Overall Fundamental outlook

Business Operations:

Sector: Financial Services
Industry: Capital Markets

Central Depository Services (India) Limited, together with its subsidiaries, provides depository services in India. It operates through Depository; Data Entry and Storage; and Repository segments. The Depository segment offers various services to investors, such as dematerialisation, rematerialisation, holding, transfer, and pledge of securities in electronic form; and e-voting services to companies. Its Data Entry and Stroage segment provides centralized record keeping of KYC document of capital market investors. The Repository segment offers policyholders/warehouse receipt holders a facility to keep insurance policies/warehouse receipts in electronic form and to undertake changes, modifications, and revisions in the policy/receipt. It also provides account opening, processing delivery and receipt instructions, pledging, nomination, transmission of securities, change in address, bank account details, and SMS services for depository participants (DPs). In addition, the company offers various services, such as electronic access to security information, electronic access to security information and execution of secured transaction, SMS alerts related to transactions, electronic consolidated account statements, and virtual annual general meetings; Myeasi mobile application; application programming interfaces for DPs, electronic delivery instruction slip, and electronic margin pledge; and electronic foreign investment monitoring, electronic system driven disclosure services, and electronic notices, as well as e-locker services. Further, it provides KYC registration agency, eKYC, electronic signature service, tax filing, stamp duty calendar, electronic negotiable warehouse receipts and electronic non-negotiable warehouse receipts, and electronic insurance account. The company serves market participants, exchanges, clearing corporations, DPs, issuers, and investors. Central Depository Services (India) Limited was incorporated in 1997 and is based in Mumbai, India.

Revenue projections:

Revenue projections for CDSL
Revenue projections for CDSL

CDSL is projected to see a decline in revenue compared to last year, which could lead to investor caution. A drop in earnings is often viewed as a negative signal for profitability, making it more difficult for the company to maintain investor confidence in its financial health.

Financial Ratios:

currentRatio 0.000000
forwardPE 53.241245
debtToEquity 0.000000
earningsGrowth -0.224000
revenueGrowth -0.022000
grossMargins 1.000000
operatingMargins 0.494080
trailingEps 25.120000
forwardEps 31.590000

Central Depository Services (India) Limited's forward PE is elevated, which could constrain price appreciation and lead to a correction. Investors should consider this parameter in conjunction with other fundamentals to fully assess whether the stock is priced fairly.
CDSL's low earnings and revenue growth suggest that the company may see declining profits. This indicates potential financial challenges ahead, and could lead to a more cautious outlook from investors.
Positive gross and operating margins for CDSL highlight the company's profitability. These metrics reflect CDSL's efficiency in controlling costs while generating strong revenue from its core operations, signaling robust financial health.
CDSL's forward EPS surpasses its trailing EPS, indicating that the company is expected to be more profitable in the current financial year. This reflects growing confidence in CDSL's earnings potential, suggesting stronger financial performance compared to the previous year.

Price projections:

Price projections for CDSL
Price projections for CDSL

Price projections for Central Depository Services (India) Limited have been gradually reduced, reflecting growing uncertainty about the company's future performance. The downward revisions indicate analysts are lowering their expectations for Central Depository Services (India) Limited's market trajectory.

Central Depository Services (India) Limited's price has already surpassed the upper threshold of projections, indicating significant upward momentum. However, the constrained potential for further increases suggests that the stock may be reaching a point of stabilization.

Recommendation changes over time:

Recommendations trend for CDSL
Recommendations trend for CDSL


Central Depository Services (India) Limited has received a favorable buy bias from analysts recently, positioning it as a solid investment opportunity. This sentiment may attract more investors, who view Central Depository Services (India) Limited as a stable option to park their money and potentially benefit from the company's continued growth and profitability.