DiGiSPICE Technologies Ltd. (DIGISPICE) AI Stock Analysis

DiGiSPICE Technologies Ltd.

(NSE:DIGISPICE)

Select Model

Rating:39Underperform

Price Target:INR 13.50▼(-16.36% Downside)

Action:downgraded

Date:08/17/26

DiGiSPICE Technologies scores near the bottom of the range, driven primarily by severely deteriorated financial performance — a ~53% revenue decline from FY2022, a large FY2025 net loss, and volatile cash flows that undermine confidence in the business model. Technical indicators reinforce the bearish outlook, with the stock trading well below all major moving averages and momentum indicators signaling continued weakness. Valuation offers no cushion, as the P/E of ~20.5x is unjustified given the lack of consistent profitability and growth. While FY2026 projections hint at a recovery, the company has yet to demonstrate it can stabilize revenue and deliver sustained earnings. Until tangible evidence of a turnaround emerges, the risk-reward profile remains unfavorable.

Positive Factors

Profitability RecoveryThe return to operating profit and net income after a loss-making FY2025 indicates meaningful earnings recovery. If maintained, renewed profitability can support internal funding, strengthen resilience, and provide a foundation for reinvestment in the company’s EDA software offering.

Negative Factors

Revenue Decline and VolatilityRecent revenue contraction and the broader multi-year decline make the durability of the profitability recovery less certain. Uneven demand can limit operating leverage, reduce the predictability of recurring software income, and constrain the company’s ability to scale earnings consistently.

DiGiSPICE Technologies Ltd. (DIGISPICE) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 3.79B
Dividend Yield: ―
Average Volume (3M): 8,669
Price to Earnings (P/E): 19.4
Beta (1Y): 1.16
Revenue Growth: -2.98%
EPS Growth: ―
Country: India
Employees: 44
Sector: General
Sector Strength: 55
Industry: Software - Application

DiGiSPICE Technologies Ltd. Business Overview & Revenue Model

Company Description

DiGiSPICE Technologies Limited functions as a global information and communications technology (ICT) provider, based in India. Its operations are divided into two primary divisions: Digital Technology Services and Financial Technology Services. The c...

How the Company Makes Money

DIGISPICE primarily makes money by selling access to its EDA software products. Revenue is typically generated through software licensing (e.g., time-bound subscriptions or term licenses) and may also include maintenance/support fees tied to those li...

DiGiSPICE Technologies Ltd. Financial Statement Overview

Summary

DiGiSPICE's financials are weak across all three pillars. Revenue has contracted ~53% from FY2022 peaks, FY2025 posted a net loss of ₹391M, and cash flows have been highly volatile with free cash flow near zero. The income statement score of 35, balance sheet score of 45, and cash flow score of 42 collectively paint a picture of a company struggling to stabilize. While FY2026 projections suggest a recovery in profitability and cash flow, this remains unproven. Rising debt (₹790M+ from ₹260M) and deeply negative ROE in FY2025 (-18.4%) further weigh on the assessment.

Income Statement

35Negative

Balance Sheet

45Neutral

Cash Flow

42Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	4.49B	4.65B	4.48B	4.39B	4.32B	9.91B
Gross Profit	879.38M	849.68M	654.29M	664.82M	487.71M	647.71M
EBITDA	358.47M	410.21M	-173.86M	733.12M	108.46M	333.65M
Net Income	186.05M	189.74M	-391.39M	116.75M	-206.00M	54.24M
Balance Sheet
Total Assets	0	8.06B	7.13B	6.49B	7.08B	7.00B
Cash, Cash Equivalents and Short-Term Investments	3.40B	5.17B	4.76B	3.75B	3.83B	2.56B
Total Debt	0	836.50M	789.72M	260.40M	837.06M	540.66M
Total Liabilities	-2.36B	5.70B	4.96B	4.02B	4.75B	4.47B
Stockholders Equity	2.36B	2.35B	2.13B	2.45B	2.32B	2.47B
Cash Flow
Free Cash Flow	667.56M	706.00M	27.52M	331.68M	-60.52M	1.34B
Operating Cash Flow	726.26M	866.14M	116.00M	417.55M	59.52M	1.49B
Investing Cash Flow	-169.81M	-742.06M	137.30M	54.94M	-373.82M	-1.19B
Financing Cash Flow	-664.94M	56.36M	483.21M	-557.17M	260.78M	-79.34M

DiGiSPICE Technologies Ltd. Technical Analysis

Technical Analysis SentimentNeutral

Last Price16.14

Price Trends

50DMA16.09Positive

100DMA17.55Negative

200DMA18.52Negative

Market Momentum

MACD-0.15Negative

RSI54.99Neutral

STOCH83.12Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DIGISPICE, the sentiment is Neutral. The current price of 16.14 is above the 20-day moving average (MA) of 15.37, above the 50-day MA of 16.09, and below the 200-day MA of 18.52, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 54.99 is Neutral, neither overbought nor oversold. The STOCH value of 83.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:DIGISPICE.

DiGiSPICE Technologies Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:DIGISPICE against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:SIGMA	84Outperform	INR 4.23B	13.78	―	1.21%	21.23%	53.75%
IN:INSPIRISYS	69Neutral	INR 3.29B	8.41	―	―	35.17%	9.87%
IN:TERASOFT	57Neutral	INR 3.19B	12.92	―	0.47%	120.86%	125.67%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:CYBERTECH	55Neutral	INR 3.72B	11.90	―	19.55%	10.49%	-9.67%
IN:3IINFOLTD	44Neutral	INR 3.97B	17.88	―	―	-0.84%	-79.45%
IN:DIGISPICE	39Underperform	INR 3.79B	19.45	―	―	-2.98%	―

* General Sector Average

Performance Comparison

IN:DIGISPICE and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:DIGISPICE	DiGiSPICE Technologies Ltd.	16.14	-9.47	-36.98%
IN:3IINFOLTD	3i Infotech Limited	19.13	1.61	9.19%
IN:CYBERTECH	CyberTech Systems & Software Ltd.	122.30	-48.50	-28.40%
IN:INSPIRISYS	lnspirisys Solutions Limited	83.17	-8.69	-9.46%
IN:SIGMA	Sigma Solve Ltd	41.19	-16.01	-27.99%
IN:TERASOFT	Tera Software Limited	255.05	-279.70	-52.30%

DiGiSPICE Technologies Ltd. Corporate Events

DiGiSPICE Subsidiary Spice Money Secures RBI Nod for Physical Payment Aggregation

Oct 23, 2026

Spice Money Limited, a material subsidiary of DiGiSPICE Technologies Ltd., has received in-principle authorisation from the Reserve Bank of India to operate as a Payment Aggregator-Physical under the Payment and Settlement Systems Act, 2007. The appr...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 17, 2026

DiGiSPICE Technologies Ltd. AI Stock Analysis