# Firstsource Solutions (FSL) — Stock analysis

> Faxioms all-in-one stock review. Canonical page: https://faxioms.com/stocks/fsl

## Current market snapshot

- Exchange: NSE
- Country: India
- Price: ₹292
- Change: +0.99%
- As of: 2026-11-06
- 1D return: +0.99%
- 5D return: -0.31%
- 1M return: +9.63%
- Latest complete quarter: fy27_q2

## Faxioms Analysis

_As of 2026-11-06_

### Technical Outlook

As of 2026-11-06, FSL trades at ₹292.00, positioned in the upper-middle of its 50-day range (+62.7%) and near the middle of its 20-day and 252-day ranges. The daily trend is established bullish (ADX 32.39), with price holding above all supplied moving averages and the Supertrend. Momentum indicators show +DI (23.26) leading -DI (15.00), supporting upward pressure. However, the monthly timeframe presents a mixed signal: while the Supertrend remains bullish, price is below the 20-period SMA, suggesting longer-term resistance or consolidation. Volatility is elevated at 46.2% annualized, with an ATR of 4.33%, indicating significant price swings. Recent price action includes an Inside Bar formation on 2026-11-04, signaling potential continuation or breakout depending on subsequent volume and direction. Key resistance lies at ₹295.73 (1.28% above) and ₹300.00 (2.74% above). Support is immediate at ₹291.37 (0.22% below) and deeper levels at ₹284.78 and ₹280.42. The stock has recovered significantly from its maximum drawdown of -49.8%, currently sitting at a -28.2% drawdown from available highs.

- Trend Direction: Daily trend is bullish (ADX 32.39, price above SMAs/Supertrend); Monthly trend shows divergence (price below 20-SMA but above Supertrend).
- Key Levels: Resistance at ₹295.73 and ₹300.00; Immediate support at ₹291.37, with secondary support at ₹284.78.
- Momentum & Volatility: +DI leads -DI on daily chart; high volatility (46.2% annualized, ATR 4.33%) suggests wide trading ranges.
- Setup Confirmation: A break above ₹295.73 with sustained volume would confirm short-term bullish continuation; a close below ₹291.37 could test ₹284.78.

- Inside Bar
- Bearish Engulfing Reversal
- Doji
- Harami

### News Context

Firstsource Solutions (FSL) reported strong Q2 FY27 financial results and updated its growth outlook, followed by recognition of its capabilities in emerging AI services. Revenue rose 22.2% year-on-year to ₹28.3 billion ($296 million), with an EBIT margin of 12.5% and net profit of ₹2.3 billion. Management raised the lower end of FY27 constant currency revenue growth guidance to 10.5%-13%, citing strong deal wins and pipeline visibility. The company added 17 new logos, including six strategic ones, reaching 51 clients with over $5 million run rate, while reducing net debt to ₹15.3 billion.

On November 5, 2026, FSL announced it was named a Leader in three ISG Provider Lens® 2026 quadrants: Generative AI Services—Strategy and Consulting Services, Development and Deployment Services, and Agentic AI Services—Agentic AI Development and Deployment Services. This marks the second consecutive year leading both Generative AI quadrants and its first time as a Leader in Agentic AI. Additionally, on November 4, 2026, the company allotted 78,079 equity shares pursuant to ESOP exercises under ESOS 2003 and ESOP 2019 Plan, without changing paid-up share capital or outstanding shares (696,990,826). As of November 6, 2026, FSL’s shares closed at ₹292.00, with a market cap of approximately ₹201.5 billion.

- Q2 FY27 revenue grew 22.2% YoY to ₹28.3 billion ($296M); net profit ₹2.3B; EBIT margin 12.5%; net debt reduced to ₹15.3B.
- FY27 constant currency revenue growth guidance raised to 10.5%-13% from 10%-13%, supported by 17 new client logos and 51 clients with $5M run rate.
- Named Leader in three ISG Provider Lens® 2026 quadrants for Generative AI and Agentic AI services on November 5, 2026.
- Allotted 78,079 ESOP shares on November 4, 2026; no change in paid-up capital or outstanding shares (696,990,826).

- Firstsource Solutions Limited has informed the Exchange regarding a press release dated November 05, 2026, titled "This is to inform that a Press Release titled Firstsource named a Leader in three ISG Provider Lens® 2026 quadrants across Generative AI and Agentic AI Services is attached along with this letter.". |SUBJECT: Press Release
- Firstsource Solutions Limited has informed the Exchange regarding Allotment of 78079 Shares. |SUBJECT: ESOP/ESOS/ESPS
- Firstsource Solutions Limited has informed the Exchange regarding Allotment of Securities |SUBJECT: Alteration Of Capital and Fund Raising-XBRL
- Firstsource Solutions Limited has informed the Exchange about Copy of Newspaper Publication |SUBJECT: Copy of Newspaper Publication
- Firstsource Solutions Limited has informed the Exchange about Transcript |SUBJECT: Analysts/Institutional Investor Meet/Con. Call Updates

### What Changed

Firstsource Solutions (FSL) has materially updated its market positioning with recognition in artificial intelligence capabilities. On November 5, 2026, the company announced it was named a Leader in three midsize quadrants across two ISG Provider Lens® 2026 reports. This includes leadership in Generative AI Services—Strategy and Consulting Services, and Development and Deployment Services, marking the second consecutive year of dominance in these areas. Additionally, FSL achieved its first-time Leader status in Agentic AI Services—Agentic AI Development and Deployment Services.

