Zensar Technologies Ltd. share price target and research reports

Latest analyst research reports with target prices and PDF download for ZENSARTECH, BSE:504067 Zensar Technologies Ltd.

Zensar Technologies Ltd.

24 Jul 2020

835.15

0.67%

Zensar Technologies

Hold: Zensar Technologies Ltd.

Target

ICICI Securities Limited

The company saw a healthy improvement in its deal TCV (up 36% QOQ) and has healthy deal pipeline of US$1.5 billion. Also, Zensar's hi tech (46% of revenues) vertical saw an improvement of 3.5% QoQ (in CC terms) in the quarter, which is expected to further improve in coming quarters. This coupled with bottoming out of retail vertical, improvement in cloud revenues and ramp up of projects will lead to healthy improvement in revenues on coming quarters. The company has also hired Nachiketa Mitra (from cognizant) to boost its financial service (~26.6% of revenues) segment...

Number of FII/FPI investors increased from 264 to 290 in Mar 2025 qtr.

Zensar Technologies Ltd.

20 May 2020

835.15

0.67%

EARNINGS UPDATE- ZENSAR TECH LTD 4QFY20

Buy: Zensar Technologies Ltd.

Chola Wealth Direct

Background: Zensar Technologies is an RPG Group company, with end-to-end services from IT development to business process outsourcing. The company's business is spread across USA, Europe and Africa with around 308 active clients. The company's portfolio focuses on Hi-tech & manufacturing, retail and BFSI sectors. Zensar provides Analytics, Cloud & infrastructure, enterprise applications, digital experience and service line transformation...

Number of FII/FPI investors increased from 264 to 290 in Mar 2025 qtr.

Zensar Technologies Ltd.

18 May 2020

835.15

0.67%

Result Update:Zensar Tech.

Buy: Zensar Technologies Ltd.

Recommendation Target

Axis Direct

Zensar Technologies Ltd (Zensar) reported a sluggish growth in Q4 FY20 due to COVID outbreak. Revenue stood at Rs. 1017.8 crs down 2.8% YoY and 0.3% QoQ. Operating profit showed a growth of 2.6% YoY at Rs. 100 crs

Zensar Technologies Ltd. has gained 18.97% in the last 1 Month

Zensar Technologies Ltd.

18 May 2020

835.15

0.67%

Zensar Technologies

Hold: Zensar Technologies Ltd.

Recommendation Target

ICICI Securities Limited

Retail, manufacturing sector to impact near term revenues Zensar expects retail (that contributes ~15% of revenues) to be severely impacted in the near term. In addition, we believe one of the company's top clients will report subdued result in the near term. This could impact the near term financials. Further, the company expects a ramp down in Hi Tech and some impact in insurance to be partially offset by banking. This, coupled with the book to bill ratio of 0.8x in Q4FY20, we expect the company to report declining revenues in the next two quarters and an improvement in...

Zensar Technologies Ltd. has gained 18.97% in the last 1 Month

Zensar Technologies Ltd.

16 May 2020

835.15

0.67%

Encouraging margin recovery; Subdued outlook!

Neutral: Zensar Technologies Ltd.

Target

Motilal Oswal

COVID-19 uncertainty remained a key overhang on We upgrade our EPS estimate for FY21/22E by 9%/15% as (1) we rebase our exchange rate assumptions and adjust our margin trajectory post the beat In 4QFY20, revenue (USD)/EBIT (INR)/PAT decreased 5%/11%/20% YoY (v/s est. Africa grew 7% while EBIT margins posted a robust recovery to 9.8% (~700bp QoQ, higher than our optimization (200bp), (3) Change in service mix ( 80bp). The company does not see any need of goodwill impairment in its acquired Barring FY19 when Zensars overall revenue growth (including inorganic) came close to that of its mid-cap peers (mostly organic), the stock always traded at steep discount to the sector (~8-10x one-year forward P/E). Revenue declined ~1.5% QoQ (CC) due to (1) COVID impact (-4.5 pp), (2) change in revenue mix (-2 pp) and (3) abscence of one-offs which were there in 3QFY20 (+6% QoQ, CC), other verticals reported sequential decline.

Zensar Technologies Ltd. has gained 18.97% in the last 1 Month

Zensar Technologies Ltd.

