Hexaware Technologies made a strong debut on the stock market, listing at ₹745 on NSE, a 5.2% premium over its IPO price of ₹708. The stock further climbed to ₹778 post-listing, signaling strong investor interest in the company's growth potential. With a market capitalization of ₹43,024.78 crore at the IPO price, Hexaware Technologies is a well-established global digital and technology services company with AI at its core.

Hexaware Technologies IPO Performance

The Hexaware Technologies IPO opened for subscription between February 12 and February 14, 2025. It saw a subscription of 2.66 times, reflecting decent demand from investors. The company raised ₹2,597.99 crore from Anchor Investors, with shares allotted at ₹708 per equity share.

Despite the lack of Grey Market Premium (GMP) before listing, the stock managed to achieve modest listing gains, suggesting that its valuation was fairly priced. Investors and analysts are now closely watching Hexaware Technologies' post-listing performance to determine whether the stock has further upside potential.

Should You Buy, Sell, or Hold Hexaware Technologies Stock?

Financial experts are divided on whether investors should buy, sell, or hold the stock at its current price levels.

• Target Price: JM Financial has set a target price of ₹820, citing strong revenue growth and the company’s AI-driven technology solutions.
• Financial Performance: The company's revenues have consistently grown, reaching ₹1,03,891 million in FY23. EBITDA and profit after tax (PAT) have also shown steady growth, highlighting Hexaware’s financial stability.
• Valuation and Industry Comparison: The company’s post-issue P/E ratio of 43.14x is lower than the industry average of 55x, indicating that the stock is reasonably valued compared to peers.

Hexaware Technologies: A Leader in AI-Driven Technology Solutions

Hexaware Technologies specializes in digital and technology services, integrating AI into every aspect of its business. The company offers a suite of AI-powered platforms that enable enterprises to optimize operations, drive innovation, and accelerate digital transformation.

Key Financial Indicators

• Revenue (FY23): ₹1,03,891 million
• EBITDA (FY23): ₹15,899 million
• Profit After Tax (FY23): ₹9,976 million
• ROCE (FY24): 29.00%
• ROE (FY24): 22.60%

These figures indicate that Hexaware Technologies has a solid financial foundation, which strengthens its position as a leading player in the AI and digital services industry.

Investment Outlook: What Should Investors Do?

• Long-term investors may consider holding the stock, given its strong financials, AI-driven strategy, and growth potential.
• Short-term traders should closely watch market trends and quarterly results before making further decisions.
• New investors may wait for a dip to enter at better valuation levels.

Conclusion

Hexaware Technologies' successful IPO debut and strong financials make it an attractive stock for long-term investors. However, considering the post-listing price movements and industry valuations, investors should analyze market trends before making buy or sell decisions.

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