Market pricing reflects this development with the stock trading at ₹292.0 on November 6, 2026, up from ₹289.15 previously. The recognition underscores the company's strategic focus on high-growth AI segments, distinguishing its service offerings in the global IT services landscape.

- November 5, 2026: Named a Leader in three midsize quadrants in ISG Provider Lens® 2026 reports for Generative AI and Agentic AI services.
- Second consecutive year leading Generative AI quadrants; first time recognized as Leader in Agentic AI Development and Deployment.
- Stock price recorded at ₹292.0 on November 6, 2026, compared to previous level of ₹289.15.

- [Firstsource Solutions Limited has informed the Exchange regarding a press release dated November 05, 2026, titled "This is to inform that a Press Release titled Firstsource named a Leader in three ISG Provider Lens® 2026 quadrants across Generative AI and Agentic AI Services is attached along with this letter.". |SUBJECT: Press Release](https://nsearchives.nseindia.com/corporate/FSL_05112026163810_Press_Release_-_ISG_Provider_Lens_Generative.pdf)

### Official Filings

Firstsource Solutions (FSL) reported strong Q2 FY27 financials and updated guidance, signaling robust demand for its AI-driven services. Revenue rose 22.2% year-on-year to ₹28.3 billion, with Profit After Tax increasing 32.1% to ₹3.52 billion. Management raised the lower end of FY27 constant currency revenue growth guidance to 10.5%-13%, citing strong deal wins and pipeline visibility. The company added 17 new clients, including six strategic ones, and reduced net debt to ₹15.3 billion.

In parallel, FSL was named a Leader in three ISG Provider Lens® 2026 quadrants across Generative AI and Agentic AI Services, marking the second consecutive year it led Generative AI categories and its first time leading in Agentic AI. This recognition reinforces the company's positioning in high-growth technology segments.

On the capital front, the company allotted 78,079 shares from ESOP trusts and granted 587,750 new stock options to employees. These transactions did not change the paid-up share capital or total shares outstanding, which remain at 696,990,826 shares. While these are standard employee compensation activities, they represent potential future dilution upon exercise.

- Q2 FY27 revenue grew 22.2% YoY to ₹28.3 billion; PAT rose 32.1% to ₹3.52 billion.
- FY27 constant currency revenue growth guidance raised to 10.5%-13% from 10%-13%.
- Named a Leader in three ISG Provider Lens® 2026 quadrants for Generative AI and Agentic AI Services.
- Net debt reduced to ₹15.3 billion; 17 new logos added, including six strategic clients.

- [Firstsource Solutions Limited has informed the Exchange regarding a press release dated November 05, 2026, titled "This is to inform that a Press Release titled Firstsource named a Leader in three ISG Provider Lens® 2026 quadrants across Generative AI and Agentic AI Services is attached along with this letter.". |SUBJECT: Press Release](https://nsearchives.nseindia.com/corporate/FSL_05112026163810_Press_Release_-_ISG_Provider_Lens_Generative.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Allotment of 78079 Shares. |SUBJECT: ESOP/ESOS/ESPS](https://nsearchives.nseindia.com/corporate/FSL_04112026155908_Reg30ESOS2003ESOP2019_4th_November_2026signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Allotment of Securities |SUBJECT: Alteration Of Capital and Fund Raising-XBRL](https://nsearchives.nseindia.com/corporate/xbrl/ALTERATION_OF_CAPITAL_AND_FUND_RAISING_2535_WebXMLFile_20261104_160046891.xml)
- [Firstsource Solutions Limited has informed the Exchange about Copy of Newspaper Publication |SUBJECT: Copy of Newspaper Publication](https://nsearchives.nseindia.com/corporate/FSL_31102026115527_NewspaperPublicationFinancials_signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Transcript |SUBJECT: Analysts/Institutional Investor Meet/Con. Call Updates](https://nsearchives.nseindia.com/corporate/FSL_31102026115815_EarningTranscriptSE-_signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Transcripts - earnings or quarterly calls |SUBJECT: Analyst/Investor Meet Para A-XBRL](https://nsearchives.nseindia.com/corporate/xbrl/SAIIM_2535_WebXMLFile_20261031_120137902.xml)
- [Firstsource Solutions Limited has submitted to the Exchange, the financial results for the period ended September 30, 2026. |SUBJECT: Outcome of Board Meeting](https://nsearchives.nseindia.com/corporate/FSL_29102026162303_1OutcomeofBoardMeetingsigned.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Investor Presentation |SUBJECT: Investor Presentation](https://nsearchives.nseindia.com/corporate/FSL_29102026162823_InvestorPresentationQ2FY27signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Investor Presentation |SUBJECT: Investor Presentation](https://nsearchives.nseindia.com/corporate/FSL_29102026162959_EarningpresentationQ2FY27signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Grant of 587750 Options. |SUBJECT: ESOP/ESOS/ESPS](https://nsearchives.nseindia.com/corporate/FSL_29102026163634_IntimationofESOPGrantsigned.pdf)

### Fundamentals

Firstsource Solutions (FSL) demonstrates a strong long-term growth trajectory with consistent earnings quality, though the most recent quarter shows sequential margin pressure. Over the trailing twelve months (TTM), sales grew 20% to ₹10,577 crore, and net profit rose 29% to ₹724 crore, supported by a robust Return on Equity of 18% for the last year. Cash conversion improved significantly, with CFO/EBITDA rising to 87% in FY2026 and operating cash flow nearly doubling to ₹1,214 crore.