18 Mar 2020

835.15

0.67%

Zensar Technologies

Hold: Zensar Technologies Ltd.

ICICI Securities Limited

The spread of Covid-19 has led to lockdowns in many countries globally and could have adverse economic implications. In addition, the recent fall in crude prices could also have an adverse impact of fiscal health of oil producing countries. As a result, IT companies, which have considerable exposure to verticals such as oil, energy & utilities; banking & capital markets; manufacturing and travel & transport could see an adverse impact from the ongoing crisis. Companies like Wipro, Infosys in large cap and MindTree, NIIT Tech, Sonata software, Cyient, Accelya Solutions among...

Zensar Technologies Ltd. has gained 33.93% in the last 1 Year

Zensar Technologies Ltd.

29 Jan 2020, 12:00AM

835.15

0.67%

EARNINGS UPDATE- ZENSAR TECH LTD 3QFY20

Neutral: Zensar Technologies Ltd.

Recommendation Target

Chola Wealth Direct

Number of FII/FPI investors increased from 264 to 290 in Mar 2025 qtr.

Zensar Technologies Ltd.

29 Jan 2020, 12:00AM

835.15

0.67%

Result Update:Zensar Tech.

Neutral: Zensar Technologies Ltd.

Recommendation Target

Axis Direct

Zensar Technologies Ltd. (Zensar) reported weak results in terms of top line and on operating margins front in Q3FY20. Zensar posted revenue de-growth of 6.4% on QoQ basis and 0.8% on YoY basis in constant currency (CC) terms for the period of Q3FY20 at Rs.1,021crs.

Zensar Technologies .. has an average target of 737.50 from 4 brokers.

Zensar Technologies Ltd.

27 Jan 2020

835.15

0.67%

Zensar Technologies

Buy: Zensar Technologies Ltd.

Target

ICICI Securities Limited

Deal wins, digital, client mining key growth levers The company reported a sequential decline of 5.9% in dollar revenues in the quarter on the back of 13.4% QoQ drag in core revenues. This was primarily due to client specific ramp down in retail ($5 million) along with seasonal weakness and volume discount given to two clients. On the other hand, digital increased 1.6% QoQ and 20.2% YoY. Further, strong order booking of $170 million+ TCV with 45% as new wins and healthy pipeline coupled with consistent focus on client mining would lead revenues to grow at a...

Zensar Technologies Ltd. has gained 18.97% in the last 1 Month

Zensar Technologies Ltd.

25 Jan 2020

835.15

0.67%

Zensar Technologies (3QFY20): Challenges aggravate. Downgrade to NEUTRAL

Neutral: Zensar Technologies Ltd.

Recommendation Target

HDFC Securities

Zensar's organic growth has slipped (~5% in FY20E vs. ~9% in FY19) due to high exposure to stressed verticals like Hi-Tech, Manufacturing and Retail. BSFI is doing well led by deals wins in Insurance and focus on large African banks. Retail performace has been disappointing and is taking longer than expected to recover. Deal pipeline is healthy at USD 1bn, ~50% of the pipeline are large deals (TCV >USD 5mn) but conversion and execution remains the key. Margin recovery target is aggressive considering the ongoing restructuring and higher onsite revenue mix. We build 7.1/6.1/6.4% Revenue/EBIT/PAT CAGR over FY19-22E. The stock trades at a P/E of 13.5/10.2x FY21/22E, which is reasonable but better growth and margin visibility will lead to re-rating. We downgrade Zensar to NEU (from BUY), post disappointing 3QFY20, growth challenges and weak execution. Deal pipeline is healthy and TCV wins have improved but not reflecting in growth. Margin recovery is slower than expected and Retail/Legacy drag is weighing on growth and margins. We cut FY22E Rev/EPS by 10.5/19.9% and reduce P/E multiple to 11x vs. 12x earlier. Our TP of Rs 177 is based on 11x (~14% discount to 5Y average) Dec-21E EPS.

Zensar Technologies Ltd. is trading above all available SMAs

Is Zensar Technologies Ltd. worth buying?

433 Votes:

Buy 84.99%

Sell 7.39%

Hold 7.62%

RESEARCH REPORTS

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