IP
IndiaPulse

Tejas Networks Limited (TEJASNET)

Large Cap

Telecom stocks · Large cap · NSE

Tejas Networks Limited designs, develops, and manufactures optical and wireless networking products for telecommunications service providers, government entities, and enterprises. It focuses on wireline and wireless solutions, including 5G RAN, DWDM systems, and IP/MPLS routers, with a growing international footprint and strategic partnerships.

₹614.15
+46.70 · +8.23%
Quote04 Sept, 03:59 pm IST
Fundamentals05 Sept 2026 · screener
Score05 Sept, 10:20 pm IST · v4.3-runtime-valuation
Tags15 Aug 2026
Coverage12/14 · 86%
Valuation2026-07-20 · Rf 6.8% · Telecom P/E 37.3 (n=16)
Data confidence
Fresh enough for analysis
Investor decision lenses

One read, four checks

75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.

Weak fundamentals, management trust needs verification, price trend is neutral, and recent execution is weak.

Suggested next step
Verify management risk first
Do not let cheap valuation override weak Trust or governance evidence.
U-Score
OVERVALUED
19

Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.

Trust
Weak Trust
46

low confidence · 1/6 claims checked

Technical
Neutral
57

Timing lens: price trend and sector relative strength.

Result consistency
weak
5

Rolling lens: recent quarterly delivery, not the latest single-result score.

Latest result

Quarter ended 30 Jun 2026

Good · 55/100

Rev +99% YoY · margin expansion · +21% QoQ

Filed 27 Jul 2026
Open results browser →
MetricThis quarterYoYQoQ
Revenue₹402 Cr+99.0%+20.7%
EBITDA₹-100 Cr+26.5%+15.3%
Operating margin-25.0%+4200 bps+1100 bps
PAT₹-202 CrNDFNDF
PAT margin-50.3%+4579 bps+1311 bps

NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.

Business & thesis

Growth engines, tailwinds/headwinds, and risk radar from management commentary

Business and thesis

Where growth can come from, and what can break the case

Thesis under stressReviewed 2026-06-13T09:53:00.685Z
Management commentary snapshot

Q4 FY26 revenue grew QoQ, but the company reported significant losses for the quarter and full year. The order book saw strong YoY and QoQ growth, indicating future revenue potential despite current unprofitability and increasing net debt.

While the company secured significant orders and made strategic product advancements, persistent quarterly losses and increasing net debt raise concerns. The ability to convert the growing order book into profitable revenue and manage working capital will be critical for improving financial health.

Current business mix

Q4 Revenue Mix (Excludes other operating revenue)

Latest issuer-disclosed distribution across 2 reported categories.

Businessmix
India88.0%
International12.0%
Growth engines

5G Massive MIMO Contract

Signed agreement with NEC to manufacture and supply 5G massive MIMO radios for a global customer.

4G RAN Expansion

Received purchase order to deliver 4G RAN products for a network expansion project in South Asia.

BharatNet Phase III Deployment

Completed shipment of 17,000+ IP/MPLS routers for BharatNet Phase III; several sites are now carrying live traffic.

Data Center Interconnect (DCI)

Selected to build a multi-terabit DWDM network for a hyperscaler data center interconnectivity (DCI) application in India.

Tailwinds

AI-driven Network Build Supercycle

Massive AI workloads and data centers are driving strong traffic surge and demand for wireless & wireline products.

Network Transformation Demand

Current CSP networks will not suffice to handle AI traffic, requiring significant investments in new networks with 400G/800G connectivity.

Government Production Linked Incentives (PLI)

Received Rs 69.96 crore in PLI incentives for FY25, with cumulative PLI incentives reaching Rs 467 crore for FY25.

Headwinds

Continued Losses

Q4FY26 Profit After Tax: INR -211 Cr, with full year FY26 PAT at INR -909 Cr, indicating persistent unprofitability.

Increasing Net Debt

Net Debt increased to INR 3,531 Cr in Q4FY26 from INR 3,349 Cr in Q3FY26, raising concerns about financial leverage.

High Inventory Levels

Inventory of INR 2,438 Cr, which will be converted to finished goods and shipped in upcoming months, ties up significant capital.

Risk radar

Execution and Conversion Risk

Conversion of high inventory (INR 2,438 Cr) into finished goods and shipments in upcoming months is crucial for revenue realization and cash flow.

Profitability Challenges

Persistent losses (PAT -909 Cr for FY26) indicate challenges in achieving operational profitability despite revenue growth and order book expansion.

Working Capital Management

Net Working Capital at INR 4,138 Cr and increasing Net Debt suggest ongoing working capital requirements and potential liquidity pressures.

Management accountability

What management said, and what results must prove

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.

Jan 2026
Analyst reading lens
Compare BOTH

QoQ comparison is relevant for tracking sequential execution and revenue momentum from project-based sales. YoY is crucial for assessing the growth of the order book and overall business scale over a longer period, especially for a company in a growth phase with large contracts.

Sector KPIs management disclosed

Revenue from Operations

Q4FY26 Revenue from Operations: INR 333 Cr (QoQ growth of 8% from INR 307 Cr in Q3FY26; FY26 total INR 1,103 Cr).

