Subex Limited (SUBEXLTD) AI Stock Analysis

• Market Cap: ₹5.81B
• Dividend Yield: N/A
• Average Volume (3M): 264.43K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.07
• Revenue Growth: -9.53%
• EPS Growth: 96.99%
• Country: IN
• Employees: 828
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.05
• Shares Outstanding: 562,002,900
• 10 Day Avg. Volume: 427,974
• 30 Day Avg. Volume: 264,433
• PEG Ratio: 0.27
• Price to Book (P/B): 2.31
• Price to Sales (P/S): 2.46
• P/FCF Ratio: 95.74
• 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: 50 Neutral
• Price Target: ₹13.50 ▲(18.11% Upside)

Subex Limited's overall stock score is primarily impacted by its financial performance and valuation challenges. While the company maintains a strong equity position, profitability issues and a negative P/E ratio weigh heavily on its attractiveness. Technical indicators provide some support but are not strong enough to offset the financial and valuation concerns.

Positive Factors

Strong Equity Base

A strong equity base provides financial stability and the capacity to invest in growth opportunities, supporting long-term business resilience.

Manageable Debt Levels

Low debt levels reduce financial risk and interest burden, allowing more resources to be allocated towards strategic initiatives and innovation.

Positive Free Cash Flow

Positive free cash flow indicates the company's ability to generate cash after capital expenditures, which is crucial for funding growth and paying down debt.

Negative Factors

Profitability Challenges

Ongoing profitability challenges can hinder the company's ability to reinvest in its business and compete effectively, impacting long-term growth.

Revenue Decline

Declining revenue growth can signal weakening market position or competitive pressures, which may affect future earnings and market share.

Operational Inefficiencies

Operational inefficiencies reflected in negative EBITDA margins can limit profitability and necessitate restructuring or cost management strategies.

Subex Limited Business Overview & Revenue Model

Company Description

Subex Limited provides operations and business support systems to communication service providers (CSPs) worldwide. The company offers Fraud Management, a solution to address frauds across voice, data and digital services; Network Security, a suite off solutions, services, and consulting to secure networks and the components; Business Assurance, an active risk intelligence solution that assures revenues for business models; Partner Ecosystem Management, a platform that enables collaboration between communication services providers and their partners to manage digital and traditional partnerships; and Network Analytics, a solution to optimize network spends. It also provides IoT, IT, and OT solutions that are designed to secure connected assets, data, and investments; artificial intelligence based anomaly detection solutions that identify anomalies and mitigate risks; and digital identity solutions, as well as managed and business consulting services. The company was formerly known as Subex Azure Limited and changed its name to Subex Limited in December 2007. Subex Limited was founded in 1992 and is headquartered in Bengaluru, India.

How the Company Makes Money

Subex Limited generates revenue through a combination of software licensing, subscription services, and consulting fees. The company provides its software products on a subscription basis, allowing telecom operators to integrate and utilize its solutions for ongoing revenue assurance and fraud management. Key revenue streams include the sale of licenses for its software solutions, implementation and training services, and ongoing support and maintenance contracts. Additionally, Subex has formed strategic partnerships with telecommunications firms and technology providers, enhancing its market reach and providing bundled solutions that drive additional revenue. The company's focus on innovation and digital transformation also positions it to capitalize on emerging trends in the telecom industry, contributing to its financial performance.

Subex Limited Financial Statement Overview

Summary

Subex Limited's financial performance is mixed, with strong equity and low leverage but significant challenges in profitability and cash flow stability. Negative net margins and inconsistent cash flow metrics highlight operational inefficiencies.

Income Statement

Subex Limited has experienced volatility in its revenue and profitability. The revenue growth rate shows fluctuations, with a notable decline in recent years. The company reported a negative net profit margin in the latest period, indicating ongoing challenges in achieving profitability. Despite a positive gross profit margin, the EBITDA margin was negative, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows a strong equity position, with a healthy equity ratio. However, the company has faced a declining return on equity due to negative net income. The debt-to-equity ratio remains low, suggesting manageable leverage levels, which is a positive aspect.

