R Systems International Limited (RSYSTEMS) AI Stock Analysis

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R Systems International Limited

(NSE:RSYSTEMS)

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Rating:70Outperform

Price Target:INR 305.00▲(17.74% Upside)

Action:upgraded

Date:10/01/26

The company's strong revenue growth and improving profitability are the primary drivers of the score. These are tempered by increased financial leverage and a recent decline in free cash flow. Technicals show positive short-term momentum, though the stock faces resistance below its 200-day average. A fair valuation and high dividend yield add further support.

Positive Factors

Re-accelerating Revenue GrowthThe return to stronger revenue growth indicates improving demand for the company’s IT services after a softer 2024. Continued expansion across software engineering, cloud, data, and digital transformation work can support a broader revenue base over the next several quarters.

Negative Factors

Sharp Increase in LeverageThe rapid increase in leverage reduces financial flexibility compared with the company’s previously conservative position. Higher debt can constrain capital allocation and make the business more sensitive to earnings volatility, financing costs, or weaker operating conditions over the medium term.

R Systems International Limited (RSYSTEMS) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 30.26B
Dividend Yield: 5.42%
Average Volume (3M): 195.48K
Price to Earnings (P/E): 13.8
Beta (1Y): 0.83
Revenue Growth: 26.71%
EPS Growth: 17.26%
Country: India
Employees: 5,359
Sector: General
Sector Strength: 55
Industry: Information Technology Services

R Systems International Limited Business Overview & Revenue Model

Company Description

Operating globally, R Systems International Limited is a prominent provider of information technology (IT) and business process outsourcing (BPO) services. Its extensive suite of solutions includes AWS-driven services, comprehensive 'campaign to clos...

How the Company Makes Money

R Systems makes money primarily by delivering IT services and business process services to enterprise customers under commercial contracts. Key revenue streams typically include: (1) Software engineering and application services: fees for building an...

R Systems International Limited Financial Statement Overview

Summary

Solid revenue growth (8.9% YoY) and improving margins (net margin 9.5%, EBIT margin 13.8%) are offset by increased leverage (debt-to-equity 0.62) and a decline in free cash flow. Overall, the financial profile is healthy but carries moderate risk from higher debt.

Income Statement

75Positive

Balance Sheet

65Positive

Cash Flow

70Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	20.91B	19.58B	17.42B	16.85B	15.16B	11.56B
Gross Profit	7.42B	6.71B	5.51B	4.40B	4.12B	4.16B
EBITDA	3.84B	3.36B	2.65B	2.64B	2.10B	2.02B
Net Income	2.13B	1.86B	1.31B	1.40B	1.40B	1.41B
Balance Sheet
Total Assets	20.87B	21.02B	12.16B	13.15B	8.33B	6.92B
Cash, Cash Equivalents and Short-Term Investments	2.98B	4.01B	1.98B	1.82B	2.70B	2.73B
Total Debt	4.13B	4.10B	728.82M	1.31B	771.24M	577.31M
Total Liabilities	8.57B	8.77B	3.51B	4.63B	2.88B	2.32B
Stockholders Equity	10.37B	7.92B	6.24B	6.11B	5.45B	4.60B
Cash Flow
Free Cash Flow	1.40B	1.76B	2.23B	1.91B	604.90M	592.56M
Operating Cash Flow	1.61B	2.20B	2.35B	2.11B	963.86M	873.15M
Investing Cash Flow	-3.45B	-3.26B	147.62M	-2.23B	-213.71M	211.89M
Financing Cash Flow	2.41B	2.09B	-2.16B	-409.09M	-864.00M	-1.16B

R Systems International Limited Technical Analysis

Technical Analysis SentimentNeutral

Last Price259.05

Price Trends

50DMA251.01Positive

100DMA245.04Positive

200DMA261.96Negative

Market Momentum

MACD2.96Negative

RSI51.96Neutral

STOCH42.84Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RSYSTEMS, the sentiment is Neutral. The current price of 259.05 is above the 20-day moving average (MA) of 257.31, above the 50-day MA of 251.01, and below the 200-day MA of 261.96, indicating a neutral trend. The MACD of 2.96 indicates Negative momentum. The RSI at 51.96 is Neutral, neither overbought nor oversold. The STOCH value of 42.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:RSYSTEMS.

R Systems International Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:RSYSTEMS against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:DATAMATICS	74Outperform	INR 43.38B	19.05	―	0.69%	11.14%	-2.79%
IN:RSYSTEMS	70Outperform	INR 31.03B	13.81	―	5.42%	26.71%	17.26%
IN:MASTEK	65Neutral	INR 46.08B	10.86	―	1.61%	6.37%	16.34%
IN:SASKEN	56Neutral	INR 26.06B	30.95	―	1.46%	51.46%	113.40%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:HAPPSTMNDS	47Neutral	INR 48.34B	20.57	―	2.11%	12.13%	18.66%

* General Sector Average

Performance Comparison

IN:RSYSTEMS and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:RSYSTEMS	R Systems International Limited	259.05	-135.11	-34.28%
IN:DATAMATICS	Datamatics Global Services Limited	730.35	-163.89	-18.33%
IN:HAPPSTMNDS	Happiest Minds Technologies Ltd.	317.15	-175.37	-35.61%
IN:MASTEK	Mastek Limited	1489.00	-817.88	-35.45%
IN:SASKEN	Sasken Technologies Ltd	1711.00	317.96	22.82%

R Systems International Limited Corporate Events

R Systems declares second interim dividend and outlines TDS compliance for shareholders

Sep 27, 2026

R Systems International has announced that its board has declared a second interim dividend of Rs 8 per equity share with a face value of Re 1 for the financial year ending December 31, 2026. The company has set October 1, 2026 as the record date to...

R Systems Schedules Analyst Meetings at Mumbai Investor Conferences

Aug 7, 2026

R Systems International Limited, an India-based IT and IT-enabled services provider, operates from Greater Noida with a registered office in New Delhi and maintains listings on both NSE and BSE. Its engagement with analysts and institutional investor...

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 01, 2026

R Systems International Limited AI Stock Analysis