However, Q1 FY2026-27 revealed a sequential contraction: revenue increased slightly to ₹2,724.88 crore, but expenses rose faster, causing Profit Before Tax and Net Profit to decline sequentially to ₹219.34 crore and ₹165.92 crore, respectively. Despite this quarterly dip, the balance sheet remains healthy with negligible capital work-in-progress (₹6 crore as of Sep 2026) and stable borrowings around ₹2,921 crore. Institutional interest is shifting, with DIIs increasing their stake to 26.84% while FIIs reduced theirs to 7.44%. The key checkpoint is whether the company can stabilize margins in subsequent quarters given the rising finance costs (₹51.75 crore in Q1 FY26-27) and expense inflation.

- Strong TTM Growth: Sales up 20% and Net Profit up 29% over the trailing twelve months, with ROE at 18%.
- Sequential Q1 Dip: In Q1 FY2026-27, Net Profit fell sequentially to ₹165.92 crore from ₹205.25 crore in Q4 FY2025-26 due to expense growth outpacing revenue.
- Cash Flow Strength: Operating cash flow surged to ₹1,214 crore in FY2026, with cash conversion ratio improving to 87%.
- Balance Sheet Stability: Borrowings remain flat (~₹2,921 crore) and CWIP has dropped to ₹6 crore, indicating completed capex cycles.

### Bull Case

Firstsource Solutions (FSL) presents a conditional upside case driven by strong momentum across multiple timeframes, despite a broader bearish trend over the past year. As of November 6, 2026, the stock is trading at ₹292.00, supported by bullish signals on both daily and weekly charts. The Supertrend indicator remains bullish on these timeframes, with the Plus DI significantly outpacing the Minus DI on the weekly chart (30.24 vs. 13.56), suggesting underlying buying pressure. Short-term performance is positive, with returns of +12.2% over the last month and +9.6% over the last 20 days, indicating recent strength. However, this constructive technical setup exists within a context of significant long-term underperformance, evidenced by a -16.9% return over the past year and a current drawdown of -28.2%. The key condition for this upside case to hold is that the short-term bullish momentum can overcome the longer-term downtrend, with immediate resistance levels at ₹295.73 and ₹300.00 acting as critical thresholds to watch.

- Multi-timeframe bullish momentum: Daily and weekly Supertrend indicators are bullish, with weekly Plus DI (30.24) well above Minus DI (13.56).
- Short-term price strength: Recent returns are positive, including +12.2% over the last month and +9.6% over the last 20 days.
- Current price level: Trading at ₹292.00 as of November 6, 2026, with immediate resistance at ₹295.73 and ₹300.00.
- Long-term headwind: Despite short-term gains, the stock has declined -16.9% over the past year and faces a current drawdown of -28.2%.

- [Firstsource Solutions Limited has informed the Exchange regarding a press release dated November 05, 2026, titled "This is to inform that a Press Release titled Firstsource named a Leader in three ISG Provider Lens® 2026 quadrants across Generative AI and Agentic AI Services is attached along with this letter.". |SUBJECT: Press Release](https://nsearchives.nseindia.com/corporate/FSL_05112026163810_Press_Release_-_ISG_Provider_Lens_Generative.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Allotment of 78079 Shares. |SUBJECT: ESOP/ESOS/ESPS](https://nsearchives.nseindia.com/corporate/FSL_04112026155908_Reg30ESOS2003ESOP2019_4th_November_2026signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Allotment of Securities |SUBJECT: Alteration Of Capital and Fund Raising-XBRL](https://nsearchives.nseindia.com/corporate/xbrl/ALTERATION_OF_CAPITAL_AND_FUND_RAISING_2535_WebXMLFile_20261104_160046891.xml)
- [Firstsource Solutions Limited has informed the Exchange about Copy of Newspaper Publication |SUBJECT: Copy of Newspaper Publication](https://nsearchives.nseindia.com/corporate/FSL_31102026115527_NewspaperPublicationFinancials_signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Transcript |SUBJECT: Analysts/Institutional Investor Meet/Con. Call Updates](https://nsearchives.nseindia.com/corporate/FSL_31102026115815_EarningTranscriptSE-_signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Transcripts - earnings or quarterly calls |SUBJECT: Analyst/Investor Meet Para A-XBRL](https://nsearchives.nseindia.com/corporate/xbrl/SAIIM_2535_WebXMLFile_20261031_120137902.xml)
- [Firstsource Solutions Limited has submitted to the Exchange, the financial results for the period ended September 30, 2026. |SUBJECT: Outcome of Board Meeting](https://nsearchives.nseindia.com/corporate/FSL_29102026162303_1OutcomeofBoardMeetingsigned.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Investor Presentation |SUBJECT: Investor Presentation](https://nsearchives.nseindia.com/corporate/FSL_29102026162823_InvestorPresentationQ2FY27signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Investor Presentation |SUBJECT: Investor Presentation](https://nsearchives.nseindia.com/corporate/FSL_29102026162959_EarningpresentationQ2FY27signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Grant of 587750 Options. |SUBJECT: ESOP/ESOS/ESPS](https://nsearchives.nseindia.com/corporate/FSL_29102026163634_IntimationofESOPGrantsigned.pdf)

