Firstsource Solutions (FSL) – Gaining Ground with Growth Potential

is gaining investor attention as it shows strong financial improvement and bullish technical signals. Backed by robust FY25 numbers and a strong Q1 FY26 start, the stock is building a solid case for both swing and long-term investors 🔹 Fundamental Highlights (FY25 vs FY24) Revenue rose from ₹6,336 Cr to ₹7,980 Cr ➜ +25.9% YoY EBITDA/EBIT increased from ₹696 Cr to ₹881 Cr ➜ +26.5% YoY Net Profit grew from ₹515 Cr to ₹595 Cr ➜ +15.5% YoY EBIT margin remained steady at 11.0% Net profit margin slightly dipped from 8.1% to 7.4% Strong return ratios: ROE ~15.3%, ROCE ~16.2% Debt remains low with a healthy debt-to-equity ratio of 0.27 🔹 Q1 FY26 Momentum Revenue: ₹2,220 Cr (up ~24% YoY) Net Profit: ₹169 Cr (up ~25% YoY) PAT margin stable around 7.6% 🔹 Business Drivers Closed 14 large deals in FY25, including a $50M BPaaS healthcare contract Focused on tech transformation through its proprietary UnBPO™ framework Achieved $1B annualized run rate milestone FY26 revenue guidance: +12–15% | EBIT margin guidance: 11.25–12% 🔹 Technical Outlook Price trading near ₹370 with RSI ~60 – showing bullish buildup Stock is above 10 & 20 EMA with strong volume support Breakout likely if price crosses ₹390 with volume 🎯 Short-Term Target: ₹390–₹405 🎯 Long-Term Target: ₹450–₹480 🛑 Support Zone: ₹355–₹360 FSL is fundamentally strong and technically turning positive. Its consistent financial growth, margin stability, and new deal wins make it a worthy midcap to watch in the IT/BPM space