PDS Limited (PDSL) AI Stock Analysis

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PDS Limited

(NSE:PDSL)

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Rating:61Neutral

Price Target:INR 425.00▲(3.14% Upside)

Action:reiterated

Date:11/06/26

The score is driven primarily by solid financial momentum on revenue growth and a stable/improving balance sheet, but is held back by significant margin/ROE compression and uneven cash-flow consistency. Technicals are supportive with a strong uptrend, while valuation is the main downside due to a high P/E and a low dividend yield.

Positive Factors

Strong Revenue GrowthStrong consecutive revenue growth indicates expanding business activity and sustained customer demand across PDS’s fashion solutions platform. If maintained, this top-line momentum can support greater operating scale, deepen customer relationships, and create a foundation for rebuilding profitability over coming quarters.

Negative Factors

Severe Margin CompressionMaterial gross and net margin compression shows that revenue growth is not translating proportionately into profit. Persistently thin margins leave limited protection against cost or pricing pressure and make earnings more sensitive to execution, reducing the quality and durability of growth.

PDS Limited (PDSL) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 58.22B
Dividend Yield: 0.93%
Average Volume (3M): 23.36K
Price to Earnings (P/E): 44.8
Beta (1Y): 1.39
Revenue Growth: 4.62%
EPS Growth: -23.31%
Country: India
Employees: 10,147
Sector: General
Sector Strength: 55
Industry: Specialty Business Services

PDS Limited Business Overview & Revenue Model

Company Description

PDS Limited, along with its subsidiaries, operates as a global entity involved in the entire value chain of ready-to-wear clothing and a variety of consumer products, from initial design and development to sourcing, manufacturing, marketing, and dist...

PDS Limited Financial Statement Overview

Summary

Strong recent revenue growth (2026: +31.3%, 2025: +21.3%) and manageable, improving leverage (debt-to-equity down to ~0.72 in 2026). Offsetting this, profitability has weakened materially with gross margin down to ~9.6% (2026) and net margin down to 0.85% (2026), while ROE fell to 6.3% (2026). Cash flow is also inconsistent (negative in 2025, strong rebound in 2026), which reduces confidence in earnings quality.

Income Statement

62Positive

Balance Sheet

68Positive

Cash Flow

55Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	145.78B	131.10B	125.78B	103.73B	105.77B	88.28B
Gross Profit	22.69B	12.54B	12.01B	10.31B	17.71B	13.86B
EBITDA	5.19B	3.87B	5.06B	4.33B	5.26B	4.20B
Net Income	1.30B	1.12B	1.57B	1.44B	2.65B	2.48B
Balance Sheet
Total Assets	56.55B	52.66B	47.38B	40.62B	31.09B	33.98B
Cash, Cash Equivalents and Short-Term Investments	12.14B	10.36B	7.75B	6.98B	8.69B	5.49B
Total Debt	11.69B	12.64B	12.32B	10.54B	7.19B	7.41B
Total Liabilities	37.61B	34.07B	30.22B	28.16B	19.96B	24.62B
Stockholders Equity	17.97B	17.64B	16.50B	11.66B	10.54B	8.72B
Cash Flow
Free Cash Flow	0	5.97B	-1.28B	229.77M	4.51B	3.58B
Operating Cash Flow	0	6.60B	-365.52M	1.90B	5.10B	4.03B
Investing Cash Flow	0	-497.36M	-2.58B	-3.14B	-1.37B	-2.28B
Financing Cash Flow	0	-3.62B	4.03B	-384.75M	-3.37B	-264.92M

PDS Limited Technical Analysis

Technical Analysis SentimentPositive

Last Price412.05

Price Trends

50DMA351.18Positive

100DMA355.49Positive

200DMA326.90Positive

Market Momentum

MACD18.44Negative

RSI73.20Negative

STOCH90.75Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PDSL, the sentiment is Positive. The current price of 412.05 is above the 20-day moving average (MA) of 358.89, above the 50-day MA of 351.18, and above the 200-day MA of 326.90, indicating a bullish trend. The MACD of 18.44 indicates Negative momentum. The RSI at 73.20 is Negative, neither overbought nor oversold. The STOCH value of 90.75 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:PDSL.

PDS Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:PDSL against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:BLS	72Outperform	INR 93.53B	13.17	―	1.09%	28.70%	19.08%
IN:CMSINFO	63Neutral	INR 34.49B	11.92	―	2.42%	1.71%	-21.43%
IN:RADIANTCMS	62Neutral	INR 3.78B	11.55	―	7.36%	3.51%	-34.37%
IN:PDSL	61Neutral	INR 58.82B	44.76	―	0.93%	4.62%	-23.31%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:REPRO	50Neutral	INR 4.46B	3.89	―	―	24.30%	―

* General Sector Average

Performance Comparison

IN:PDSL and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:PDSL	PDS Limited	412.05	14.07	3.54%
IN:BLS	BLS International Services Ltd.	229.35	-92.23	-28.68%
IN:CMSINFO	CMS Info Systems Ltd.	214.85	-136.27	-38.81%
IN:RADIANTCMS	Radiant Cash Management Services Limited	33.92	-16.38	-32.57%
IN:REPRO	Repro India Limited	309.30	-229.35	-42.58%
IN:SECURCRED	SecUR Credentials Ltd.	1.63	0.00	0.00%

PDS Limited Corporate Events

PDS Limited Issues New Shares Under Employee Stock Option Plan

Oct 20, 2026

PDS Limited has allotted 18,750 equity shares with a face value of ₹2 each to employees of the company and its subsidiaries who exercised options under the PDS Limited – Employee Stock Option Plan 2021 – Plan A. The move modestly increases the compan...

PDS Limited Completes Exit From DBS Lifestyle and Related Associates

Sep 21, 2026

PDS Limited has completed the sale of its remaining 49% stake in DBS Lifestyle India Private Limited, following an earlier share purchase agreement with the Suri family and DBS Lifestyle. The transaction marks a further step in the company’s portfoli...

PDS Limited Publishes 2026 Sustainability Report ‘Responsible by Design’

Sep 3, 2026

PDS Limited has released its PDS Group Sustainability Report 2026, titled “Responsible by Design,” outlining the group’s approach and performance on environmental, social and governance priorities across its global operations. The disclosure, made un...

PDS Limited Board Clears Unaudited Q1 FY27 Results After Limited Review

Aug 7, 2026

PDS Limited’s board has approved the unaudited standalone and consolidated financial results for the quarter ended June 30, 2026, at its meeting held on August 7, 2026. The results, prepared under Ind AS 34 and reviewed by the statutory auditors via...

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: Nov 06, 2026

PDS Limited AI Stock Analysis