Stock Snapshot
Price Performance
Recommendation Rationale
Strong growth outlook supported by international expansion and product innovation.
Basis of our Recommendation
eMudhra Limited is well-positioned for growth, focusing on international expansion and product innovation, particularly in cybersecurity and AI. The company anticipates organic growth of 15% to 18% in FY27, supported by a strong pipeline of high-margin product sales. However, execution risks related to recent acquisitions and competitive pressures in the US market could impact short-term performance. Overall, strategic investments and a robust operational framework suggest a favorable outlook for the coming years.
Why We Like This Stock
- Anticipated organic growth of 15% to 18% in FY27
- Strong revenue contributions from North America and Europe
- Focus on high-margin product sales and innovation in cybersecurity and AI
Things To Watch Out For
- Execution risks associated with the integration of recent acquisitions
- Competitive threats in the US market and regulatory pressures
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 373 | 519 | 702 | 915 | 1,149 |
| Profit Before Tax (Cr.) | 93 | 103 | 127 | 173 | 215 |
| PBT Margin | 25.0% | 19.9% | 18.1% | 18.9% | 18.7% |
| Net Profit (Cr.) | 81 | 95 | 117 | 152 | 189 |
| EPS | 9.9 | 11.6 | 14.3 | 18.6 | 23.1 |
Company Overview
Show Company Profile
eMudhra Limited provides trust and enterprise solutions to individuals and organizations in India, North America, Europe, the Middle East, Africa, and the Asia Pacific. The company provides solutions such as emSigner paperless workflow, SecurePass identity and authentication management, Certinext certificate issuance and life cycle management; ID broker; data discovery and management platform; and emSign trust services. It serves corporate, retail, and private banking sectors. eMudhra Limited was incorporated in 2008 and is based in Bengaluru, India.