Credit ratingSep 2026
Sep 2026 · Announcement under Regulation 30 (LODR)-Credit Rating 24 Sep - CARE reaffirmed Birlasoft bank facilities at CARE AA+/Stable and CARE A1+ on September 24, 2026.
Source: Bse
BIRLASOFT LIMITED (BSOFT)
Large CapIT stocks · Large cap · NSE
Birlasoft is an IT services company focused on AI-led capabilities and enterprise software. It recently onboarded new leaders and is investing in its sales team to pivot to a growth-oriented "AI First" organization amidst a challenging demand environment, aiming to return to revenue growth.
Data qualityFresh enough for analysisQuote updated 21 Oct, 01:15 pm ISTDetails
Quote21 Oct, 01:15 pm IST
Base fundamentals14 Oct 2026 · screener
Latest result28 Jul, 09:28 pm IST
Score21 Oct, 04:30 am IST · v4.3-runtime-valuation
Tags02 May 2026
Coverage14/14 · 100%
Valuation2026-07-20 · Rf 6.8% · IT P/E 21.4 (n=204)
Technical timing lens
Trend score and candlestick chart
68BullishSMA20 -1.6% / mo · MACD + · sector +19.1pp vs Nifty 500 (3M)
Stock trend: 47
Sector RS: 100
Sector 3M: +13.0% vs Nifty 500 -6.0%
IT FPI tailwindNot confirmed
Latest mapped FPI equity flow was not positive. View sector evidence
Technical chart
BSOFTD candles · FIT view-14.9%TODAY · PROVISIONALLatest price ₹315.80 on 2026-10-21
Today's candle is provisional from the latest intraday quote; completed-candle scans remain unchanged.
Bar
-0.1%
RSI
65
MACD hist
5.28
52W pos
24%
2026-10-21O ₹316.00H ₹325.50L ₹313.65C ₹315.80Vol 30.4L shIntraday candle
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal
Market context
Relative performance and chart statistics
Adjusted completed-session prices, rebased to 100
BSOFTNifty ITNifty 500
- BSOFT
- +7.3%
- Nifty 500
- -5.6%
- Nifty IT
- +8.1%
- Vs Nifty 500
- +12.9 pp
Chart stats
19 Oct 2026- From 52W high
- -34.1%
- 52W range position
- 22%
- ATR (14)
- 3.7%
- Volume vs 20D
- 0.48x
- Avg traded value
- ₹79.3 Cr
- 20D price channel
- ₹267.1 - ₹321
₹474
₹267.1 - ₹474
₹11.5
Latest completed session
20-session average
45.1% annualized volatility
Research snapshot
What the evidence says now
Investable fundamentals, management evidence is still limited to a financial-only Trust Lite signal, price trend supports entry, and recent execution is mixed.
Suggested next step
Research, do not rush
The evidence is not strongly aligned. Compare peers and wait for a cleaner setup.
U-Score
Legacy · UNDERVALUED61
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
Latest result
Excellent80
Revenue +7.3% · PAT +51.9% YoY
Technical
Bullish68
Price trend and sector-relative-strength timing.
Valuation
Legacy model+60.0%
Legacy margin-of-safety estimate; the revised evidence label remains in shadow validation.
Trust
Limited evidence77
Financial-only signal; management claim evidence is not sufficient yet.
Financials
Fundamentals, quarterly history, margins, returns and balance-sheet evidence
Financials
Fundamentals, quarterly history, margins, returns and balance-sheet evidence
Latest result
Quarter ended 30 Jun 2026
Excellent · 80/100Rev +7% YoY · PAT +52% YoY · margin expansion · operating leverage
Filed 28 Jul 2026
Open results browser →| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,379 Cr | +7.3% | +2.2% |
| EBITDA | ₹223 Cr | +40.3% | -10.4% |
| Operating margin | 16.0% | +400 bps | -200 bps |
| PAT | ₹161 Cr | +51.9% | -8.5% |
| PAT margin | 11.7% | +343 bps | -137 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Fundamentals
Valuation
- P/E
- 14.00
- P/B
- 2.03
- EV/EBITDA
- 8.40
- Market Cap
- 8337.00Cr
Profitability
- ROE
- 14.10%
- ROCE
- 21.20%
- ROA
- 10.88%
- Dividend Y
- 2.19%
Growth (CAGR)
- Revenue 5Y
- 8.00%
- EPS 5Y
- 11.00%
- Revenue 3Y
- 3.00%
- EPS 3Y
- 18.00%
Balance Sheet
- Debt/Equity
- 0.03
- Interest Coverage
- 48.95×
- Altman Z
- 7.31
- Book Value
- 147.00
Cash Flow
- FCF Yield
- 3.98%
- FCF Positive Y
- 11/5
- OCF
- 481.00 Cr
- EPS TTM
- 20.52
Shareholding
- Promoter Hold
- 40.38%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 15%
Financial History
Updated 21/10/2026
Revenue
₹ CrLatest: 1,379+2.2% vs prev
Net Profit
₹ CrLatest: 161-8.5% vs prev
ROE is shown only in the Annual view — quarterly equity data isn't published.
