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Persistent Systems
PERSISTENT · Nifty 50
₹5,045
Price 2026-06-17
At a Glance
Fundamental
85/100
STRONG
Trust
95/100
Verification
Coverage
44/100
LIMITED
Quick Take
Persistent Systems scores 85/100 on fundamentals (strong). Persistent Systems: BROAD EXPANSION regime.
Fundamental Score: 85/100 · STRONG · 1 signals detected
DuPont Analysis
ROE 22.8% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 22.83% is strong efficiency-driven and stable. Net margin of 12.4% × asset turnover of 1.27x × leverage of 1.5x.
What This Means
Net margin of 12.4% means the company keeps ₹12.4 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 1.27x means the company efficiently uses its assets to generate revenue. Leverage of 1.5x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
31.0%
Operating
16.5%
Net
12.4%
Gross margin 31.0% → operating margin 16.5% → net margin 12.4%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.
Financial Health
Earnings Quality
WEAKCash flow only covers 1.0x of net income — earnings quality is WEAK. Profit may not be converting to cash. Check receivables and inventory.
Debt Sustainability
COMFORTABLEInterest covered 32.4x — very comfortable. Debt service is not a concern. Debt/EBITDA at 0.2x is low — balance sheet has capacity.
Free Cash Flow
STRONGFCF margin at 10.8% — strong cash generation. Business is self-funding.
Peer Comparison
Key Watchpoints
Breaks above ₹5297 (+5%)
Trend reversal confirmation
Breaks below ₹4793 (-5%)
Further downside risk
It sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Tight liquidity. Monitor cash position and access to credit lines.
Working capital is consuming significant cash. Operational efficiency declining.
Market paying premium for growth. If growth slows, multiple compression risk is high.
Profits are from core operations, not one-offs. High quality.
⚠️ 3 warning flags — monitor closely.
Data Quality
News Correlation
50 articles scanned for fundamental themes