Syrma SGS Technology Ltd.
NSE: SYRMASyrma SGS Technology Ltd.: A 30-second snapshot
Syrma SGS Technology (SYRMA) is an electronics manufacturing services company currently priced at ₹1,334, up 152.64% over the past 12 months and sitting within 1.6% of its 52-week high. Trailing PE of 79.04 and forward PE of 46.75 reflect strong revenue growth (5-year CAGR 58.4%) alongside a debt-to-equity of 13.045 and ROE of 14.14% that has not crossed 15% in any year of available history, with free cash flow positive in only 1 of those years.
P/E
79.0
Forward P/E
46.8
ROE
+14.1%
Debt / Equity
13.04
Profit Margin
+6.6%
Div. Yield
+0.1%
5Y ROE > 15%
0/5
5Y FCF > 0
1/5
Quality
53/100
News
8 headlines · 4 positive · 0 negative
Syrma SGS FY26 net profit rises 87% on strong revenue growth - scanx.trade
scanx.trade
Buy Syrma SGS; target of Rs 1300: Motilal Oswal - Moneycontrol.com
Moneycontrol.com
Dixon Tech, Amber, PGEL, Syrma, EPACK: Demand recovery in sight; stocks a buy? - Business Today
Business Today
Syrma SGS soars 25% in 3 weeks, at new high; should you buy, hold or sell? - Business Standard
Business Standard
Buy Syrma SGS Ltd for the Target Rs.1,300 by Motilal Oswal Financial Services Ltd - Investment Guru
Investment Guru
Recent context
- ·FY26 full-year net profit was reported to have risen 87% YoY, attributable to strong revenue growth — this result drove significant price appreciation in May–June 2026.
- ·Business Standard noted the stock rose approximately 25% in 3 weeks through mid-June 2026 to reach new highs; Business Today placed SYRMA alongside Dixon Tech, Amber Enterprises, and PGEL in a demand-recovery-in-EMS piece dated 17 June 2026.
- ·Motilal Oswal retained Outperform on SYRMA post FY26 results in May 2026; news coverage remains concentrated around the earnings event, leaving ongoing operational and regulatory developments less visible in the current dataset.
Strengths
- +Revenue growth has compounded at 58.4% over 5 years and earnings at 43.7%, making SYRMA one of the faster-growing companies in the EMS sector over that period.
- +FY26 net profit rose 87% YoY per June 2026 results coverage, suggesting the revenue ramp has recently begun translating into bottom-line growth.
- +The stock trades above both its 50-DMA (₹1,078.56) and 200-DMA (₹862.22), with 273 bars of technical data confirming a sustained upward price trend over the trailing period.
- +Mean analyst rating of 1.625 across 24 analysts (1–5 scale, lower = more constructive), with Motilal Oswal citing an Outperform view post the FY26 results as a named broker action.
Weaknesses
- −Debt-to-equity of 13.045 is extreme for a non-financial company; FCF has been positive in only 1 of the available historical years, indicating growth has been financed externally rather than generated internally.
- −ROE of 14.14% has not cleared 15% in any year of available history, and profit margin of 6.59% is thin; trailing PE of 79.04 prices in improvement that capital efficiency metrics have not yet delivered.
- −RSI of 76.13 is in overbought territory; at ₹1,334, the nearest identified support levels are ₹957.40 and ₹945.85 — approximately 28% below current price — with no resistance levels mapped above current price.
- −SYRMA ranks 5th of 6 peers on ROE and 4th of 6 on quality score (46), trailing BEL (ROE 27.56%, quality 49) and Cummins India (ROE 29.46%, quality 69) on capital efficiency measures.
Open questions
- ?Does the 58.4% revenue CAGR reflect a structural shift in domestic EMS demand, or is it partly driven by a few large customer relationships that could be volatile?
- ?With FCF positive in only 1 of the available historical years and D/E at 13.045, how is the company planning to fund continued growth — and what does its debt maturity profile look like?
- ?How much of the forward PE compression from 79.04 to 46.75 depends on margin expansion, and what operating leverage exists at the current revenue base to achieve it?
- ?How does SYRMA's return on capital trajectory compare with BEL and Cummins India over the past 3–5 years, given those peers demonstrate ROE roughly twice as high at the current time?
Peer comparison: Infrastructure
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| SYRMA | Syrma SGS Technology Ltd.You're viewing | 79.0 | +14.1% | 46 |
| Industry avg | across 5 peers | 76.0 | +23.4% | 47 |
| CUMMINSIND | Cummins India Ltd. | 68.9 | +29.5% | 69 |
| BEL | Bharat Electronics Ltd. | 51.6 | +27.6% | 49 |
| ABB | ABB India Ltd. | 98.8 | — | 47 |
| CGPOWER | CG Power and Industrial Solutions Ltd. | 124.8 | +19.6% | 45 |
| LT | Larsen & Toubro Ltd. | 36.0 | +16.9% | 24 |
Technical state
Current price
₹1,334.00
SMA 50
₹1,078.56
SMA 200
₹862.22
RSI (14)
76.1 (overbought)
From 52w high
-1.6%
1Y return
+152.6%
3M return
+76.0%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Risk flags
- highDebt-to-equity of 13.045 is extremely elevated for a non-financial company. FCF has been positive in only 1 of the available historical years despite a 5-year revenue CAGR of 58.4% and a 5-year earnings CAGR of 43.7%, indicating that reported growth has been funded primarily through external capital rather than internally generated cash.
- highROE of 14.14% has not cleared 15% in any year of available history (roeYearsAbove15 = 0) and profit margin is 6.59%. Trailing PE of 79.04 and forward PE of 46.75 embed a material re-rating assumption that historical capital efficiency has not yet supported.
- mediumRSI of 76.13 is in overbought territory. Price has risen 152.64% over 12 months and 76.01% over 3 months, and currently trades 23.7% above its 50-DMA (₹1,078.56) and 54.7% above its 200-DMA (₹862.22). The nearest identified support levels are ₹957.40 and ₹945.85, approximately 28% below current price.
- mediumSYRMA ranks 5th of 6 peers on ROE and 4th of 6 on quality score (46 vs peer high of 69 for Cummins India). Peers BEL (ROE 27.56%) and Cummins India (ROE 29.46%) demonstrate meaningfully stronger capital efficiency; CGPOWER and ABB trade at higher PE multiples but carry higher quality scores.
- lowNews sample is limited to 8 articles, with coverage concentrated around the FY26 earnings release in May–June 2026. Ongoing operational or regulatory developments are less visible in this dataset given the narrow coverage window.
Cross-section contradictions
- FY26 net profit rose 87% YoY per reported results, yet FCF has been positive in only 1 of the available historical years — sustained cash conversion from reported earnings growth has not been demonstrated historically.
- The stock has gained 152.64% over 12 months and trades 54.7% above its 200-DMA, while ROE has never cleared 15% and the quality score of 46 ranks SYRMA 4th of 6 in its peer group — price momentum and demonstrated capital efficiency diverge substantially.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 21 Jun 2026 · rotates through NIFTY 500 every ~5 days