MASTEK
Micro CapMastek Limited
IT
Mastek is a global provider of enterprise AI, digital, and cloud services across 40+ countries with ~5,000 employees. It focuses on "Lead with AI" to accelerate transformation for clients in Public Sector, Healthcare, Retail, Manufacturing, Higher Education, and Financial Services, partnering with Oracle, Salesforce, Microsoft, and AWS.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Strong fundamentals, management trust is supportive, but price trend argues for patience. Suitable for staggered entry or watchlist confirmation rather than aggressive buying.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Good · 60/100Rev +4% YoY · PAT +31% YoY · margin expansion · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹938 Cr | +3.6% | +3.5% |
| EBITDA | ₹151 Cr | +8.6% | -0.7% |
| Operating margin | 16.0% | +100 bps | -100 bps |
| PAT | ₹106 Cr | +30.9% | -1.9% |
| PAT margin | 11.3% | +235 bps | -62 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
Mastek reported Q4FY26 revenue of Rs 938.0 Cr, up 3.6% YoY and QoQ. Operating EBITDA margin was 16.1%. The 12-month order backlog grew 24.4% YoY in INR, indicating improving revenue visibility. FY26 dividend totals 480%.
Management's focus on "resetting foundations" in FY26, including leadership, pipeline quality, and AI-led efficiencies, appears to be yielding results. Strong order backlog growth and AI deal momentum provide improved visibility for FY27, despite modest Q4 revenue growth. Sustained margins are positive.
Revenue by Market Region (Q4FY26)
Latest issuer-disclosed distribution across 3 reported categories.
UK Business Growth
UK business continues to lead growth with 21.8% in INR for FY26, driven by strong focus in healthcare, which grew by 95% Y-o-Y.
AI-First Strategy
Closed over 25 AI-assisted deals in Q4FY26, taking the full-year total to 85+ deals, translating into measurable outcomes.
North America Recovery
Leading indicators are turning positive in North America, supported by an execution-focused leadership team and strengthening pipeline.
Revenue per Employee Improvement
Outcome-focused drive on AI has helped deliver a 12% improvement in revenue per employee.
Strong Order Backlog
12 months order backlog grew by 24.4% Y-o-Y in rupee terms, driven by continued strength in the UK and US Orderbook, improving revenue visibility.
AI Strategy Traction
The 'Lead with AI' strategy is translating into measurable outcomes, with 25+ new AI deals in Q4FY26.
UK Market Leadership
The UK business continues to lead growth, particularly in healthcare, complemented by new client wins in Financial Services.
Macroeconomic Uncertainty
Management states the macroeconomic environment remains uncertain.
North America Market Evolution
The North America market is 'still evolving', despite positive leading indicators.
Wage & Labor Cost Impacts
Operating EBITDA margins sustained despite absorbing the impact of annual wage revisions and labour code true-ups.
Macroeconomic Environment
The macroeconomic environment remains uncertain, posing potential challenges to growth and demand.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Both YoY and QoQ are relevant. YoY provides a view on structural growth and annual performance trends, while QoQ indicates sequential momentum, project execution, and immediate demand shifts in the IT services sector.
Revenue from Operations (INR Cr)
Q4FY26: 938.0 (3.6% QoQ, 3.6% YoY). FY26: 3,698.8 (7.0% YoY).
Operating EBITDA Margin (%)
Q4FY26: 16.1% (-71bps QoQ, +75bps YoY). FY26: 15.8% (+2bps YoY).
Net Profit Margin (%)
Q4FY26: 11.0% (-66bps QoQ, +212bps YoY). FY26: 10.7% (-9bps YoY).
12 Months Order Backlog (INR Cr)
Q4FY26: 2,849.2 (7.2% QoQ, 24.4% YoY).
Improved FY27 Visibility
Management states they are entering FY27 with improved visibility and a clear path to accelerated growth after resetting foundations in FY26.
Strategic Positioning
Deep client relationships, strong deal pipeline, and sustained operational rigor position the company to navigate near-term challenges and capitalize on opportunities.
Foundation Reset in FY26
FY26 was a year of strengthening leadership, improving pipeline quality, and embedding AI-led efficiencies.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| 12 Months Order Backlog Growth | 24.4% YoY (INR) | Sustained growth in order backlog to ensure future revenue visibility. |
| AI Deal Momentum & Revenue Contribution | 25+ new AI deals in Q4FY26, 85+ for FY26 | Continued increase in AI-assisted deal wins and their translation into significant revenue streams. |
| North America Revenue Growth | Leading indicators turning positive, market 'still evolving' | Concrete signs of recovery and accelerated revenue growth from the North American market. |
| Operating EBITDA Margin Stability | 16.1% in Q4FY26 | Ability to maintain or improve margins amidst potential wage inflation and macroeconomic pressures. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
44NeutralSMA20 -13.0% / mo
Technical chart
MASTEKweekly · 3Y-44.5%Technical trend read
Bearish setupTrend is weak — long-term trend unclear. RSI 43.
- SMA20 falling (~14.9% over last month) — short-term momentum negative.
- RSI(14) at 43 — falling, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 37% off 52W high · 22% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
DEEP VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- FCF yield is supportive at 9.5%.
- Piotroski is strong at 8/9.
- Fair-value margin of safety is positive at 65.3%.
Main drags
- Quality is weaker at 9/20; verify the latest quarterly trend.
- Growth is weaker at 16/25; verify the latest quarterly trend.
- Balance sheet is weaker at 11/15; verify the latest quarterly trend.
IT valuation: PE and EV/EBITDA against growth and margins
Asset-light IT companies deserve valuation support only when growth, margins, and cash conversion hold up.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +1 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 93rd percentile of the scored universe and 90th percentile within IT. No major sub-score weakness stands out.
High Trust Lite: Promoter pledge is zero.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · IT: 90th pctile, median 68 · Micro: 89th pctile, median 71
0 documents indexed, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸FCF yield is 9.3%.
- ▸8 years of positive FCF.
- ▸8/8 recent quarters had positive YoY revenue growth.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 11.80
- P/B
- 1.67
- EV/EBITDA
- 8.27
- Market Cap
- 5010.00Cr
Profitability
- ROE
- 15.60%
- ROCE
- 18.00%
- ROA
- 9.38%
- Dividend Y
- 1.43%
Growth (CAGR)
- Revenue 5Y
- 17.00%
- EPS 5Y
- 16.00%
- Revenue 3Y
- 13.00%
- EPS 3Y
- 16.00%
Balance Sheet
- Debt/Equity
- 0.15
- Interest Coverage
- 18.31×
- Altman Z
- 4.81
- Book Value
- 965.00
Cash Flow
- FCF Yield
- 9.50%
- FCF Positive Y
- 8/5
- OCF
- 542.00 Cr
- EPS TTM
- 130.33
Shareholding
- Promoter Hold
- 35.77%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 19%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in IT — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.