OnMobile Global Limited (ONMOBILE) AI Stock Analysis

• Market Cap: ₹5.67B
• Dividend Yield: N/A
• Average Volume (3M): 126.19K
• Price to Earnings (P/E): 31.9
• Beta (1Y): 1.43
• Revenue Growth: 15.85%
• EPS Growth: N/A
• Country: IN
• Employees: 449
• Sector: Technology
• Sector Strength: 88
• Industry: Telecommunications Services
• EPS (TTM): 0.34
• Shares Outstanding: 106,321,350
• 10 Day Avg. Volume: 61,948
• 30 Day Avg. Volume: 126,187
• PEG Ratio: 0.03
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 0.87
• P/FCF Ratio: -10.19
• 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: 47 Neutral
• Price Target: ₹50.00 ▼(-15.65% Downside)

The overall stock score of 47 reflects significant financial and technical challenges. The company's declining financial performance, characterized by negative revenue growth and profitability issues, is the most significant factor. Technical indicators also suggest a bearish trend, while the high P/E ratio indicates overvaluation. The absence of a dividend yield further detracts from the stock's appeal.

Positive Factors

Low leverage & strong equity base

OnMobile's very low debt-to-equity (0.07) and high equity ratio provide durable financial flexibility. This reduces interest burden and bankruptcy risk, allowing the company to fund platform development, absorb shocks, or pursue strategic initiatives without heavy leverage over the next several months.

Diversified monetization via operator partnerships

The company's multi-channel monetization—subscription recurring fees, transaction revenue, ad campaigns, and licensing/managed services—creates several durable income levers. Reliance on carrier billing and operator distribution supports recurring revenues and long-term revenue visibility if partner terms remain stable.

Platform ownership and D2C plus operator channels

Owning platforms and distribution across operator and direct channels is a structural advantage: platforms scale with low incremental cost and enable cross-selling and higher lifetime value. Control of both operator integrations and D2C routes supports margin improvement and strategic flexibility over months.

Negative Factors

Declining revenue and margins

A multi-year revenue decline and collapsing margins demonstrate weakening product-market fit or pricing/competitive pressure. Persistent top-line contraction and lower gross margins reduce operating leverage, constrain investment capacity, and make profitable scale harder to achieve in the medium term without strategic change.

Consistent negative free cash flow

Sustained negative free cash flow undermines financial self-sufficiency: it limits reinvestment in content/platforms, raises funding needs, and increases reliance on external financing or equity. Over 2–6 months this magnifies execution risk and can delay product or commercial initiatives vital to recovery.

Eroding equity and negative return on equity

Falling shareholders' equity and a negative ROE indicate value destruction and reduced capital resilience. This structural deterioration limits the firm's ability to absorb future losses, weakens negotiating position with partners, and may constrain access to favorable financing until profitability and ROE recover.

OnMobile Global Limited Business Overview & Revenue Model

Company Description

OnMobile Global Limited provides telecom value added services in India and internationally. It offers apps and services under the ONMO brand name; and carrier services, such as ring back tones, videos, contests, and games. The company was formerly known as OnMobile Asia Pacific Private limited and changed its name to OnMobile Global Limited in August 2007. OnMobile Global Limited was incorporated in 2000 and is headquartered in Bengaluru, India.

How the Company Makes Money

OnMobile generates revenue through several key streams, primarily from providing mobile value-added services to telecom operators. The company charges operators for its licensing and usage of its VAS platforms, which include ringback tones, music streaming, and other digital content services. Additionally, ONMOBILE earns revenue from partnerships with content providers and media companies, allowing them to distribute their offerings through OnMobile's platforms. The company's ability to scale its services across different markets and its focus on innovation in mobile technology further contribute to its financial performance.

OnMobile Global Limited Financial Statement Overview

Summary

OnMobile Global Limited faces significant financial challenges, characterized by declining revenues, profitability issues, and cash flow problems. The company's low leverage and strong equity ratio are positive aspects but are overshadowed by negative net income and declining stockholders' equity. The deteriorating financial performance demands strategic action to improve operational efficiency and restore profitability.

Income Statement

The income statement shows a decline in revenue from 2020 to 2025, with a negative revenue growth rate of approximately -5.5% over this period. Gross profit margin decreased from 51% in 2020 to 45.9% in 2025, indicating reduced efficiency in generating profit from sales. The company experienced a net loss in 2025, reflected by a negative net profit margin of -7.01%, compared to a positive margin of 4.82% in 2020, indicating deteriorating profitability. The decline in EBIT and EBITDA margins also highlights operational challenges.

Balance Sheet

The balance sheet presents a stable financial structure with a debt-to-equity ratio of 0.07 in 2025, suggesting low leverage. The equity ratio stands at 71.5%, indicating strong equity financing. However, the decline in stockholders' equity from 2020 to 2025 signals potential financial stress. Return on equity turned negative in 2025 due to net losses, contrasting with a positive ROE in previous years.

Cash Flow

Cash flow analysis reveals negative free cash flow in recent years, with a free cash flow of -488.85 million in 2025, highlighting cash management challenges. The operating cash flow to net income ratio turned negative, reflecting operational inefficiencies. The free cash flow to net income ratio also indicates cash flow issues due to consistent net losses.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.75B	5.73B	5.13B	5.25B	5.20B	5.51B
Gross Profit	2.72B	2.63B	1.37B	2.65B	2.50B	2.72B
EBITDA	368.51M	37.10M	435.69M	189.48M	591.45M	816.24M
Net Income	-91.74M	-401.73M	152.37M	67.27M	324.56M	459.82M
Balance Sheet
Total Assets	0.00	8.70B	8.85B	9.07B	9.11B	9.06B
Cash, Cash Equivalents and Short-Term Investments	399.56M	296.91M	633.36M	859.59M	1.35B	2.08B
Total Debt	0.00	438.68M	181.28M	179.36M	109.76M	76.68M
Total Liabilities	-6.24B	2.46B	2.36B	2.53B	2.58B	2.80B
Stockholders Equity	6.24B	6.23B	6.50B	6.55B	6.53B	6.26B
Cash Flow
Free Cash Flow	0.00	-488.85M	-320.11M	-438.06M	-792.00M	136.36M
Operating Cash Flow	0.00	-238.78M	446.11M	443.63M	-242.16M	394.13M
Investing Cash Flow	0.00	-315.26M	-567.99M	-335.85M	169.48M	-129.11M
Financing Cash Flow	0.00	223.77M	-8.94M	-84.70M	-114.51M	-232.54M

OnMobile Global Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 59.28
• 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:ONMOBILE, the sentiment is Neutral. The current price of 59.28 is above the 20-day moving average (MA) of 52.06, above the 50-day MA of 55.80, and above the 200-day MA of 57.02, indicating a bearish trend. The MACD of -1.97 indicates Negative momentum. The RSI at 47.29 is Neutral, neither overbought nor oversold. The STOCH value of 75.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:ONMOBILE.

OnMobile Global Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RSYSTEMS	73 Outperform	₹43.55B	23.05	―	3.06%	8.36%	36.68%
SAKSOFT	72 Outperform	₹22.66B	17.11	―	0.42%	21.17%	27.66%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
INSPIRISYS	61 Neutral	₹3.38B	9.41	―	―	-1.07%	187.83%
CENTUM	55 Neutral	₹34.75B	299.32	―	0.25%	10.29%	―
MOLDTECH	54 Neutral	₹3.92B	135.43	―	0.63%	-17.65%	-89.27%
ONMOBILE	47 Neutral	₹5.67B	31.85	―	―	15.85%	―