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VEDAVAAG SYSTEMS
PE (Price/Earnings) Ratio

The Current P/E Ratio of VEDAVAAG SYSTEMS is 15.70.

Share Price ₹49.3Apr 18,2024
Market Cap ₹113.0 Cr
Earnings-TTM₹7.2 CrTTM-Consolidated Results
Price/Earnings15.70xCalculated as Market Cap/Earnings
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Definition & Calculation of PE (Price/Earnings) ratio of VEDAVAAG SYSTEMS

Price-to-Earnings ratio, P/E Multiple, or P/E Ratio is an important valuation multiple that is defined as:

P/E = Market Capitalization / Net Income

or, using per-share numbers:

P/E = Stock Price / Earnings Per Share (EPS)

Applying the above formula, P/E ratio of VEDAVAAG SYSTEMS is calculated as :

Current Market Cap [ ₹113.0 Cr] as on Apr 18,2024

(/) Earnings [ ₹7.2 Cr] based on TTM-Consolidated Results

(=) P/E Ratio [ 15.70x ]

P/E Ratio indicates the multiple of earnings investors are willing to pay to own one share of the company.

Thus, for VEDAVAAG SYSTEMS , the investors are currently willing to pay 15.70 times earnings to own 1 share of the company.

PE Multiples are the most widely used valuation multiple in practice.

Since P/E ratio uses Net Income in the calculation, P/E multiples are not always reliable for valuing companies with negative earnings.

In such cases, you may consider using Price to Book ratio or Price to Sales ratio of VEDAVAAG SYSTEMS !

P/E ratios, also, would not adjust for differences in the capital structure between companies.

The chart below summarizes the trend in P/E Ratio of VEDAVAAG SYSTEMS over the last five years.

Historical PE (Price/Earnings) ratio chart of VEDAVAAG SYSTEMS


PE Ratio Performance Analysis for VEDAVAAG SYSTEMS

- VEDAVAAG SYSTEMS 's latest p/e ratio is 15.70x.

- VEDAVAAG SYSTEMS 's p/e ratio for fiscal years ending Mar2023 to Mar2019 averaged 9.65x.

- VEDAVAAG SYSTEMS 's operated at median p/e ratio of 8.94x from fiscal years ending March 2018 to 2022.

- Looking back at the last 5 fiscal years, VEDAVAAG SYSTEMS 's p/e ratio peaked in Mar2022 at 15.97x.

- VEDAVAAG SYSTEMS 's p/e ratio hit its five-year low in Mar2020 of 5.78x.


How does VEDAVAAG SYSTEMS 's P/E Ratio benchmark against top 10 peers in IT - Software Industry?

Peer Comparison (IT - Software Industry)Earnings-TTM (Cr)PE RatioMarket Cap
VEDAVAAG SYSTEMS 7.2015.70113.0
TATA CONSULTANCY SERVICES LTD46,099.0030.321,397,850.0
INFOSYS LTD26,248.0022.46589,652.0
HCL TECHNOLOGIES LTD15,696.0025.37398,271.0
WIPRO LTD11,350.1020.45232,158.0
LTIMINDTREE LTD4,598.0030.31139,345.0
TECH MAHINDRA LTD2,858.5040.32115,243.0
ORACLE FINANCIAL SERVICES SOFTWARE LTD2,138.5431.2966,911.7
PERSISTENT SYSTEMS LTD1,029.6857.4759,174.5
L&T TECHNOLOGY SERVICES LTD1,275.7043.7455,796.3
TATA ELXSI LTD796.8258.5646,664.7

IT - Software Industry Benchmark (Top 10) PE Analysis vs VEDAVAAG SYSTEMS 's P/E Ratio

Top 10 Industry PeersPE Ratio
Min industry PE 15.70x
Max industry PE 58.56x
Median industry PE 30.32x
Average industry PE 34.18x



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