Profit After Tax (PAT)

Q4FY26 PAT: INR -211 Cr (vs -197 Cr in Q3FY26; FY26 total INR -909 Cr).

Order Book

Order book at end of Q4: INR 1,514 Cr (49% YoY growth from INR 1,019 Cr in Q4FY25; 1,329 Cr in Q3FY26).

Inventory

Inventory of INR 2,438 Cr in Q4FY26 (vs 2,363 Cr in Q3FY26), expected to convert to finished goods and shipped in upcoming months.

Management forward view

FY26 as a Year of Consolidation

Management states FY26 was a year of consolidation, deploying the world's largest Sat-IoT network, indigenous router deployments, and BSNL 4G/5G network going live.

Future Product Roadmap

Management believes the product roadmap is well positioned to leverage future opportunities, including 5G-A/6G, 1.6T/ch. DWDM, and multi-tera IP/MPLS routers.

Strategic Partnerships for Global Expansion

Strong partnerships are in place, like with NEC and Rakuten Symphony, to expand the global customer footprint and drive international wireless wins.

Continued Innovation Journey

The company continued its innovation journey with 147 patents filed in FY26 and new product launches like TJ1600-D3 and 64TR mMIMO 5G Radio.

Thesis monitor

Numbers and claims to verify in the next filings

CheckpointCurrent evidenceWhat to verify next
Order Book ConversionINR 1,514 CrMonitor the rate of conversion of the order book into recognized revenue and its impact on gross margins and profitability.
Inventory LevelsINR 2,438 CrObserve the reduction in inventory as it converts to finished goods and shipments, indicating efficient project execution and working capital release.
Net Debt TrendINR 3,531 CrTrack trends in net debt and cash position to assess financial stability and the company's ability to fund operations and growth.
Profit After Tax (PAT)PAT: -211 Cr (Q4FY26)Observe progress towards achieving positive PAT and sustained operational profitability, moving away from current loss-making status.

Verification checkpoints are IndiaPulse research interpretation, not investment advice.

Show extracted source claims
project executionnot yet verifiablequantified

Inventory of INR 2,363 Cr will be converted to finished goods and shipped in upcoming months.

Timeframe: upcoming monthsDirection: positiveConfidence: will be

"Will be converted to finished goods and shipped in upcoming months"

project executionnot yet verifiablequantified

Inventory of INR 2,363 Cr will be converted to finished goods and shipped in upcoming months.

Timeframe: upcoming monthsDirection: positiveConfidence: will be

"Will be converted to finished goods and shipped in upcoming months"

demand outlooknot yet verifiable

There will be expansion of 4G and new deployments of 5G in emerging markets.

Timeframe: futureDirection: positiveConfidence: strong

"Expansion of 4G and new deployments of 5G in emerging markets"

demand outlooknot yet verifiable

There will be expansion of 4G and new deployments of 5G in emerging markets.

Timeframe: futureDirection: positiveConfidence: strong

"Expansion of 4G and new deployments of 5G in emerging markets"

demand outlooknot yet verifiable

Investments in AI datacenters will drive huge connectivity requirements.

Timeframe: futureDirection: positiveConfidence: strong

"Investments in AI datacenters driving huge connectivity requirements"

demand outlooknot yet verifiable

Investments in AI datacenters will drive huge connectivity requirements.

Timeframe: futureDirection: positiveConfidence: strong

"Investments in AI datacenters driving huge connectivity requirements"

macro expectationnot yet verifiable

AI applications will drive massive traffic growth.

Timeframe: futureDirection: positiveConfidence: strong

"AI applications driving massive traffic growth"

macro expectationnot yet verifiable

AI applications will drive massive traffic growth.

Timeframe: futureDirection: positiveConfidence: strong

"AI applications driving massive traffic growth"

Technical timing lens

Trend score and candlestick chart

57Neutral

SMA20 +1.4% / mo · RSI overbought · MACD + · near 52W high

Stock trend: 62
Sector RS: 51
Sector 3M: -1.2% vs Nifty -1.5%

Technical chart

TEJASNETdaily · 1Y · AUTO+24.7%
Latest close ₹614.15 on 2026-09-04
Bar
+7.7%
RSI
72
MACD hist
9.62
52W pos
91%
2026-09-04O ₹570.00H ₹622.80L ₹570.00C ₹614.15Vol 2.6Cr sh
₹369.13₹441.31₹513.50₹585.69₹657.8852H614.152026-032026-06VolRSIMACD2026-032026-042026-062026-072026-09
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal

Daily technical trend read

Mixed signals

Signals are conflicting — long-term uptrend intact. RSI 72. Wait for confirmation.

  • Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
  • SMA20 rising (~1.4% over last month) — short-term momentum positive.
  • RSI(14) at 72 — overbought zone; risk of mean reversion.
  • MACD above signal, histogram expanding — bullish momentum building.
  • 5% off 52W high · 109% 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

70
RS percentile
Stage 2 Uptrend
1M return
+19.6%
3M return
+13.6%
6M return
+39.2%
1Y return
-0.2%
RS 1D
+14
RS 20D
+3
Sector rank
#13
Industry rank
-
Stage evidence
  • Price is 26.8% above the 30-week proxy.
  • The 50-DMA is above the 30-week proxy and its slope is rising +5.6%.
  • Both 3-month and 6-month returns are positive.
50-DMA
price above
200-DMA
price above
Sector
neutral
Industry
unranked
Relative-strength line vs Nifty 500 (base 100)
264 observations
04 Sept 2026Value 108.18+8.22%
50668299115Aug 25Dec 25Apr 26Sept 26108
RS vs Nifty 500108

Valuation & score drivers

U-Score 19 · OVERVALUED · pillar breakdown, sector model, fair-value anchor

19U-SCORE
Distress Watch

Fundamental score breakdown

OVERVALUED
Valuation2/30
Growth10/25
Quality0/20
Balance Sheet1/15
Cash Flow4/10
Piotroski
5/9 (+3)
Penalties
-1
Raw sum
19

Why this score?

Top U-Score contributors and drags from the latest stored fundamentals.

19/100 · OVERVALUED

Positive drivers

  • Growth contributes 10/25 to the score.
  • Cash flow contributes 4/10 to the score.
  • Valuation contributes 2/30 to the score.

Main drags

  • Altman Z is 1.4, in distress territory.
  • Penalty bucket subtracts 1 points.
  • Quality is weaker at 0/20; verify the latest quarterly trend.
Sector valuation model

Telecom valuation: EV/EBITDA against ARPU, debt, and capex

Telecom needs enterprise-value and cash-flow framing because leverage is structurally important.

Telecom EV/EBITDA
Primary lens
EV/EBITDA and debt-adjusted cash generation.
Secondary checks
ARPU growth, subscriber quality, spectrum liabilities, capex intensity.
Main risk check
High EBITDA can still be weak equity value if debt and capex absorb cash.
PE
PB
3.7
EV/EBITDA
ROE
-26.8%
ROCE
-14.6%
FCF Yield
Debt/Equity
1.4
MoS
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: 05 Sept 2026
v4.3-runtime-valuation
Final score
19
Previous: 19
Verdict
OVERVALUED
Previous: OVERVALUED
Margin of safety
No stored baseline yet

Score history

12 stored score snapshots. Latest stored move: -1 points.

05 Sept 2026
v4.3-runtime-valuation
26
25
18
19
19
19
19
18
18
18
20
19

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
Growth-justified P/E
31.2
Growth-justified Value
— MoS
PEG

Trust score

Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth

Trust Score
46Weak Trust · 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.

Weak Trust: Management has 0% delivered/partly-delivered outcomes on 1 checked claims, with 1 adverse claim outcome. It ranks around the 3rd percentile of the scored universe and 4th percentile within Telecom. Main check: results consistency is weak at 5/100.

Mixed Trust Lite: Promoter pledge is zero. Key concern: Altman Z is 1.45.

Computed 05 Sept 2026
management-trust-v1
147 docs text-extracted · 60 concalls text-extracted
Score band
Weak Trust

Management or financial behaviour needs caution. Demand stronger valuation compensation.

Relative rank
3rd percentile

overall median 67 · Telecom: 4th pctile, median 66 · Large: 2nd pctile, median 73

Evidence depth
Financial-only

147 documents have extracted text, but claim history is not strong enough yet.

Claim delivery
0% delivered or partly delivered

1/6 claims checked · 1 contradicted/failed claim

How to read this Trust Score

Weak Trust · low confidence
What 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
Needs extra due diligence; demand valuation comfort and recent improvement.

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
67
acceptable · profit to cash conversion
Balance sheet
35
weak · leverage and solvency
Discipline
30
weak · capital discipline
Results
5
weak · quarterly consistency

Trust positives

  • Promoter pledge is zero.
  • 5 years of positive FCF.

Trust risks

  • Altman Z is 1.45.
  • 4 latest quarters had PAT decline worse than 25% YoY.
  • Debt/equity is 1.43.
  • ROCE is low at -14.6%.

Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.

Financials

Full fundamentals table and 10-year revenue / profit / ROE history

Fundamentals

Valuation

P/E
P/B
3.72
EV/EBITDA
Market Cap
10936.00Cr

Profitability

ROE
-26.80%
ROCE
-14.60%
ROA
-9.75%
Dividend Y
0.41%

Growth (CAGR)

Revenue 5Y
16.00%
EPS 5Y
10.00%
Revenue 3Y
6.00%
EPS 3Y
-12.00%

Balance Sheet

Debt/Equity
1.43
Interest Coverage
-2.07×
Altman Z
1.45
Book Value
165.00

Cash Flow

FCF Yield
FCF Positive Y
5/5
OCF
135.00 Cr
EPS TTM
-51.68

Shareholding

Promoter Hold
53.33%
Promoter Pledge
0.00%
Momentum 52W
91%

Financial History

Updated 5/9/2026

Revenue

₹ Cr
No data

Net Profit

₹ Cr
No data

Return on Equity

%
No data

Peers

Business-comparable names in Telecom, ranked by similarity

Verify on:NSE India ↗
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.