### Bear Case

Firstsource Solutions (FSL) presents a mixed technical picture as of 6 November 2026, with significant cautionary signals emerging from longer-term performance and volatility metrics. While short-term momentum indicators on daily and weekly charts remain bullish, the stock has suffered substantial losses over the past year (-16.9%) and year-to-date (-12.6%), with a cumulative drawdown since the start of the tracking period reaching -23.9%. The maximum historical drawdown stands at -49.8%, indicating high sensitivity to downside moves. Current price action is constrained by immediate resistance levels; the stock closed at ₹292.00, facing its nearest resistance at ₹295.73 (just 1.28% above). A failure to break this level could expose the stock to support tests at ₹291.37 and subsequently ₹284.78. With an annualized volatility of +46.2% and an average true range of 4.33%, the equity remains prone to sharp swings, requiring careful position sizing.

- Long-term underperformance: The stock is down -16.9% over one year and -12.6% year-to-date, with a current drawdown of -28.2% against a maximum historical peak of -49.8%.
- Near-term resistance proximity: Immediate upside is capped by resistance at ₹295.73 (1.28% above the ₹292.00 close), with secondary resistance at ₹300.00.
- High volatility profile: Annualized volatility of +46.2% and an ATR of 4.33% suggest elevated price fluctuation risk compared to broader market averages.
- Support monitoring: Key downside support lies at ₹291.37 (pivot) and ₹284.78 (low); a breach below these levels could trigger further testing toward ₹280.42.

- [Firstsource Solutions Limited has informed the Exchange regarding a press release dated November 05, 2026, titled "This is to inform that a Press Release titled Firstsource named a Leader in three ISG Provider Lens® 2026 quadrants across Generative AI and Agentic AI Services is attached along with this letter.". |SUBJECT: Press Release](https://nsearchives.nseindia.com/corporate/FSL_05112026163810_Press_Release_-_ISG_Provider_Lens_Generative.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Allotment of 78079 Shares. |SUBJECT: ESOP/ESOS/ESPS](https://nsearchives.nseindia.com/corporate/FSL_04112026155908_Reg30ESOS2003ESOP2019_4th_November_2026signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Allotment of Securities |SUBJECT: Alteration Of Capital and Fund Raising-XBRL](https://nsearchives.nseindia.com/corporate/xbrl/ALTERATION_OF_CAPITAL_AND_FUND_RAISING_2535_WebXMLFile_20261104_160046891.xml)
- [Firstsource Solutions Limited has informed the Exchange about Copy of Newspaper Publication |SUBJECT: Copy of Newspaper Publication](https://nsearchives.nseindia.com/corporate/FSL_31102026115527_NewspaperPublicationFinancials_signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Transcript |SUBJECT: Analysts/Institutional Investor Meet/Con. Call Updates](https://nsearchives.nseindia.com/corporate/FSL_31102026115815_EarningTranscriptSE-_signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Transcripts - earnings or quarterly calls |SUBJECT: Analyst/Investor Meet Para A-XBRL](https://nsearchives.nseindia.com/corporate/xbrl/SAIIM_2535_WebXMLFile_20261031_120137902.xml)
- [Firstsource Solutions Limited has submitted to the Exchange, the financial results for the period ended September 30, 2026. |SUBJECT: Outcome of Board Meeting](https://nsearchives.nseindia.com/corporate/FSL_29102026162303_1OutcomeofBoardMeetingsigned.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Investor Presentation |SUBJECT: Investor Presentation](https://nsearchives.nseindia.com/corporate/FSL_29102026162823_InvestorPresentationQ2FY27signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Investor Presentation |SUBJECT: Investor Presentation](https://nsearchives.nseindia.com/corporate/FSL_29102026162959_EarningpresentationQ2FY27signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Grant of 587750 Options. |SUBJECT: ESOP/ESOS/ESPS](https://nsearchives.nseindia.com/corporate/FSL_29102026163634_IntimationofESOPGrantsigned.pdf)

### FAQs

**What recent recognition has Firstsource Solutions received regarding its AI capabilities?**

On November 5, 2026, the company was named a Leader in three midsize quadrants across two ISG Provider Lens® 2026 reports. It led both Generative AI quadrants (Strategy and Consulting; Development and Deployment) for the second consecutive year and became a Leader in Agentic AI Services for the first time.

**How did the company perform financially in Q2 FY27, and what guidance changes were made?**

Q2 FY27 revenue rose 22.2% year-on-year to INR 28.3 billion, with an EBIT margin of 12.5% and net profit of INR 2.3 billion. Management raised the lower end of FY27 constant currency revenue growth guidance to 10.5%-13% from 10%-13%, citing strong deal wins and pipeline visibility.

**What is the current technical price structure and trend for FSL shares?**

As of November 6, 2026, the daily Supertrend is bullish with the stock closing at ₹292.00. Immediate resistance lies at ₹295.73 (1.28% above), while support is found at ₹291.37 (pivot). The stock has gained +12.2% over the past month but remains down -12.6% year-to-date.

**Did recent share allotments impact the company's paid-up capital?**

No. On November 4, 2026, the company allotted 78,079 equity shares pursuant to ESOP exercises. This transaction did not change the paid-up share capital or the number of shares outstanding, which remained at INR 6,969,908,260 and 696,990,826 shares respectively.

