India's Fractal Analytics gains; PL Capital starts with 'buy'

Fractal Analytics

17/02/2026 05:10

** Shares of Fractal Analytics FRAL.NS rise 5.6% to 895 rupees

** PL Capital starts coverage on stock with "buy" rating, sets PT at 1,260, implying ~49% upside to its last close

** On Monday, stock debuted at 876 rupees vs IPO issue price of 900 rupees

** Brokerage says FRAL has demonstrated consistent and steady revenue performance over the past decade along with robust client retention

** Decoupling of revenue and headcount growth, narrowing of ESOP costs, and improvement in high-margin SaaS-based revenue  would help increase EBITDAM going forward, PL Capital says

** Brokerage expects USD revenue/INR EBITDA/INR PAT CAGR at 19.3%/30.9%/44.5% over FY26E-28E, respectively

** FRAL's vertical and functional mix is well aligned to high-growth industry segments and AI functions; valuation remains inexpensive, PL Capital says

 (Reporting by Brijesh Patel in Bengaluru)

 ((Brijesh.Patel1@thomsonreuters.com; Ph no. +91 9590227221;))