Hexaware Technologies Limited Intrinsic Value
HEXT · Information Technology · Current price ₹582.2
Is Hexaware Technologies Limited undervalued?
We estimate the fair value of Hexaware Technologies Limited at ₹683 per share, against a market price of ₹497. That puts the share price about +37.4% below our estimate, at high confidence. This is our view of what the business is worth, not a target price or a forecast of where the share price will go.
How this fair value is calculated
This estimate comes from 1 method: Fair multiple (P/E) (₹683). Each is weighted by how well its inputs held up for this company. The full working, including the assumptions and what data was missing, is set out below.
The range around this estimate
Our estimate for Hexaware Technologies Limited spans ₹615 to ₹752. A margin of safety means buying meaningfully below the estimate: the wider the range, the more room the assumptions leave for error.
Margin of safety
Value investors look for a margin of safety: a discount to estimated value that absorbs being wrong. At ₹497 against an estimated value of ₹683, Hexaware Technologies Limited trades at +37.4%, i.e. a discount to our estimate. How much margin to demand depends on how much you trust the inputs, which is what the confidence band below is for.
How we got this fair value
Every number below is part of the same estimate for Hexaware Technologies Limited. Nothing here is a target price or a forecast of where the share price will go.
The models agree and the inputs are well covered. Treat this as our firmest estimate.
Estimate range ₹615 – ₹752
Why this method for this business
Hexaware Technologies, as an IT services provider, is best valued using relative P/E and EV/EBITDA due to its earnings power and asset-light nature. These models align with its growth potential and scalable moat.
The models behind the number
Each method is weighted by how well its inputs held up for this company.
required inputs missing
- dcf: Not used due to lack of reliable cash flow projections and sensitivity to discount rates
- fair multiple (P/E): Not used as it was already incorporated into the relative P/E model
What was missing
- Lack of detailed cash flow projections for DCF analysis
- Limited analyst coverage for forward-looking estimates
What drives it
14 inputs, grouped by how strong each claim is
- Sector-median P/E
- 24.03×
- Peers used
- 11
- EPS (TTM)
- 22.01 ₹/share
peer-median
peer-median
computed
- Term: quality
- +8.9%
- Term: growth
- +0.0%
- Term: capital_allocation
- +7.0%
- Term: financial_strength
- +9.4%
- Term: history
- +0.0%
- Term: sector_rerating
- +0.0%
- Term: rate_regime
- +1.2%
- Term: risk
- +0.0%
quality 73/100 (high, stable returns) → premium
growth: no CAGR history → neutral
capital allocation: rising ROCE funded by strong FCF → premium
financial strength: low leverage (D/E 0.1) → mild premium
history: no reliable own-history P/E → not used
sector re-rating: no sector-norm history → not used
rates: risk-free 6.9% below ~7.1% normal → higher multiple
risk: no analyst-dispersion signal available → neutral (lowers confidence, not PE)
- Premium vs sector
- +29.2%
- Fair-multiple confidence
- 64%
- Fair P/E
- 31.04×
fundamentals + macro (not capped at own history)
data completeness + term agreement
sector median × ∏(1+term) — Dynamic Fair Multiple
Who computed this
A language model (qwen3:8b) selects the valuation method and the judgement inputs for Hexaware Technologies Limited: which models suit the business, the moat, the growth and margin assumptions. It does not produce the number. The fair value itself is computed in Python by a deterministic engine (version 2026.08.1) from those inputs, so the same inputs always give the same result and every figure above can be traced to a source.
Estimated 14 Sept 2026. Re-run as new financials and news arrive.
How we value stocks
We estimate what a business is worth from its own economics: cash flows, returns on capital, and a multiple justified by its quality, rather than from where the share price has been. A fair value estimate is a view, not a verdict, and it is only as good as the inputs listed above.
Read the full fair-value methodologyMore on Hexaware Technologies Limited
DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.