Technicals
Trend interpretation, Stage 2, relative strength, volume and indicator evidence
Technicals
Trend interpretation, Stage 2, relative strength, volume and indicator evidence
Daily technical trend read
Mixed signalsSignals are conflicting — long-term trend down. RSI 65. Wait for confirmation.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 roughly flat — short-term momentum stalled.
- RSI(14) at 65 — rising, no extreme reading.
- MACD above signal, histogram expanding — bullish momentum building.
- 33% off 52W high · 18% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Nifty 500 leadership
Relative Strength & Trend Stage
37
RS percentile
Stage 1 Base / Transition
1M return
+11.5%
3M return
+7.3%
6M return
-19.4%
1Y return
-17.1%
RS 1D
+1
RS 20D
+25
Sector rank
#2
Industry rank
#5
Stage evidence
- Price is within 1.3% of the 30-week proxy.
- The 30-week proxy changed -3.7% over 20 sessions.
- The moving-average structure does not confirm Stage 2 or Stage 4.
50-DMA
price above
200-DMA
price below
Sector
leading
Industry
leading
Relative-strength line vs Nifty 500 (base 100)
261 observations
19 Oct 2026Value 92.7-0.74%
RS vs Nifty 50093
Valuation & peers
U-Score 61 · legacy U-Score band UNDERVALUED · valuation evidence and comparable companies
Valuation & peers
U-Score 61 · legacy U-Score band UNDERVALUED · valuation evidence and comparable companies
Financial Turnaround
Fundamental score breakdown
U band · UNDERVALUEDValuation15/30
Growth13/25
Quality8/20
Balance Sheet11/15
Cash Flow8/10
Piotroski
8/9 (+5)
Penalties
1
Raw sum
61
Why this score?
Top U-Score contributors and drags from the latest stored fundamentals.
61/100 · legacy band UNDERVALUED
Positive drivers
- FCF yield is supportive at 4.0%.
- Piotroski is strong at 8/9.
- Fair-value margin of safety is positive at 60.0%.
Main drags
- Quality is weaker at 8/20; verify the latest quarterly trend.
- Valuation is weaker at 15/30; verify the latest quarterly trend.
- Growth is weaker at 13/25; verify the latest quarterly trend.
Sector valuation model
IT valuation: PE and EV/EBITDA against growth and margins
Asset-light IT companies deserve valuation support only when growth, margins, and cash conversion hold up.
Primary lens
PE and EV/EBITDA relative to revenue growth, margins, and cash conversion.
Secondary checks
Deal pipeline, attrition, dollar revenue growth, FCF yield.
Main risk check
Low PE can reflect weak growth or margin pressure.
PE
14.0
PB
2.0
EV/EBITDA
8.4
ROE
14.1%
ROCE
21.2%
FCF Yield
4.0%
Debt/Equity
0.0
MoS
+60.0%
Score movement
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Stored run: 21 Oct 2026
v4.3-runtime-valuation
Final score
61
Previous: 61
Legacy U-Score band
UNDERVALUED
Previous: UNDERVALUED
Margin of safety
+60.0%
Previous: +60.5%
Score history
12 stored score snapshots. Latest stored move: +0 points.
21 Oct 2026
v4.3-runtime-valuation
66
66
69
66
62
62
61
61
61
61
61
61
Factor attribution
No pillar movement versus the latest stored run. Historical score trend will appear after snapshot storage is enabled.
Modelled fair value
Graham Number
₹260.52
-21.2% MoS
Growth-justified P/E
38.5
Growth-justified Value
₹790.43
+60.0% MoS
PEG
1.01
Comparable companies
Peers
Business-comparable peers in IT — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.
