Saregama India Limited (SAREGAMA) AI Stock Analysis

• Market Cap: ₹92.31B
• Dividend Yield: 0.94%
• Average Volume (3M): 24.64K
• Price to Earnings (P/E): 45.2
• Beta (1Y): 0.97
• Revenue Growth: 38.81%
• EPS Growth: 6.67%
• Country: IN
• Employees: 332
• Sector: Consumer Cyclical
• Sector Strength: 71
• Industry: Entertainment
• EPS (TTM): 1.90
• Shares Outstanding: 192,809,500
• 10 Day Avg. Volume: 25,860
• 30 Day Avg. Volume: 24,645
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹548.00
• Price Target Upside: 14.41% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ₹548.00 ▲(14.41% Upside)

Saregama India Limited demonstrates a strong financial foundation with impressive revenue and profit growth, low leverage, and robust cash flows, which significantly contribute to its overall stock score. However, technical indicators suggest potential bearish momentum, and the high P/E ratio indicates limited valuation appeal. These factors collectively result in a moderate overall stock score.

Saregama India Limited Business Overview & Revenue Model

Company Description

Saregama India Limited (SAREGAMA) is a prominent Indian music label and content provider, recognized for its vast catalog of music across various languages and genres. The company is a pioneer in the Indian music industry with a rich heritage of over a century. Saregama is involved in music publishing, film and television content production, and digital distribution. It also offers a range of consumer products like the Carvaan, a digital music player pre-loaded with classic songs.

How the Company Makes Money

Saregama India Limited generates revenue through multiple streams. The primary source is the licensing and distribution of its extensive music catalog to digital streaming platforms, television channels, and other media. The company also earns from physical sales, including its Carvaan music players, which are popular among consumers seeking nostalgia through pre-loaded classic songs. Additionally, Saregama produces and distributes films and television content, further diversifying its income. Significant partnerships with digital platforms and media houses enhance its distribution reach and revenue potential. The company's strategic focus on leveraging its vast content library through modern digital channels and consumer products like Carvaan plays a crucial role in its revenue model.

Saregama India Limited Financial Statement Overview

Summary

Saregama India Limited exhibits strong financial health with significant revenue and profit growth, low leverage, and robust cash flows. The company has effectively managed costs and maintained operational efficiency, resulting in improved profitability margins. The balance sheet is stable with minimal debt, and cash flows indicate strong liquidity and cash generation capabilities.

Income Statement

Saregama India Limited has demonstrated strong revenue growth with a notable increase of 45.9% from 2024 to 2025. The gross profit margin stands at 38.6%, showcasing effective cost management. The net profit margin improved to 17.4%, indicating enhanced profitability. EBIT and EBITDA margins are robust at 30.9% and 23.6%, respectively, underscoring operational efficiency. Overall, the company exhibits a healthy financial trajectory with solid top-line and bottom-line growth.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.002, reflecting minimal leverage and financial risk. The return on equity (ROE) is impressive at 12.9%, indicating efficient use of shareholder funds. The equity ratio is solid at 75.6%, pointing to a stable capital structure with substantial equity backing. The company's financial position is sound, with a high level of cash and short-term investments.

Cash Flow

The cash flow statement shows a significant improvement in free cash flow, with a growth rate of 1646.4% from 2024 to 2025. The operating cash flow to net income ratio is 1.62, indicating strong cash generation relative to profits. The free cash flow to net income ratio stands at 0.83, highlighting effective cash management. Overall, cash flow exhibits positive trends with improved liquidity and operational cash generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	11.71B	11.71B	8.03B	7.37B	5.76B	4.33B
Gross Profit	4.52B	4.52B	4.73B	4.60B	3.57B	2.93B
EBITDA	3.15B	2.77B	3.10B	2.70B	2.30B	1.58B
Net Income	2.04B	2.04B	1.98B	1.85B	1.53B	1.13B
Balance Sheet
Total Assets	20.95B	20.95B	20.34B	18.43B	16.88B	7.84B
Cash, Cash Equivalents and Short-Term Investments	6.55B	6.55B	1.74B	2.55B	6.83B	1.33B
Total Debt	27.00M	27.00M	54.33M	7.13M	13.03M	11.02M
Total Liabilities	5.08B	5.08B	5.61B	3.63B	3.07B	2.75B
Stockholders Equity	15.83B	15.83B	14.69B	13.42B	13.78B	5.06B
Cash Flow
Free Cash Flow	0.00	1.70B	9.71M	-183.60M	217.12M	1.68B
Operating Cash Flow	3.74B	3.31B	932.45M	848.20M	944.25M	1.90B
Investing Cash Flow	-2.64B	-2.21B	165.94M	-1.41B	-6.30B	-1.36B
Financing Cash Flow	-978.50M	-987.30M	-848.64M	-756.00M	6.77B	-494.80M

Saregama India Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 479.00
• 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:SAREGAMA, the sentiment is Negative. The current price of 479 is below the 20-day moving average (MA) of 487.04, below the 50-day MA of 506.76, and below the 200-day MA of 508.61, indicating a bearish trend. The MACD of -5.25 indicates Negative momentum. The RSI at 46.95 is Neutral, neither overbought nor oversold. The STOCH value of 42.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SAREGAMA.

Saregama India Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAREGAMA	71 Outperform	₹92.31B	45.23		0.94%	38.81%	6.67%
ZEEL	70 Neutral	₹108.83B	15.44		0.88%	-9.06%	125.27%
BALAJITELE	66 Neutral	₹11.23B	11.18		―	-39.44%	844.50%
Sector *	61 Neutral	$17.22B	11.53	-5.99%	3.08%	1.40%	-15.51%
SHEMAROO	50 Neutral	₹3.27B	―		―	-5.35%	-99.93%
RADAAN	47 Neutral	₹200.94M	61.42		―	7.22%	―

Saregama India Limited Corporate Events

Saregama India Limited’s Penalty Reduced by Appellate Tribunal

Saregama India Limited announced that it received a final order from the Appellate Tribunal under SAFEMA, reducing a penalty from Rs. 10,00,000 to Rs. 2,00,000. This penalty was initially imposed due to delayed filing of Annual Performance Reports for its subsidiary in Mauritius, attributed to unforeseen circumstances like fire and staff attrition. The reduction in penalty signifies a positive outcome for Saregama, indicating minimal financial impact as the penalty will be adjusted against a pre-deposit.