Firstsource SolutionsNSE:FSL +0.68%81 EBITDA Margin % is 16.41% as of Mar. 2026, which is 8% above its 10-year median of 15.25. GuruFocus rates NSE:FSL with a GF Score™ of 81/100 and a GF Value™ of ₹370.89 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,818 Software companies, Firstsource Solutions ranks better than 68.95% on this metric.
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
Firstsource Solutions EBITDA Margin % Related Terms
Firstsource Solutions EBITDA Margin % Historical Data
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The historical data trend for Firstsource Solutions's EBITDA Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NSE:FSL vs IBM, ACN, FISV: EBITDA Margin % Comparison
For the Information Technology Services subindustry, Firstsource Solutions's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Firstsource Solutions EBITDA Margin % vs Software Industry
For the Software industry and Technology sector, Firstsource Solutions's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where Firstsource Solutions's EBITDA Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Firstsource Solutions (NSE:FSL) has a EBITDA Margin % of 16.41% as of Mar. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Firstsource Solutions and its competitors. This is near median its historical median of 15.25. Over the past decade, Firstsource Solutions' EBITDA Margin % has ranged from 12.41 to 16.37. According to the industry distribution chart, Firstsource Solutions ranks #875 out of 2818 companies in the Software industry, placing it in the top 31.1%.
Is Firstsource Solutions' EBITDA Margin % too high?
Firstsource Solutions' current EBITDA Margin % of 16.41% is near median its 10-year median of 15.25. Over the past 10 years, this metric has ranged from a low of 12.41 to a high of 16.37. The Software industry median EBITDA Margin % is 8.07. Firstsource Solutions' value of 16.41% is 103.3% above this industry median. Based on the distribution chart, Firstsource Solutions ranks #875 out of 2818 companies in the Software industry, which is above the industry midpoint. Overall, Firstsource Solutions has a GF Score™ of 81/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Firstsource Solutions' EBITDA Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Firstsource Solutions ranks #875 out of 2818 companies for EBITDA Margin %. This puts Firstsource Solutions in the upper half of its industry. The industry median EBITDA Margin % is 8.07. Firstsource Solutions' value of 16.41% is 103.3% above this benchmark. Historically, Firstsource Solutions' own EBITDA Margin % has ranged from 12.41 to 16.37 over the past decade. While the company's 10-year median is 15.25 vs. the industry median of 8.07, Firstsource Solutions has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for a Software company?
The median EBITDA Margin % among Software companies is 8.07, based on 2,818 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Firstsource Solutions's current EBITDA Margin % of 16.41% is 103.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Firstsource Solutions and its competitors. For the Software industry, the median EBITDA Margin % is 8.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Firstsource Solutions's current EBITDA Margin % is 16.41%, which is near median its own 10-year median of 15.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Firstsource Solutions stock overvalued right now?
Based on GuruFocus' analysis, Firstsource Solutions (NSE:FSL) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹370.89, compared to a current price of ₹244.00 — trading 34.2% below its estimated fair value. The current EBITDA Margin % is 16.41%, which is near median its 10-year median of 15.25 and 103.3% above the Software industry median of 8.07. Firstsource Solutions' overall GF Score™ is 81/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For Firstsource Solutions (NSE:FSL), the current EBITDA Margin % is 16.41% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Firstsource Solutions (NSE:FSL) Overvalued in 2026?
Based on GuruFocus' analysis, Firstsource Solutions stock appears to be undervalued.
The current stock price of ₹244.00 is trading 34.2% below its estimated GF Value™ of ₹370.89.
GuruFocus considers Firstsource Solutions to be Significantly Undervalued.
Key valuation signals for NSE:FSL:
EBITDA Margin %: 16.41% (near median its 10-year median of 15.25)
GF Value™: ₹370.89 vs. price of ₹244.00 (34.2% below fair value)
Industry Position: 103.3% above the Software median (#875 of 2818)
No single metric tells the full story. See the NSE:FSL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Firstsource Solutions Ltd is engaged in the business of providing customer management services like contact centers, transaction processing, and debt collection services. The company's business segment includes Banking and Financial Services, Healthcare, Communication, Media and Technology, and Diverse Industries. It generates maximum revenue from the Banking and Financial Services segment. Geographically, it derives a majority of its revenue from the United States of America.
81GF Score
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