Ticker
Name
Why peer
Score
PE
ROE
MoS
Verdict
SONATSOFTW
Large
Sonata Software Limited
IT Services / Digital
match 158
66
13.8
28.2%
+55%
UNDERVALUED
NEWGEN
Large
Newgen Software Technologies Limited
IT Services / Digital
match 158
63
19.8
19.6%
+32%
UNDERVALUED
MAPMYINDIA
Large
C.E. Info Systems Limited
IT Services / Digital
match 154
38
36.7
12.0%
-8%
WATCHLIST
MASTEK
Micro
Mastek Limited
IT Services / Digital
match 149
72
12.1
15.3%
+58%
UNDERVALUED
SHILCTECH
Small
Shilchar Technologies Limited
IT Services / Digital
match 149
59
33.6
37.8%
-0%
FAIR VALUE
Business, management & trust
Growth engines, risks, management commitments and evidence-backed delivery
Business, management & trust
Growth engines, risks, management commitments and evidence-backed delivery
Business and thesis
Where growth can come from, and what can break the case
Thesis under stressReviewed 2026-06-03T16:41:46.862Z
Management commentary snapshot
Q4 FY26 revenue grew 0.1% QoQ (INR) but declined in USD. Full-year FY26 revenue declined 1.2% (INR) / 6% (USD). EBITDA margins expanded significantly to 18.5% in Q4 and 16.3% for FY26, driven by operational efficiencies and strategic exits. Deal signings exceeded $200M for two consecutive quarters.
Despite strong margin expansion and deal wins, Birlasoft's revenue has been flat or declining for six consecutive quarters, reflecting a challenging demand environment and client-specific issues. Management is undertaking a second restructuring with new leadership and substantial sales team expansion, betting on an "AI First" strategy to drive future growth. The success of these investments and the conversion of delayed deals are critical.
Growth engines
AI-led capabilities
Deploying AI-powered solutions like Cogito platform to accelerate enterprise software development, automate processes, and enhance decision-making.
Sales team expansion
Expect to increase sales team strength by 30-40% YoY by mid-FY27 to enhance capacity and capability, with additions in US and Europe geos.
ERP business turnaround
New leader from SAP with 25 years of experience hired to lead the ERP business, with hopes to get it back to growth.
BFSI vertical
Scaling Gen AI services across the North American P&C market; management expects BFSI to be a strong growth vertical going forward.
Capacity and execution
Sales team headcount
Sales team strength expected to go up by 30% to 40% on a year-on-year basis by the middle of FY '27.
Leadership hires
Onboarded Vikram Puranik as COO, new leaders for Data & AI practice, ERP practice, Global Partnerships & Alliances, and Lifesciences vertical.
Tailwinds
Currency tailwinds
Benefited by incremental one-offs in Q4 versus Q3, including currency tailwinds contributing 170 basis points to margin.
Tax concessions
Took the benefit of available tax concessions in some global operations in Q4, which acted as a tailwind.
Lower provisions
Lower provisions for performance-based compensation and leave encashment in Q4 contributed 170 basis points to margin.
Headwinds
Soft demand environment
Sustained macroeconomic headwinds led to some client-specific issues and erosion of revenue.
Client-specific operational issue
An operational issue at one MedTech customer affected volume growth in Q4, reflected in the Life Sciences business.
Productivity benefits from AI deals
Upfront productivity benefits had to be passed on because of AI deals won, denting revenue.
Non-profitable revenue streams
Bold decisions to walk away from several non-profitable revenue streams affected overall revenue but contributed to margin expansion.
Risk radar
Market volatility
The demand environment is challenging, marked by uncertainty, making future predictions difficult.
Execution risk of new hires
Success depends on new leaders and expanded sales team settling down, building pipeline, and converting orders.
Competitive intensity
Larger players are now competing for mid-sized deals due to AI creating a level playing field.
Revenue deflation from AI deals
Outcome-based, fixed-price AI deals can lead to immediate revenue deflation, with revenue catching up in future quarters.
Management accountability
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Analyst reading lens
Compare BOTH
QoQ is crucial to track sequential momentum, especially with new investments and deal conversions. YoY is important for full-year performance and margin expansion context, but the company's recent performance issues make QoQ more indicative of immediate trends.
