NTWK Fundamental Analysis - NETSOL TECHNOLOGIES INC

Fundamental Rating

Overall NTWK gets a fundamental rating of 4 out of 10. We evaluated NTWK against 281 industry peers in the Software industry. While NTWK has a great health rating, its profitability is only average at the moment. NTWK is valued expensive and it does not seem to be growing.

Quickly go to:

1. Profitability

1.1 Basic Checks

NTWK had positive earnings in the past year.

NTWK had a positive operating cash flow in the past year.

The reported net income has been mixed in the past 5 years: NTWK reported negative net income in multiple years.

In the past 5 years NTWK always reported a positive cash flow from operatings.

1.2 Ratios

NTWK has a better Return On Assets (0.46%) than 61.92% of its industry peers.

NTWK's Return On Equity of 0.75% is fine compared to the rest of the industry. NTWK outperforms 63.35% of its industry peers.

With a decent Return On Invested Capital value of 1.81%, NTWK is doing good in the industry, outperforming 66.19% of the companies in the same industry.

		Industry Rank	Sector Rank
ROA	0.46%
ROE	0.75%
ROIC	1.81%

ROA(3y)-3.03%

ROA(5y)-1.19%

ROE(3y)-5.14%

ROE(5y)-2.11%

ROIC(3y)N/A

ROIC(5y)N/A

1.3 Margins

Looking at the Profit Margin, with a value of 0.41%, NTWK is in the better half of the industry, outperforming 61.21% of the companies in the same industry.

In the last couple of years the Profit Margin of NTWK has declined.

The Operating Margin of NTWK (1.72%) is better than 62.63% of its industry peers.

In the last couple of years the Operating Margin of NTWK has declined.

The Gross Margin of NTWK (47.87%) is worse than 70.46% of its industry peers.

NTWK's Gross Margin has been stable in the last couple of years.

		Industry Rank	Sector Rank
OM	1.72%
PM (TTM)	0.41%
GM	47.87%

OM growth 3Y4.74%

OM growth 5Y-10.79%

PM growth 3Y-29.95%

PM growth 5Y-38.49%

GM growth 3Y-0.19%

GM growth 5Y-1.25%

More info and screens

ROA

ROE

ROIC

Operating and Profit Margin

Show most profitable peers

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NTWK is destroying value.

The number of shares outstanding for NTWK has been increased compared to 1 year ago.

NTWK has less shares outstanding than it did 5 years ago.

The debt/assets ratio for NTWK has been reduced compared to a year ago.

2.2 Solvency

An Altman-Z score of 2.01 indicates that NTWK is not a great score, but indicates only limited risk for bankruptcy at the moment.

Looking at the Altman-Z score, with a value of 2.01, NTWK is in line with its industry, outperforming 48.04% of the companies in the same industry.

The Debt to FCF ratio of NTWK is 1.41, which is an excellent value as it means it would take NTWK, only 1.41 years of fcf income to pay off all of its debts.

NTWK has a better Debt to FCF ratio (1.41) than 71.17% of its industry peers.

A Debt/Equity ratio of 0.00 indicates that NTWK is not too dependend on debt financing.

Looking at the Debt to Equity ratio, with a value of 0.00, NTWK is in the better half of the industry, outperforming 67.62% of the companies in the same industry.

		Industry Rank	Sector Rank
Debt/Equity	0
Debt/FCF	1.41
Altman-Z	2.01

ROIC/WACC0.15

WACC12.14%

2.3 Liquidity

NTWK has a Current Ratio of 2.26. This indicates that NTWK is financially healthy and has no problem in meeting its short term obligations.

NTWK has a Current ratio of 2.26. This is in the better half of the industry: NTWK outperforms 66.90% of its industry peers.

A Quick Ratio of 2.26 indicates that NTWK has no problem at all paying its short term obligations.

With a decent Quick ratio value of 2.26, NTWK is doing good in the industry, outperforming 67.26% of the companies in the same industry.

		Industry Rank	Sector Rank
Current Ratio	2.26
Quick Ratio	2.26

More info and screens

WACC

Debt/Equity

How to determine the health of a company

Altman-Z score

Show peers with great health

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 105.42% over the past year.