Cash Flow

Cash flow has been inconsistent, with fluctuations in operating cash flow and free cash flow over the years. The company achieved a positive free cash flow in the latest period, but the operating cash flow to net income ratio indicates challenges in converting income to cash, partly due to negative net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.84B	2.86B	3.10B	2.79B	3.31B	3.72B
Gross Profit	1.30B	567.40M	768.80M	780.00M	1.04B	1.28B
EBITDA	203.80M	-35.20M	-1.57B	-220.70M	461.30M	1.07B
Net Income	-74.20M	-314.40M	-1.92B	-512.10M	209.90M	517.20M
Balance Sheet
Total Assets	0.00	4.87B	5.30B	7.04B	7.20B	7.27B
Cash, Cash Equivalents and Short-Term Investments	938.40M	938.40M	1.04B	1.20B	1.18B	1.43B
Total Debt	0.00	193.80M	281.60M	333.90M	146.80M	257.90M
Total Liabilities	-3.04B	1.82B	1.96B	1.82B	1.56B	1.78B
Stockholders Equity	3.04B	3.04B	3.34B	5.22B	5.64B	5.49B
Cash Flow
Free Cash Flow	0.00	73.40M	-110.10M	43.20M	-141.60M	823.30M
Operating Cash Flow	0.00	97.50M	-82.80M	92.50M	-87.60M	909.50M
Investing Cash Flow	0.00	-149.70M	331.50M	-378.10M	-353.40M	-72.20M
Financing Cash Flow	0.00	-120.50M	-93.40M	-65.10M	-128.80M	-320.70M

Subex Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 11.43
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SUBEXLTD, the sentiment is Negative. The current price of 11.43 is above the 20-day moving average (MA) of 11.36, below the 50-day MA of 11.94, and below the 200-day MA of 12.94, indicating a bearish trend. The MACD of -0.39 indicates Positive momentum. The RSI at 25.40 is Positive, neither overbought nor oversold. The STOCH value of 14.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SUBEXLTD.

Subex Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INFOBEAN	75 Outperform	₹19.77B	31.25	―	0.13%	14.57%	80.44%
ADSL	66 Neutral	₹7.36B	18.35	―	0.96%	20.23%	-17.78%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
INSPIRISYS	61 Neutral	₹3.30B	8.46	―	―	-1.07%	187.83%
TRACXN	52 Neutral	₹4.07B	-38.46	―	―	―	―
SUBEXLTD	50 Neutral	₹5.81B	-110.48	―	―	-9.53%	96.99%
HCL.INSYS	40 Underperform	₹4.46B	-23.29	―	―	-22.96%	28.55%

Subex Limited Corporate Events

Subex Strengthens Board with Appointment of Independent Director Alok Ohrie

Subex Limited has appointed industry veteran Alok Ohrie as an Additional Director in the capacity of Non-Executive, Independent Director, effective 4 January 2026, for a three-year term, subject to shareholder approval. The Board’s decision, based on the Nomination and Remuneration Committee’s recommendation and in compliance with SEBI’s disclosure norms, is aimed at strengthening the company’s independent oversight and governance framework, with the company confirming that Ohrie is not debarred by any regulatory authority and has no familial relationships with existing directors.

Subex Inducts Alok Ohrie as Independent Director for Three-Year Term

Subex Limited has strengthened its board by appointing industry veteran Alok Ohrie as an Additional Director in the category of Non-Executive, Independent Director, for a three-year term effective 4 January 2026, subject to shareholder approval. The move, based on the Nomination and Remuneration Committee’s recommendation, signals an effort to deepen independent oversight and governance at the company, with Ohrie confirming he is not debarred by market regulators, a detail likely to reassure investors and other stakeholders about regulatory compliance and board integrity.

Subex Inducts Venkata Erinti Narayana as Independent Director for Three-Year Term

Subex Limited has appointed Mr. Venkata Erinti Narayana as an Additional Director in the capacity of a Non-Executive, Independent Director for a term of three years, effective December 25, 2025, pending shareholder approval. The appointment, cleared by the company’s Nomination and Remuneration Committee and confirmed by the Board, is positioned as a governance-focused move to strengthen the company’s independent oversight and board composition, with the company confirming that Narayana is not debarred by securities regulators and has no disclosed relationships with existing directors, a point likely to reassure investors on compliance and board independence.

Subex Limited Releases Q2 FY26 Earnings Call Transcript

Subex Limited has released the transcript of its earnings call for the quarter and half-year ending September 30, 2025. The earnings call, which included key corporate participants such as the Managing Director and CEO, CFO, and Head of Corporate Strategy and AI, provided insights into the company’s financial performance and strategic direction. The release of this transcript is part of Subex’s compliance with regulatory requirements and aims to keep investors informed about its operations and market positioning.

Subex Limited Announces Resignation of Chief Human Resources Officer

Subex Limited has announced the resignation of Ms. Asha Subramanian from her role as Chief Human Resources Officer, effective at the close of business on October 30, 2025. This change in senior management is part of her decision to pursue opportunities outside the company, potentially impacting the company’s human resources strategy and operations.