Goldman Sachs Portfolio Low PE Small-Cap Stock Bags Rs 400 Crore Order from India’s Largest Private Bank
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The company’s private bank revenue mix has increased from 22 per cent in FY25 to 25 per cent, with CMS aiming to reach 30 per cent by FY27. The company has also recently secured a Rs 1,000 crore SBI mandate, strengthening its position in the ATM managed services segment.
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On Monday, Indian equity markets are likely to see a cautious start as crude oil prices have risen sharply after US President Donald Trump rejected Iran’s latest proposal to end the Middle East conflict. The development has weakened hopes of an early breakthrough and renewed concerns over possible disruption around the Strait of Hormuz.
Amid this uncertain global backdrop, stock-specific action is expected to continue on D-Street. One Small-Cap stock likely to remain in focus is CMS Info Systems Ltd, following a key business update.
CMS Info Systems shares are expected to attract attention after the company announced that it has secured an integrated ATM managed services outsourcing mandate from HDFC Bank, India’s largest private sector bank. The order is valued at Rs 400 crore and covers 6,000 ATMs.
Under the five-year contract, CMS will provide managed services including currency forecasting, cash Logistics, and its Vision AI solution, HAWKAI™.
Commenting on the order win, Anush Raghavan, Chief Business Officer, said the mandate from HDFC Bank is a strong endorsement of CMS’ platform, technology capabilities, pan-India scale, and execution strength in uptime and compliance. He added that, along with the expanded ICICI Bank partnership in FY26, the company’s private bank revenue mix has increased from 22 per cent in FY25 to 25 per cent, with CMS aiming to reach 30 per cent by FY27. The company has also recently secured a Rs 1,000 crore SBI mandate, strengthening its position in the ATM managed services segment.
CMS Info Systems currently trades at a PE multiple of 14.5x, lower than the industry PE of 20.9x. The company has delivered a ROCE of 23.7 per cent. Interestingly, Goldman Sachs Funds – Goldman Sachs India Equity Portfolio holds a 2.75 per cent stake in the company.
CMS Info Systems Limited is one of India’s leading integrated business services companies. It operates across three key segments: ATM Management Solutions, Retail Solutions and Currency Logistics, and Technology and Payment Solutions. The company serves banks, financial institutions, organised retail players, and e-commerce companies across India.
With a pan-India network covering 97 per cent of districts, CMS has built strong technology capabilities through solutions such as HAWKAI Vision AI and ALGO MVS ATM software. Listed on the BSE and NSE since December 2021, the company continues to focus on disciplined growth, strong free cash flow generation, and expanding its addressable market across banking, financial services, and organised retail.
Disclaimer: The article is for informational purposes only and not investment advice.