 0.82
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IN
• Employees: 885
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.08
• Shares Outstanding: 73,770,040
• 10 Day Avg. Volume: 26,231
• 30 Day Avg. Volume: 37,409
• PEG Ratio: -0.09
• Price to Book (P/B): 2.58
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 19.07
• 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: 60 Neutral
• Price Target: ₹218.00 ▲(5.09% Upside)

The score is held back primarily by weak financial performance—especially the severe revenue/profitability deterioration and large recent losses—despite positive recent operating/free cash flow and a still-solvent balance sheet. Technicals are a meaningful positive with price above key moving averages and supportive momentum indicators, while valuation appears modest on P/E but is tempered by weak earnings quality and no dividend support.

Megasoft Limited Business Overview & Revenue Model

Company Description

Megasoft Limited, together with its subsidiaries, provides information technology services focusing on telecommunication domain in the United States, Latin America, Asia, Europe, the Middle East and Africa, and the Asia-Pacific. It offers mobile infrastructure solutions and services, including XIUS mobile services platform (MSP), which provides end-to-end infrastructure for 3G, 4G, 5G mobile operators, MVNE/mobile virtual network operators, converged broadband 4G LTE service providers, mobile operator wholesale departments, and machine-to-machine/Internet of Things (IoT) service providers; XIUS MSP that offers a suite of infrastructure options, which enable real-time rating and billing; and MSP's comprehensive billing module that provide mobile operators a platform to offer a range of services to their subscribers. The company also provides real time rating and charging, comprehensive customer, interconnect and wholesale billing, provisioning and mediation, integrated messaging solutions; XIUS IoT platform, a software-based platform for the new mobile world of connected devices and emerging services; and XIUS payments manager, a digital mobile payment platform, which offer channel management, banking and payment gateways, digital wallet and loyalty systems, p-2-p payments, settlements, and a regulatory compliant reporting system. In addition, it offers analytics, cloud, cyber security, mobile enablement, and IoT services. The company was founded in 1994 and is based in Hyderabad, India.

How the Company Makes Money

Megasoft Limited Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.85B	0.00	0.00	19.71M	523.96M	594.02M
Gross Profit	1.82B	-44.66M	-1.99M	-18.93M	94.58M	273.70M
EBITDA	1.97B	311.29M	284.73M	251.10M	109.89M	100.79M
Net Income	1.23B	-299.37M	-127.47M	88.29M	46.21M	18.48M
Balance Sheet
Total Assets	0.00	3.64B	3.66B	3.77B	2.86B	3.17B
Cash, Cash Equivalents and Short-Term Investments	95.46M	95.46M	170.49M	22.86M	352.43M	67.68M
Total Debt	0.00	1.39B	1.47B	1.46B	290.32M	344.56M
Total Liabilities	-1.44B	2.21B	1.85B	1.84B	1.02B	1.76B
Stockholders Equity	1.44B	1.44B	1.81B	1.93B	1.85B	1.42B
Cash Flow
Free Cash Flow	0.00	194.75M	163.77M	136.85M	153.23M	165.30M
Operating Cash Flow	0.00	367.40M	275.63M	152.28M	164.74M	198.57M
Investing Cash Flow	0.00	-187.29M	97.23M	-1.33B	-100.52M	-32.94M
Financing Cash Flow	0.00	-258.90M	-174.48M	851.73M	220.53M	-156.31M

Megasoft Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MINDTECK	77 Outperform	₹6.78B	21.80	―	0.50%	0.23%	10.64%
INNOVANA	68 Neutral	₹8.20B	16.83	―	―	25.98%	18.29%
ONWARDTEC	62 Neutral	₹6.74B	16.36	―	1.84%	10.49%	69.49%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
MEGASOFT	60 Neutral	₹14.32B	10.38	―	―	―	―
TRACXN	52 Neutral	₹4.08B	-38.56	―	―	―	―
SUBEXLTD	50 Neutral	₹6.01B	-114.33	―	―	-9.53%	96.99%

Megasoft Limited Corporate Events

Megasoft Limited Opens Special Window for Physical Share Transfers

Megasoft Limited has announced the opening of a special window for the re-lodgment of physical share transfer requests, applicable to deeds lodged before April 1, 2019, that were rejected or not processed due to documentation issues. This window, open from July 7, 2025, to January 6, 2026, aims to address past procedural lapses, although no requests have been processed during the period from July to November 2025, as reported by their Registrar and Share Transfer Agent.

Megasoft Limited Fined for Board Composition Non-Compliance

Megasoft Limited, a company listed on the BSE and NSE, has been fined for non-compliance with SEBI’s Regulation 17 regarding board composition. The company fell short of the required number of directors following a resignation. Megasoft is currently in the process of amalgamating with Sigma Advanced Systems Private Limited, which will include reconstituting its board to meet regulatory requirements. The fine, totaling Rs. 5,42,800, does not materially impact the company’s financials or operations, and Megasoft is taking steps to address the compliance issue.

Megasoft Limited Opens Special Window for Physical Share Transfer Requests

Megasoft Limited has announced the opening of a special window for the re-lodgment of transfer requests for physical shares. This initiative is targeted at transfer deeds lodged before April 1, 2019, which were previously rejected or not processed due to documentation issues. The window will be open for six months from July 7, 2025, to January 6, 2026, providing shareholders with an opportunity to rectify past deficiencies and complete their transfer requests. This move is expected to streamline share transfer processes and potentially improve shareholder satisfaction.

Megasoft Limited Announces Q2 2025 Financial Results

Megasoft Limited announced the approval of its unaudited financial results for the quarter and half year ending September 30, 2025, during a board meeting on November 8, 2025. The results, both standalone and consolidated, will be published in English and Tamil newspapers and made available on the company’s website and stock exchange platforms, reflecting the company’s commitment to transparency and regulatory compliance.

Megasoft Limited Completes Acquisition of Nasmyth Group

Megasoft Limited has announced the completion of its acquisition of Nasmyth Group Limited through its wholly owned subsidiary, Sigma Advanced Systems UK LTD. This acquisition is expected to enhance Megasoft’s market positioning and expand its operational capabilities in the UK, potentially offering new opportunities for growth and development.

Megasoft Expands Aerospace and Defense Reach with Nasmyth Acquisition

Megasoft Limited announced that its wholly owned subsidiary, Sigma Advanced Systems UK LTD, has signed a Share Purchase Agreement to acquire a 100% stake in Nasmyth Group Limited, a UK-based company. This acquisition, valued at GBP 17.80 million, is set to enhance Megasoft’s global platform in the aerospace and defense sector, aligning with its strategy to expand inorganically. The acquisition is expected to be completed within four weeks, subject to conditions being met, and it is not categorized as a related party transaction.