Intellect Design Arena Ltd (INTELLECT) AI Stock Analysis

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Intellect Design Arena Ltd

(NSE:INTELLECT)

Select Model

Rating:60Neutral

Price Target:INR 530.00▲(1.67% Upside)

Action:reiterated

Date:10/31/26

The score is supported primarily by solid underlying financial strength (low leverage and decent returns), but is pulled down by a pronounced negative technical trend (below major moving averages with negative MACD) and concerns around margin deterioration and uneven cash conversion. Valuation is moderate and does not materially offset these risks.

Positive Factors

Revenue GrowthThe company is expanding its top line, indicating continued demand for its financial technology platforms and related services. Sustained revenue growth can support product investment, deepen institutional relationships, and provide a durable base for future earnings even as individual implementation cycles vary.

Negative Factors

Gross Margin CompressionThe sharp decline in gross margin is a material threat to earnings quality and suggests that recent revenue growth is producing less gross profit than in earlier periods. If sustained, weaker margin economics could reduce reinvestment capacity and limit operating leverage from the company’s software model.

Intellect Design Arena Ltd (INTELLECT) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 81.92B
Dividend Yield: 0.78%
Average Volume (3M): 35.82K
Price to Earnings (P/E): 20.5
Beta (1Y): 1.26
Revenue Growth: 16.99%
EPS Growth: -12.47%
Country: India
Employees: 6,876
Sector: General
Sector Strength: 55
Industry: Software - Application

Intellect Design Arena Ltd Business Overview & Revenue Model

Company Description

Intellect Design Arena Limited engages in the development, marketing, and sale of integrated banking software systems in India and internationally. It is also involved in supporting the implementation of the systems; and provides help desk support se...

How the Company Makes Money

Intellect Design Arena primarily makes money by selling and supporting enterprise financial software to institutional customers (e.g., banks and other financial services organizations). Key revenue streams typically include: (1) Software/product lice...

Intellect Design Arena Ltd Financial Statement Overview

Summary

Strong balance sheet with very low leverage and healthy ROE supports resilience, but profitability has weakened materially (notably the sharp gross margin decline into FY2026). Cash flow is positive yet only moderately converts from earnings and free cash flow trends are volatile, which tempers the overall financial score.

Income Statement

68Positive

Balance Sheet

86Very Positive

Cash Flow

60Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	31.82B	30.38B	25.00B	25.06B	22.31B	18.78B
Gross Profit	3.85B	3.72B	9.69B	11.56B	10.74B	9.57B
EBITDA	6.64B	6.75B	5.31B	5.42B	4.35B	4.72B
Net Income	3.53B	3.45B	3.33B	3.21B	2.67B	3.49B
Balance Sheet
Total Assets	0	45.80B	38.82B	34.05B	28.87B	25.94B
Cash, Cash Equivalents and Short-Term Investments	8.51B	8.51B	5.31B	3.03B	1.27B	4.08B
Total Debt	0	1.59B	717.78M	443.03M	271.28M	204.19M
Total Liabilities	-31.99B	13.80B	10.65B	9.54B	8.19B	7.72B
Stockholders Equity	31.99B	31.70B	27.86B	24.39B	20.58B	18.09B
Cash Flow
Free Cash Flow	-152.95M	3.37B	2.60B	2.37B	85.09M	3.24B
Operating Cash Flow	802.56M	5.56B	4.31B	4.10B	1.74B	4.53B
Investing Cash Flow	790.15M	-3.18B	-2.45B	-2.55B	-1.77B	-3.99B
Financing Cash Flow	-1.04B	-1.13B	-633.06M	-490.26M	-495.42M	-521.01M

Intellect Design Arena Ltd Technical Analysis

Technical Analysis SentimentNegative

Last Price521.30

Price Trends

50DMA618.93Negative

100DMA673.23Negative

200DMA695.41Negative

Market Momentum

MACD-30.80Positive

RSI36.56Neutral

STOCH29.09Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:INTELLECT, the sentiment is Negative. The current price of 521.30 is below the 20-day moving average (MA) of 577.56, below the 50-day MA of 618.93, and below the 200-day MA of 695.41, indicating a bearish trend. The MACD of -30.80 indicates Positive momentum. The RSI at 36.56 is Neutral, neither overbought nor oversold. The STOCH value of 29.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:INTELLECT.

Intellect Design Arena Ltd Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:INTELLECT against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:KFINTECH	76Outperform	INR 157.66B	46.31	―	1.28%	26.83%	0.50%
IN:NEWGEN	74Outperform	INR 62.39B	19.49	―	1.36%	6.49%	-3.73%
IN:EMUDHRA	65Neutral	INR 29.94B	25.74	―	0.34%	29.74%	25.01%
IN:NUCLEUS	63Neutral	INR 16.66B	16.58	―	1.98%	1.97%	-37.75%
IN:INTELLECT	60Neutral	INR 71.77B	20.52	―	0.78%	16.99%	-12.47%
IN:RAMCOSYS	57Neutral	INR 19.99B	69.49	―	―	10.73%	236.66%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

IN:INTELLECT and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:INTELLECT	Intellect Design Arena Ltd	521.30	-587.96	-53.00%
IN:EMUDHRA	eMudhra Limited	362.85	-250.97	-40.89%
IN:KFINTECH	Kfin Technologies Limited	935.00	-133.49	-12.49%
IN:NEWGEN	Newgen Software Technologies Limited	440.35	-513.27	-53.82%
IN:NUCLEUS	Nucleus Software Exports Limited	633.40	-315.30	-33.23%
IN:RAMCOSYS	Ramco Systems Limited	541.85	-62.20	-10.30%

Intellect Design Arena Ltd Corporate Events

Intellect Design Arena posts Q2 FY2026-27 earnings call recording online

Oct 30, 2026

Intellect Design Arena Ltd has announced that it held its investors earnings conference call for the quarter and half year ended September 30, 2026, on October 30, 2026. The call discussed the company’s financial results and performance for the repor...

Intellect Design Arena Files SEBI Compliance Certificate for September Quarter

Oct 7, 2026

Intellect Design Arena Ltd has submitted a compliance certificate to Indian stock exchanges under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended Sept. 30, 2026. The certificate was issued by Cameo...

Intellect Design Arena Plans Analyst Meet with Geometric Securities

Sep 10, 2026

Intellect Design Arena Ltd has scheduled an analyst and institutional investor meeting with Geometric Securities and Advisory Pvt Ltd on September 11, 2026, at its Noida office. The one-on-one, in-person session will be led by Chief Strategy Officer...

Intellect Design Arena Schedules One‑to‑One Meet With Institutional Investor

Aug 4, 2026

Intellect Design Arena Ltd has scheduled a one‑to‑one meeting with Amansa Holdings Pvt Ltd, an institutional investor, on August 4, 2026, in Chennai, with Chairman and Managing Director Arun Jain representing the company. The engagement, disclosed to...

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: Oct 31, 2026

Intellect Design Arena Ltd AI Stock Analysis