Sector KPIs management disclosed
Revenue (Q4 FY26)
INR 13,486 million (0.1% QoQ, 2.4% YoY); $145.3 million (-3.7% QoQ CC, USD)
Revenue (FY26)
INR 53,100 million (-1.2% YoY); $597.5 million (-6% YoY USD)
EBITDA Margin (Q4 FY26)
18.5% (+30 bps QoQ)
EBITDA Margin (FY26)
16.3% (+333 bps YoY from 13% in FY25)
Management forward view
Focus on sales, pipeline, order booking
Entire focus going forward will be centered around sales, pipeline generation, and order booking, especially for outcome-based and managed services engagements.
"AI First" organization
Intent to pivot to a growth-oriented "AI First" organization with significant changes in delivery mechanism, expecting benefits over the next couple of quarters.
ERP business improvement
Management strongly believes the ERP business will only continue to improve from here with the new leader.
Sustained cash flow generation
Committed to staying focused on sustained cash flow generation and prudent capital allocation.
Thesis monitor
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Revenue growth | 6 consecutive quarters of flat/declining QoQ revenue. | Resumption of quarter-on-quarter revenue growth, indicating effectiveness of new investments. |
| Order booking (TCV) | $208M in Q4, second consecutive quarter above $200M. | Sustained strong order booking performance, substantially better than FY26, to build future revenue pipeline. |
| Sales team ramp-up effectiveness | 30-40% increase in sellers expected by mid-FY27. | Tangible improvement in pipeline generation and TCV conversion from new sales hires. |
| EBITDA margin | 18.5% in Q4 FY26. | Maintenance of steady-state EBITDA margins upward of 15% despite growth investments and one-off reversals. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trust Score
77Limited evidence · low confidenceTrust Lite
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Limited evidence: Claim history is still being built. It ranks around the 83rd percentile of the scored universe and 77th percentile within IT. No major sub-score weakness stands out.
This is a financial-behaviour screen, not a claim-tested management reliability verdict.
Computed 21 Oct 2026
management-trust-v1
91 docs text-extracted · 45 concalls text-extracted
Score band
Limited evidence
Financial behaviour is scored, but management claims do not yet have enough outcome checks.
Relative rank
83rd percentile
overall median 67 · IT: 77th pctile, median 69 · Large: 65th pctile, median 73
Evidence depth
Financial-only
91 documents have extracted text, but claim history is not strong enough yet.
Claim delivery
Outcome history still building
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Limited evidence · low confidenceWhat it measures
Reliability of management and financial delivery, using financial behaviour only.
Confidence
Treat this as an early read until more concalls and outcomes are matched.
Investor use
Can support position sizing if valuation and trend also agree.
Read Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Promoter
78
strong · holding, pledge, alignment
Cash flow
77
strong · profit to cash conversion
Balance sheet
96
strong · leverage and solvency
Discipline
64
acceptable · capital discipline
Results
70
acceptable · quarterly consistency
Trust positives
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 4%.
- ▸11 years of positive FCF.
- ▸Debt/equity is 0.03.
Trust risks
- ▸ROCE trend is -2.8%.
- ▸3 older quarters in the 8-quarter window had PAT decline worse than 25% YoY.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Continue researching BIRLASOFT LIMITED
Important announcements & filings
Latest exchange and company disclosures found within the past two years.
Open source ↗
AnnouncementSep 2026
Sep 2026 · Announcement under Regulation 30 (LODR)-Change in Management 11 Sep - Chief Strategy Officer Ankur Vaish resigned, effective September 19, 2026.
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 29 Sep - Newspaper Publication titled "Reminder Notice with respect to Special Window for transfer and dematerialization of physical shares."
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 11 Sep - Newspaper advertisement pertaining to loss of share certificates
Source: Bse
Concall transcriptAug 2026
Aug 2026 · Transcript
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Allotment of ESOP / ESPS 27 Aug - Allotment of Equity Shares under Birlasoft Share Incentive Plan-2022
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation 10 Aug
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 5 Aug - Newspaper Publication titled "Reminder Notice with respect to Special Window for transfer and dematerialization of physical shares"
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 4 Jul - Newspaper Publication titled Notice of the 35th Annual General Meeting and e-voting information
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 4 Jul - Newspaper Publication - Notice of the 35th Annual General Meeting and e-voting information
Source: Bse
Annual report
Reg. 34 (1) Annual Report. 3 Jul
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 30 Jun - Newspaper Publication - Notice with respect to transfer of equity shares of the Company to Investor Education and Protection Fund
Source: Bse
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.