- [Firstsource Solutions Limited has informed the Exchange regarding a press release dated November 05, 2026, titled "This is to inform that a Press Release titled Firstsource named a Leader in three ISG Provider Lens® 2026 quadrants across Generative AI and Agentic AI Services is attached along with this letter.". |SUBJECT: Press Release](https://nsearchives.nseindia.com/corporate/FSL_05112026163810_Press_Release_-_ISG_Provider_Lens_Generative.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Allotment of 78079 Shares. |SUBJECT: ESOP/ESOS/ESPS](https://nsearchives.nseindia.com/corporate/FSL_04112026155908_Reg30ESOS2003ESOP2019_4th_November_2026signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Allotment of Securities |SUBJECT: Alteration Of Capital and Fund Raising-XBRL](https://nsearchives.nseindia.com/corporate/xbrl/ALTERATION_OF_CAPITAL_AND_FUND_RAISING_2535_WebXMLFile_20261104_160046891.xml)
- [Firstsource Solutions Limited has informed the Exchange about Copy of Newspaper Publication |SUBJECT: Copy of Newspaper Publication](https://nsearchives.nseindia.com/corporate/FSL_31102026115527_NewspaperPublicationFinancials_signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Transcript |SUBJECT: Analysts/Institutional Investor Meet/Con. Call Updates](https://nsearchives.nseindia.com/corporate/FSL_31102026115815_EarningTranscriptSE-_signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Transcripts - earnings or quarterly calls |SUBJECT: Analyst/Investor Meet Para A-XBRL](https://nsearchives.nseindia.com/corporate/xbrl/SAIIM_2535_WebXMLFile_20261031_120137902.xml)
- [Firstsource Solutions Limited has submitted to the Exchange, the financial results for the period ended September 30, 2026. |SUBJECT: Outcome of Board Meeting](https://nsearchives.nseindia.com/corporate/FSL_29102026162303_1OutcomeofBoardMeetingsigned.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Investor Presentation |SUBJECT: Investor Presentation](https://nsearchives.nseindia.com/corporate/FSL_29102026162823_InvestorPresentationQ2FY27signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange about Investor Presentation |SUBJECT: Investor Presentation](https://nsearchives.nseindia.com/corporate/FSL_29102026162959_EarningpresentationQ2FY27signed.pdf)
- [Firstsource Solutions Limited has informed the Exchange regarding Grant of 587750 Options. |SUBJECT: ESOP/ESOS/ESPS](https://nsearchives.nseindia.com/corporate/FSL_29102026163634_IntimationofESOPGrantsigned.pdf)
## Technical analytics

- As of: 2026-11-06
- Daily trend: Strong Uptrend
- Weekly trend: Weak Uptrend
- Pivot point: ₹291.37
- Risk regime: Price Risk Requires Attention

### Support levels
- 273.34171875000004
- 258.5
- 225.1

### Resistance levels
- 300
- 362.3125
- 371.4847900390625

### Return and range metrics

| Metric | Value |
| --- | --- |
| return_1 | +0.99% |
| return_10 | +0.55% |
| return_1m | +12.20% |
| return_1y | -16.88% |
| return_20 | +9.63% |
| return_3m | -0.66% |
| return_5 | -0.31% |
| return_6m | +19.96% |
| return_since_start | -23.95% |
| return_ytd | -12.57% |

### Risk and volatility metrics

| Metric | Value |
| --- | --- |
| state | elevated_risk |
| label | Price risk requires attention |
| summary | Recent drawdown or price variability is high enough to warrant closer monitoring. |
| maximum_drawdown | -49.75% |
| annualized_volatility | +46.17% |

## Quarterly financials

- Latest complete quarter: fy27_q2

# FSL Q2 FY2026-27: Revenue rises 3.7% sequentially

FSL’s consolidated revenue from operations increased 3.7% quarter on quarter to ₹2,826 crore in Q2 FY2026-27, while profit before tax rose 36.5% to ₹299 crore. Profit before exceptional items and tax grew 2.9% to ₹299 crore; diluted EPS increased to ₹3.31 from ₹2.36 in Q1. Operating cash flow was ₹497 crore, alongside higher receivables and current borrowings at 30 September 2026 than at 31 March 2026.

## Revenue extended its quarterly growth streak

Revenue from operations rose for a fourth consecutive quarter, from ₹2,443 crore in Q3 FY2025-26 and ₹2,583 crore in Q4 FY2025-26 to ₹2,725 crore in Q1 FY2026-27 and ₹2,826 crore in Q2. It was 22.2% higher than the ₹2,312 crore reported in Q2 FY2025-26.

Segment revenue from operations increased 2.9% quarter on quarter to ₹2,831 crore. Expenses rose 3.5% to ₹2,524 crore from ₹2,440 crore in Q1 FY2026-27. Employee benefit expense was ₹1,579 crore and depreciation and amortisation expense was ₹118 crore.

## Pre-tax profit and EPS increased sequentially

Profit before exceptional items and tax rose 2.9% to ₹299 crore from ₹291 crore in Q1 FY2026-27. Reported profit before tax was also ₹299 crore, up 36.5% from ₹219 crore in the prior quarter.

Finance costs edged down to ₹51 crore from ₹52 crore in Q1. Other unallocable expenditure, net of unallocable income, declined to ₹134 crore from ₹201 crore. Tax expense increased to ₹67 crore from ₹53 crore.

