TRIGYN TECHNOLOGIES- A POTENTIAL MULTIBAGGER!

Trigyn Technologies Ltd., earlier known as Leading Edge Systems Ltd., (“Trigyn” or the “Company”) is a leading IT company providing IT solutions & services to global clients. Its services are spread all over the world such as USA, Canada, Europe, India, Africa and so on... The Company offers a comprehensive range of service offerings including Offshore Development and Maintenance Solutions & Services, Staff Augmentation, Managed Services, and Business Process Outsourcing. Trigyn has established partnership with the leading technology companies like Microsoft, EMC2 , TIBCO and IBM. 

RECENT NEWS: Recently their subsidiary Trigyn Technologies INC has been awarded an extension of theirICT services contract to OICT, New York city, till November 2017! 

PRODUCTS AND SERVICES OFFERED BY THE COMPANY:-

Products:

• Apollo Apollo is a network independent billing application and works on the philosophy of 'Customer Empowerment'. The product is built entirely around the client, allowing the client to play a key role in planning his services & rate plans. 

Global financial trading suite      Trigyn Technologies has developed a comprehensive range of financial solutionswhich provide information systems with an array of analytical, risk- eliminating, controlling and decision making tools. 

Fundpro     It is a sophisticated package for investment management and accounting catering to the needs of mutual funds and insurance companies.


Services:
Outsourcing services.
Re-engineering and migration practice
QA Practice
Governance practice.
Engineering practice
Staff Augmentation services.
ECDM services.
Documentum Practice.

ACHIEVEMENTS AND RECOGNITION:

Trigyn has been been awarded EMC channel partnership (July 04, 2008).

Trigyn was Awarded Multi-Year Solutions Provider Contract by Massachusetts (July 01, 2008)

Accreditation as “Microsoft Gold Certified Partner” by Microsoft Corporation (June 23, 2008)

Trigyn was Awarded Multi-Million Dollar UN Managed Services Contract Extension (May 29, 2008)

Trigyn was Awarded Microsoft Gold Certification (April 01, 2008)

2009 - Trigyn Wins State of Texas IT Staff Augmentation Services Contract

Trigyn Wins State of South Carolina IT Temporary Staffing Services Contract

2010 Trigyn Wins 3 Commonwealth of Massachusetts Multi-Year Contracts

2011 - Trigyn Awarded Commonwealth of Massachusetts Solution Provider Contract2012

Trigyn Awarded New York City IT Services Contract Extension

Trigyn Awarded IT Staffing MSA by Fortune 500 Financial Services Company. 

SHAREHOLDING PATTERN:

47.65% of the company's holding are with promoters. The company has 0 pledged shares. Highest holding is with UNITED TELECOMS LTD Intfact the entire holdings are with UTL! DIIs holding have increased by 0.15%. FIIs holdings are neglible(0.01%). NIIs holdings stand at 0.09%...2013 - Trigyn Awarded Washington State Contracts

2014 - Trigyn Awarded Multi-Year California IT Consulting Services MSA

FINANCIALS AND FUTURE PROSPECTS AND ESTIMATIONS:

The company is in a good financial trend in the current year, reported a strong Q2 this year, showing a growth of 20% in EPS and a growth of 12-13% in revenue on YoY basis. Even the Q4 reported by the company was a fantastic one reporting a growth of 11.4 percent at Rs 173.4 crore versus Rs 155.6 crore in the third quarter. The EBITDA margins for the quarter were also up at 12.7 percent versus 9.5 percent QoQ and the PAT stood at Rs 13.54 crore versus Rs 8.92 crore QoQ. The year-on-year revenues, too, were up 27 percent for FY16.

The company is debt free and so faces no interest burden(Long term loans). Company's operating profit per share was Rs0.70 against -0.93. The operating profit margin is 1.35% against -1.83%. The Gross profit and cash profit margins stands at 1.05%  and 1.70% respectively. The ROCE & RONW of the company is 2.04% and 1.08% against -0.50 and 0.01% respectively! All the data are of Mar2016 and on STANDALONE BASIS

Consolidated ROCE, RONW, Operating profit margin, and cash profit margin are 21.82%, 13.20%, 9.98% and 6.28% against 15.86%, 9.89%, 7.36% and 4.73% respectively!

Company has a consistent profit growth of 23% from last 5 years!

The results might be muted this year because of DEMONETISATION move, but company is expecting 11% organic growth for FY17.

With the company already being present in America, entering Latin America makes a logical sense. Moreover, they also plan to enter the continental European market. Entering both these markets will be through the organic route. However, he does not rule out inorganic expansions going forward. The company is also expecting strong forays in Latin America and EUROPE. Since they are new entrants in these markets their focus continues to be organic in these places.

The company is still expecting a revenue of 250million of revenue by 2020. The company is also expecting EBIDTA MARGINS between 12.5-15% in FY17!

RETURNS:
In nutshell, the company is at an infancy stage and should be bought before its too late... The company has a great financial growth and great future prospects. At CMP 83 its a good bet for coming 4-5 years with a minimum 50% returns each year. Its a HIGH BETA stock so the stock should be bought keeping the risk in mind.




UPDATE 24th July, 2018(CMP128):-
Trigyn tech was recommended on 22nd Nov, 2016 at mkt price 83. Given 50% CAGR returns the price this year should be 186 and the yearly high is 189.One can buy this now and average it around 100 for target 200 in next 12-18 months.




Disc:- All the info are based on the writer's own research/gathered from public domains. The writer of this Blog is  neither any advisor nor related to any brokerage houses!! The writer might be  himself invested in the stock after his own research so the views might be biased. Please do your own research before investing. The writer of this blog won't be held responsible for any of your profit/loss in your investment/trading career!