The earnings per share for NTWK have been decreasing by -39.52% on average. This is quite bad

The Revenue has grown by 9.19% in the past year. This is quite good.

The Revenue has been decreasing by -1.97% on average over the past years.

EPS 1Y (TTM)105.42%

EPS 3Y-26.36%

EPS 5Y-39.52%

EPS Q2Q%300%

Revenue 1Y (TTM)9.19%

Revenue growth 3Y3.78%

Revenue growth 5Y-1.97%

Sales Q2Q%13.38%

3.2 Future

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.

No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.

EPS Next YN/A

EPS Next 2YN/A

EPS Next 3YN/A

EPS Next 5YN/A

Revenue Next YearN/A

Revenue Next 2YN/A

Revenue Next 3YN/A

Revenue Next 5YN/A

3.3 Evolution

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.

No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.

More info and screens

Find the best growth stocks

Show best growing peers

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 228.50 indicates a quite expensive valuation of NTWK.

Based on the Price/Earnings ratio, NTWK is valued a bit more expensive than the industry average as 60.50% of the companies are valued more cheaply.

The average S&P500 Price/Earnings ratio is at 27.38. NTWK is valued rather expensively when compared to this.

		Industry Rank	Sector Rank
PE	228.5
Fwd PE	N/A

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, NTWK is valued cheaper than 83.99% of the companies in the same industry.

Based on the Price/Free Cash Flow ratio, NTWK is valued cheaper than 96.09% of the companies in the same industry.

		Industry Rank	Sector Rank
P/FCF	8.84
EV/EBITDA	16.8

4.3 Compensation for Growth

PEG (NY)N/A

PEG (5Y)N/A

EPS Next 2YN/A

EPS Next 3YN/A

More info and screens

Show best valued peers

5. Dividend

5.1 Amount

NTWK does not give a dividend.

		Industry Rank	Sector Rank
Dividend Yield	N/A

More info and screens

Find the best dividend stocks

Show peers with best dividend

NETSOL TECHNOLOGIES INC

NASDAQ:NTWK (9/19/2025, 8:00:02 PM)

After market: 4.57 0 (0%)

4.57

-0.53 (-10.39%)

Chartmill FA Rating

GICS SectorInformation Technology

GICS IndustryGroupSoftware & Services

GICS IndustrySoftware

Earnings (Last)05-14 2025-05-14/bmo

Earnings (Next)09-30 2025-09-30

Inst Owners22.6%

Inst Owner Change2.57%

Ins Owners16.45%

Ins Owner Change2.87%

Market Cap53.51M

Analysts82.86

Price TargetN/A

Short Float %0.15%

Short Ratio0.14

Dividend

		Industry Rank	Sector Rank
Dividend Yield	N/A

Yearly DividendN/A

Dividend Growth(5Y)N/A

DPN/A

Div Incr Years0

Div Non Decr Years0

Ex-DateN/A

Surprises & Revisions

EPS beat(2)N/A

Avg EPS beat(2)N/A

Min EPS beat(2)N/A

Max EPS beat(2)N/A

EPS beat(4)N/A

Avg EPS beat(4)N/A

Min EPS beat(4)N/A

Max EPS beat(4)N/A

EPS beat(8)N/A

Avg EPS beat(8)N/A

EPS beat(12)N/A

Avg EPS beat(12)N/A

EPS beat(16)N/A

Avg EPS beat(16)N/A

Revenue beat(2)N/A

Avg Revenue beat(2)N/A

Min Revenue beat(2)N/A

Max Revenue beat(2)N/A

Revenue beat(4)N/A

Avg Revenue beat(4)N/A

Min Revenue beat(4)N/A

Max Revenue beat(4)N/A

Revenue beat(8)N/A

Avg Revenue beat(8)N/A

Revenue beat(12)N/A

Avg Revenue beat(12)N/A

Revenue beat(16)N/A

Avg Revenue beat(16)N/A

PT rev (1m)N/A

PT rev (3m)N/A

EPS NQ rev (1m)N/A

EPS NQ rev (3m)N/A

EPS NY rev (1m)N/A

EPS NY rev (3m)N/A

Revenue NQ rev (1m)N/A

Revenue NQ rev (3m)N/A

Revenue NY rev (1m)N/A

Revenue NY rev (3m)N/A

Valuation

		Industry Rank	Sector Rank
PE	228.5
Fwd PE	N/A
P/S	0.83
P/FCF	8.84
P/OCF	8.21
P/B	1.51
P/tB	2.05
EV/EBITDA	16.8