Profit for the period was ₹232 crore, up 40.1% from ₹166 crore in Q1 FY2026-27; profit attributable to owners of the parent was ₹233 crore. Diluted EPS rose 40.3% quarter on quarter to ₹3.31, and was 30.3% above the ₹2.54 reported in Q2 FY2025-26. Comprehensive income for the period was ₹246 crore, compared with ₹211 crore in Q1.

## Cash generation and working capital

Operating cash flow was ₹497 crore in Q2 FY2026-27. Investing and financing activities used ₹152 crore and ₹253 crore, respectively, while free cash flow was ₹345 crore. Cash and cash equivalents stood at ₹352 crore on 30 September 2026, up from ₹259 crore on 31 March 2026.

Trade receivables were ₹2,347 crore at 30 September 2026, compared with ₹2,079 crore at 31 March 2026 and ₹1,774 crore at 30 September 2025. Trade payables were ₹682 crore, up from ₹558 crore at the preceding financial year-end. These closing balances show a larger receivables position and higher payables than at 31 March 2026.

## Balance sheet

Current borrowings increased to ₹1,941 crore at 30 September 2026 from ₹1,748 crore at 31 March 2026 and ₹1,022 crore at 30 September 2025. Goodwill stood at ₹4,309 crore and noncurrent assets at ₹6,483 crore at the September quarter-end.

Other equity was ₹4,181 crore, compared with ₹3,688 crore at 31 March 2026. Total equity stood at ₹4,878 crore at 30 September 2026.

## Key Takeaway

FSL sustained its quarterly revenue growth and recorded a sharp sequential increase in reported pre-tax profit and diluted EPS, while pre-exceptional pre-tax profit advanced more modestly. The quarter generated ₹497 crore of operating cash flow, but receivables and current borrowings were higher at the September quarter-end than at the prior financial year-end.

### Ratios

## Shareholding pattern

- Quarter: FY2027-Q1
- As of: 2026-06-30
- Promoter holding: +53.66%
- FII holding: +8.38%
- DII holding: +25.41%
- Mutual fund holding: +18.22%
- Retail holding: +7.70%
- Promoter pledged: +0.00%

### Major reported shareholders

- RPSG VENTURES LIMITED — +53.66% (Other)
- HDFC SMALL CAP FUND — +8.74%
- LIFE INSURANCE CORPORATION OF INDIA — +4.01%
- SBI TECHNOLOGY OPPORTUNITIES FUND — +2.03%
- ICICI BANK LTD — +1.73%
- TATA DIGITAL INDIA FUND — +1.43%
- ADITYA BIRLA SUN LIFE TRUSTEE PRIVATE LIMITED A/C ADITYA BIRLA SUN LIFE DIGITAL INDIA FUND — +1.22%
- ABU DHABI INVESTMENT AUTHORITY — +1.11%

## Official filings

- 2026-11-05 — Press Release: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_05112026163810_Press_Release_-_ISG_Provider_Lens_Generative.pdf)
- 2026-11-04 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_04112026155908_Reg30ESOS2003ESOP2019_4th_November_2026signed.pdf)
- 2026-11-04 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/ALTERATION_OF_CAPITAL_AND_FUND_RAISING_2535_WebXMLFile_20261104_160046891.xml)
- 2026-10-31 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_31102026115527_NewspaperPublicationFinancials_signed.pdf)
- 2026-10-31 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_31102026115815_EarningTranscriptSE-_signed.pdf)
- 2026-10-31 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/SAIIM_2535_WebXMLFile_20261031_120137902.xml)
- 2026-10-29 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_29102026162303_1OutcomeofBoardMeetingsigned.pdf)
- 2026-10-29 — Earnings Presentation: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_29102026162823_InvestorPresentationQ2FY27signed.pdf)
- 2026-10-29 — Earnings Presentation: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_29102026162959_EarningpresentationQ2FY27signed.pdf)
- 2026-10-29 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_29102026163634_IntimationofESOPGrantsigned.pdf)
- 2026-10-29 — Financial Results Filing: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/INTEGRATED_FILING_INDAS_1749061_29102026054819_WEB.xml)
- 2026-10-29 — Financial Results Filing: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/INTEGRATED_FILING_INDAS_1749059_29102026054808_WEB.xml)
- 2026-10-29 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_29102026195845_AudioRecordingofcallheldon29thOctober2026signed.pdf)
- 2026-10-29 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/SAIIM_2535_WebXMLFile_20261029_200348235.xml)
- 2026-10-26 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_26102026191333_Investor_Meet-_November_2026signed.pdf)
- 2026-10-26 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/SAIIM_2535_WebXMLFile_20261026_191801687.xml)
- 2026-10-22 — Press Release: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_22102026172958_PressReleaseFY26ESGReportOct222026signed.pdf)
- 2026-10-20 — Press Release: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_20102026185049_Cover_letter_PressRelease_Horizon_signed.pdf)
- 2026-10-19 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_19102026190745_Conference_call_29th_October_2026signed.pdf)
- 2026-10-19 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/SAIIM_2535_WebXMLFile_20261019_190912638.xml)
- 2026-10-16 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_16102026182348_ESG_RATINGFSL.pdf)
- 2026-10-13 — Board Meeting Notice: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_13102026160353_NoticeofBoardMeetingQ2FY202627signed.pdf)
- 2026-10-13 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/PRIOR_INTIMATION_2535_WebXMLFile_20261013_160903673.xml)
- 2026-10-13 — Board Meeting Notice: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/xbrl/PRIOR_INTIMATION_2535_WebXMLFile_20261013_160903673.xml)
- 2026-10-05 — Generic Announcement: Firstsource Solutions Limited — [Official attachment](https://nsearchives.nseindia.com/corporate/FSL_05102026155611_NSE_BSE_Lettersigned.pdf)

