Hexaware Technologies Ltd.

“Hexaware is a labor-arbitrage IT services business with no durable competitive advantage, stagnant margins, a PE sponsor controlling 75% of shares with an incentive to exit, and primary exposure to the ADM/BPO/testing segments most vulnerable to AI-driven commoditization. At 20x trailing earnings, the market is pricing a muddle-through scenario, not the structural margin compression and volume disruption that are the base-case trajectory for commodity IT delivery over a 5–10 year horizon. There is no margin of safety, no catalyst for re-rating, and better risk-adjusted alternatives exist in the Indian IT sector.”