EPS(TTM)0.02

EY0.44%

EPS(NY)N/A

Fwd EYN/A

FCF(TTM)0.52

FCFY11.31%

OCF(TTM)0.56

OCFY12.18%

SpS5.48

BVpS3.03

TBVpS2.23

PEG (NY)N/A

PEG (5Y)N/A

Profitability

		Industry Rank	Sector Rank
ROA	0.46%
ROE	0.75%
ROCE	2.8%
ROIC	1.81%
ROICexc	3.45%
ROICexgc	6.28%
OM	1.72%
PM (TTM)	0.41%
GM	47.87%
FCFM	9.44%

ROA(3y)-3.03%

ROA(5y)-1.19%

ROE(3y)-5.14%

ROE(5y)-2.11%

ROIC(3y)N/A

ROIC(5y)N/A

ROICexc(3y)N/A

ROICexc(5y)N/A

ROICexgc(3y)N/A

ROICexgc(5y)N/A

ROCE(3y)N/A

ROCE(5y)N/A

ROICexcg growth 3Y20.02%

ROICexcg growth 5Y7.2%

ROICexc growth 3Y21.24%

ROICexc growth 5Y3.71%

OM growth 3Y4.74%

OM growth 5Y-10.79%

PM growth 3Y-29.95%

PM growth 5Y-38.49%

GM growth 3Y-0.19%

GM growth 5Y-1.25%

F-Score8

Asset Turnover1.1

Health

		Industry Rank	Sector Rank
Debt/Equity	0
Debt/FCF	1.41
Debt/EBITDA	0.03
Cap/Depr	31.56%
Cap/Sales	0.72%
Interest Coverage	1.01
Cash Conversion	252.94%
Profit Quality	2285.24%
Current Ratio	2.26
Quick Ratio	2.26
Altman-Z	2.01

F-Score8

WACC12.14%

ROIC/WACC0.15

Cap/Depr(3y)49.69%

Cap/Depr(5y)50.09%

Cap/Sales(3y)2.84%

Cap/Sales(5y)3.12%

Profit Quality(3y)N/A

Profit Quality(5y)N/A

High Growth Momentum

Growth

EPS 1Y (TTM)105.42%

EPS 3Y-26.36%

EPS 5Y-39.52%

EPS Q2Q%300%

EPS Next YN/A

EPS Next 2YN/A

EPS Next 3YN/A

EPS Next 5YN/A

Revenue 1Y (TTM)9.19%

Revenue growth 3Y3.78%

Revenue growth 5Y-1.97%

Sales Q2Q%13.38%

Revenue Next YearN/A

Revenue Next 2YN/A

Revenue Next 3YN/A

Revenue Next 5YN/A

EBIT growth 1Y612.96%

EBIT growth 3Y8.7%

EBIT growth 5Y-12.55%

EBIT Next YearN/A

EBIT Next 3YN/A

EBIT Next 5YN/A

FCF growth 1Y350.15%

FCF growth 3Y-43.37%

FCF growth 5Y1.7%

OCF growth 1Y7142.67%

OCF growth 3Y-43.02%

OCF growth 5Y-10.01%

NETSOL TECHNOLOGIES INC (NTWK) Stock Fundamental Analysis

1. Profitability

1.1 Basic Checks

1.2 Ratios

1.3 Margins

More info and screens

2. Health

2.1 Basic Checks

2.2 Solvency

2.3 Liquidity

More info and screens

3. Growth

3.1 Past

3.2 Future

3.3 Evolution

More info and screens

4. Valuation

4.1 Price/Earnings Ratio

4.2 Price Multiples

4.3 Compensation for Growth

More info and screens

5. Dividend

5.1 Amount

More info and screens