## News and market events

- 2026-10-30 — Mint: **Stock to buy after Q2 Results 2026: Anand Rathi sees 25% upside in this IT stock in 12 months | Target price, rationale** — Anand Rathi issued a 'buy' recommendation for Firstsource Solutions Ltd with a 12-month target price of ₹384, citing strong sequential revenue growth and raised guidance. The broker noted that while BFSI segments drove growth, healthcare spending remains constrained by regulatory and funding uncertainties. — [Source](https://www.livemint.com/market/stock-market-news/stock-to-buy-after-q2-results-2026-anand-rathi-sees-25-upside-in-this-it-stock-in-12-months-target-price-rationale-11793351211707.html)
- 2026-10-30 — MONEYCONTROL: **Buy Firstsource Solutions; target of Rs 350: Prabhudas Lilladher** — Brokerage firm Prabhudas Lilladher has issued a 'Buy' recommendation for Firstsource Solutions, setting a price target of Rs 350. — [Source](https://www.moneycontrol.com/news/business/stocks/buy-firstsource-solutions-target-of-rs-350-prabhudas-lilladher-14064281.html)
- 2026-10-28 — Economic Times: **Smallcap stocks rally up to 21% in 2 days: Should you chase the rush or book profits?** — In the last two trading sessions, smallcap stocks have experienced an impressive resurgence, with certain stocks posting significant gains. As investors weigh their options, they face the decision of whether to capitalize on this upswing or secure profits amidst growing caution. Technical analysts identify critical resistance levels, foreseeing possible pullbacks. They recommend partial profit-taking at these points while also highlighting several stocks with promising recovery signs for potenti... — [Source](https://economictimes.indiatimes.com/markets/stocks/news/smallcap-stocks-rally-up-to-21-in-2-days-should-you-chase-the-rush-or-book-profits/articleshow/135253660.cms)
- 2026-10-26 — BUSINESSTODAY: **Federal Bank, Persistent, Bharti Hexacom, FSL among top stocks to buy; check fresh target prices** — Amid the ongoing wild moves in the Indian equity markets, select domestic brokerage firms like SMC Global Securities and Canara Bank Securities have suggested select stocks including Federal Bank, Persistent Systems Ltd, Bharti Hexacom and Firstsource Solutions Ltd to make quick gains in the short-term citing their strong technical parameters. — [Source](https://www.businesstoday.in/markets/trending-stocks/story/federal-bank-persistent-bharti-hexacom-fsl-among-top-stocks-to-buy-check-fresh-target-prices-563569-2026-10-26)
- 2026-10-07 — Mint: **Goenkas' RPSG bets on energy, chemicals, ITeS as its growth engines | Company Business News** — CESC Ltd, the group’s utility arm, deals with power distribution as well as renewable energy generation under its subsidiary Purvah Green Power Pvt Ltd. It has a market capitalization of a little over ₹17,400 crore. — [Source](https://www.livemint.com/companies/goenkas-rpsg-energy-chemicals-ites-bpo-growth-engines-firstsource-11791368668295.html)
- 2026-09-30 — MONEYCONTROL: **Reduce Firstsource Solutions; target of Rs 270: Emkay Global Financial** — Emkay Global Financial, Reduce, Firstsource Solutions, Recommendations — [Source](https://www.moneycontrol.com/news/business/stocks/reduce-firstsource-solutions-target-of-rs-270-emkay-global-financial-14041677.html)
- 2026-09-30 — Mint: **Firstsource Solutions share price jumps 9% with volume surging 2 times - Experts highlight key levels to watch** — Firstsource Solutions share price surged almost 9%, with volume surging by nearly 2 times, in early deals on the BSE on Wednesday, 30 September, in an other wise cautious market due to rising US bond yields and elevated oil prices. — [Source](https://www.livemint.com/market/stock-market-news/firstsource-solutions-share-price-jumps-9-with-volume-surging-2-times-experts-highlight-key-levels-to-watch-11790740694109.html)
- 2026-09-27 — MONEYCONTROL: **Broader markets underperform, extend losing streak to third week** — Midcap,Smallcap,Broader indices,Market this week,midcap this week,smallcap this week — [Source](https://www.moneycontrol.com/news/business/markets/broader-markets-underperform-extend-losing-streak-to-third-week-14039106.html)
- 2026-09-22 — BUSINESS: **FSL recognized among Best in 'Services Eating Software' at the 2026 HFS SaS Awards** — Firstsource Solutions has been recognized as the first runner up among the Best 'Services Eating Software' at the inaugural Services-as-Software (SaS) Awards by the independent research firm HFS. Selected from more than 250 submissions from service providers, technology companies and startups worldwide, Firstsource was recognized for Kairos, its operating system for AI-native business operations. — [Source](https://www.business-standard.com/markets/capital-market-news/fsl-recognized-among-best-in-services-eating-software-at-the-2026-hfs-sas-awards-126092201152_1.html)
