Hexaware Technologies IPO GMP: Hexaware Technologies has launched its much-anticipated Initial Public Offering (IPO), generating significant buzz among investors. As the Grey Market Premium (GMP) fluctuates, many are wondering whether this IPO is worth subscribing to or if it’s better to skip it.
This article provides a detailed analysis of Hexaware Technologies’ IPO, covering its GMP trends, financials, market position, risks, and expert opinions to help you make an informed decision. Additionally, we’ll explore broader market trends, industry insights, and comparisons with previous IT sector IPOs to offer a comprehensive investment perspective.
Hexaware Technologies IPO
| Feature | Details |
|---|---|
| IPO Open Date | February 12, 2025 |
| IPO Close Date | February 14, 2025 |
| IPO Price Band | ₹674 – ₹708 per share |
| GMP (as of Feb 10, 2025) | ₹3 (Declining) |
| Total Issue Size | ₹8,750 crore |
| Lot Size | TBD |
| Listing Exchange | NSE & BSE |
| Official Website | Hexaware.com |
The Hexaware Technologies IPO has strong fundamentals but is facing weak grey market demand, making it a mixed bet for investors. If you’re investing for the long term, the company’s AI-driven growth and stable financials may be appealing. However, short-term traders looking for listing gains may want to reconsider due to the declining GMP.
What is Hexaware Technologies?
Hexaware Technologies is a global IT and digital solutions provider, catering to various industries, including banking, healthcare, and travel. The company has established itself as a leader in Artificial Intelligence (AI) and Cloud services, making it a strong player in the competitive IT sector. The rise of digital transformation across industries has fueled Hexaware’s growth trajectory.
Core Business Segments:
- Financial Services & Banking – Supporting financial institutions with automation and AI-driven solutions.
- Healthcare & Insurance – Enhancing patient care through digital innovations.
- Retail & Consumer Services – Empowering e-commerce platforms with data-driven insights.
- Manufacturing & Logistics – Automating supply chain management for efficiency.
- Travel & Transportation – Improving user experience with smart technologies.
- Emerging Technologies – Driving innovation in AI, blockchain, and IoT for enterprises.
Hexaware IPO Grey Market Premium (GMP) Trend
The GMP for the Hexaware IPO has shown a declining trend, which may indicate weak listing gains. Here’s a look at how the premium has changed over time:
| Date | GMP (₹) |
| February 6, 2025 | ₹19 |
| February 7, 2025 | ₹11 |
| February 9, 2025 | ₹8 |
| February 10, 2025 | ₹3 |
A falling GMP often suggests low demand in the grey market, which may reflect investor skepticism about strong short-term gains post-listing. However, long-term investors should focus on fundamentals rather than short-term speculation.
Hexaware Technologies Financial Performance
Before investing, it’s crucial to evaluate the company’s financial health. Here’s how Hexaware has performed recently:
| Financial Metric | FY 2023-24 (9 months) |
| Revenue | ₹8,820 crore |
| Profit After Tax (PAT) | ₹857.5 crore |
| Operating Margin | 18.5% |
| Earnings Per Share (EPS) | ₹21.7 |
Financial Analysis:
- The company has reported steady revenue growth, indicating a strong market position.
- Profit margins suggest a healthy business model with sustainable earnings.
- Client retention rate is over 90%, showing strong business relationships and long-term contracts.
- A diversified revenue stream across sectors helps reduce dependency on a single industry.
Pros and Cons of Investing in Hexaware IPO
Why Should You Invest?
- Strong Client Base: Over 31 Fortune 500 companies are among its customers.
- Market Leadership in AI & Cloud Services: High demand for these technologies ensures business sustainability.
- Consistent Financial Growth: Revenue and profit figures show strong fundamentals.
- Experienced Leadership Team: Industry experts guide the company’s long-term vision.
- Diverse Industry Presence: Expansion across various domains reduces risk exposure.
Why Should You Skip?
- Falling GMP: A weak grey market demand might indicate limited listing gains.
- High Revenue Concentration in the U.S. & Europe: Economic slowdowns in these regions could impact business.
- Intense Competition: IT services is a crowded market, with major players like TCS, Infosys, and Wipro.
- Employee Retention Risks: Like many IT firms, talent attrition is a challenge.
- IPO Valuation Concerns: Some analysts believe the stock is priced aggressively, limiting short-term upside.
Expert Recommendations
- For Short-Term Investors: Given the declining GMP, those looking for quick listing gains may want to skip this IPO.
- For Long-Term Investors: If you believe in Hexaware’s strong business fundamentals, this IPO could be a good long-term investment.
- Comparative Market Analysis: Investors should compare Hexaware’s valuation and financials with peers like TCS, Infosys, and Wipro before making a decision.
Swiggy’s Q3 Shock: Stock Sinks 7% – What’s Next for Investors
Palantir Stock Hits Record High – Here’s What’s Driving the Surge
AMD Stock Surges After Blockbuster Q4 Results – AI Boom Fuels Massive Growth
FAQs About Hexaware Technologies IPO
1. What is the issue price of Hexaware Technologies IPO?
The IPO price band is set at ₹674 – ₹708 per share.
2. What is the minimum investment required?
The lot size is yet to be announced, but retail investors usually need to invest in multiples of one lot.
3. When will Hexaware IPO be listed?
The listing is expected around February 20, 2025, on NSE and BSE.
4. Should I subscribe to the IPO?
It depends on your investment goal. If you seek short-term gains, it may not be ideal. However, if you are a long-term investor, the company’s fundamentals are solid.
5. Where can I check the allotment status?
You can check your allotment status on the registrar’s website or NSE/BSE.