- 2026-09-17 — BUSINESSTODAY: **TCS, Infosys, HCL Tech, Wipro, LTM, FSol, Birlasoft, Coforge: Fresh target prices for top IT stocks** — IT stocks, IT stocks to buy, IT stocks target prices, which IT stocks to buy, IT stocks to sell, Which IT stocks should I sell,, Tata Consultancy Services, Firstsource Solutions, Birlasoft, Coforge, HCL Tech, LTM, Persistent Systems, TCS, Eclerx, Infosys, Mphasis, Tech Mahindra, Wipro, Zensar Technologies, Firstsource target price, Birlasoft target price, Coforge target price, HCL Tech target price target price, LTM target price, Persistent Systems target price, TCS target price, Eclerx target price, Infosys target price, Mphasis target price, TechM target price, Wipro target price, Zensar Tech target price — [Source](https://www.businesstoday.in/markets/stocks/story/tcs-infosys-hcl-tech-wipro-ltm-fsol-birlasoft-coforge-fresh-target-prices-for-top-it-stocks-556193-2026-09-17)
- 2026-09-15 — Mint: **Firstsource Solutions share price jumps 18% after 7-day losing streak | What triggered the comeback?** — Firstsource Solutions shares rose nearly 18% on 15 September, as Indian IT stocks rebounded byover 4%. Analysts suggest the pace of AI development may benefit traditional software firms, providing clarity on tech investments amid global strength in tech stocks. — [Source](https://www.livemint.com/market/stock-market-news/firstsource-solutions-share-price-jumps-18-after-7-day-losing-streak-what-triggered-the-comeback-11789452706679.html)
- 2026-09-15 — BUSINESS: **Volumes soar at Zensar Technologies Ltd counter** — Zensar Technologies Ltd clocked volume of 15.01 lakh shares by 10:45 IST on BSE, a 30.22 times surge over two-week average daily volume of 49666 shares — [Source](https://www.business-standard.com/markets/capital-market-news/volumes-soar-at-zensar-technologies-ltd-counter-126091500281_1.html)
- 2026-08-06 — CNBC-TV18: **Sensex Today | Stock Market LIVE Updates: Nifty falls below 24,650; Trent slips 2.50% after results** — Sensex Today | Stock Market LIVE Updates: We are the halfway mark, and the market contiue to remain largely flat. The markets are once again moving on a cautious note, with the Nifty trading flat around the 24,600 mark. The Nifty Bank is also in the same state, trying to scale the 58,000 mark. Titan, Reliance and Eternal are the top gainers. — [Source](https://www.cnbctv18.com/market/stock-market-live-updates-sensex-nifty-50-today-hdfc-bank-aurobindo-cummins-biocon-pb-fintech-lic-trent-share-price-liveblog-19962846.htm)
- 2026-08-06 — CNBC-TV18: **Q1 Results LIVE Updates: Aegis Logistics pares initial gains; Firstsource profit down 19%** — Q1 Results LIVE Updates; Trent, Britannia, Lupin, Samvardhana Motherson, Apollo Tyres, Blue Star, Premier Energies, HCC, NCC, PG Electroplast, Emcure Pharma, Firstsource Solutions are some of the many companies that will be reporting their results during the course of Thursday's trading session on Dalal Street. Result reactions today come from PB Fintech, Aurobindo Pharma, Cummins India, GE Vernova T&D, ION Exchange and many others. Watch this space for all the LIVE Q1 result updates, management and brokerage commentary along with stock moves. — [Source](https://www.cnbctv18.com/market/q1-results-live-updates-cummins-ge-vernova-td-pb-fintech-trent-britannia-hero-lupin-samil-pgel-apollo-tyres-sci-ncc-hcc-premier-energies-share-price-liveblog-19962840.htm)
- 2026-07-29 — CNBC-TV18: **Sensex Today | Stock Market LIVE Updates: Nifty IT surges over 800 points; Infosys, Coforge top gainers** — Sensex Today | Stock Market LIVE Updates: The markets are on the rise, and are trading on a stromg footing. The Nifty up over 200 points, jumping to 24,200. The Nifty Bank index is up 300 points, rising to 57,000. Infosys, Larsen & Toubro and HUL are the top gainers. — [Source](https://www.cnbctv18.com/market/stock-market-live-updates-sensex-nifty-50-today-hul-asian-paints-adani-oil-lt-grse-it-dmart-share-price-liveblog-19956206.htm)
- 2026-07-14 — The Hindu: **Stock to buy today: Firstsource Solutions (₹265) – BUY** — The recent rise has taken the share price well above a key resistance level of ₹253. The 2% rise on Monday indicates that the upmove is gaining momentum — [Source](https://www.thehindubusinessline.com/portfolio/technical-analysis/stock-to-buy-today-firstsource-solutions-265-buy/article71217150.ece)

## Business profile

**Strategic vision:** Global business process management services provider.

### Business segments
- **Customer Management:** Services encompass customer management, including contact center operations, transaction processing, and debt collection.
- **Healthcare Revenue Cycle Management:** Within the healthcare industry, Firstsource also provides revenue cycle management services.

### Competitive strengths
- Global operational footprint across multiple countries.
- Specialized BPM partner leveraging domain expertise and technology.

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## Freshness and sources

- Data as of: 2026-11-06
- Source: Faxioms public stock analysis API

Canonical: https://faxioms.com/stocks/fsl
Markdown representation: https://faxioms.com/stocks/fsl?render=md