SONATSOFTW
FAIRLY_VALUEDSonata Software
IT · NSE
↑ 18.8% vs fair value
52W Low
₹207
+29.2% from low
52W High
₹453
-40.9% from high
Valuation Gauge
Current Price
₹268
Fair Value
₹330
Fair Value Analysis
₹330
Based on free cash flow projections and earnings growth potential for IT sector companies | Sector-cheap: P/E at 20th percentile vs sector peers. | CAUTION: ROCE declining (latest 31.1%) — returns on capital are falling; verify this isn't a value trap.
Cash Flow Analysis
50% weight
Growth Valuation
50% weight
Price vs Market
Shareholding Pattern
Stock Health Score
Financially Healthy
Profitability
ROE of 25.7% is above the IT sector benchmark of 20% — strong returns
Debt & Leverage
D/E ratio of 0.4x is well within the IT sector norm of 0.8x — strong balance sheet
Valuation vs Peers
P/E of 16.0x trades at a 70% discount to IT sector median (53x) — attractively valued
Cash Flow
FCF margin of 4.0% — thin cash generation, watch capex trends
Earnings Growth
5yr EPS CAGR of 0.9% is well below IT sector average of 14.2%
Dividend
Dividend yield of 3.1% provides strong shareholder returns (benchmark: 1.5%)
Company Health Timeline
10-year financial health at a glance
Sentiment Trend — Last 30 Days
Historical Returns
Key Ratios & Growth
FCF Yield
4.3%
Free cash flow / market cap
Revenue Growth (YoY)
-3.1%
Year-on-year revenue change
Profit Growth (YoY)
+20.4%
Year-on-year PAT change
Operating Cash Flow
₹538 Cr
TTM cash from operations
Key Financials
EPS (TTM)
₹16.6
P/E Ratio
16x
P/B Ratio
3.9x
ROE
25.7%
ROCE
27.6%
Debt / Equity
0.38x
Beta
—
Div Yield
3%
FCF (Cr)
₹424 Cr
Revenue (Cr)
₹10,701 Cr
EPS Growth 5Y
0.9%
Mkt Cap (Cr)
₹7,356 Cr
52W High
₹452.8
52W Low
₹207.2
Book Value/Share
₹68.1
Financial History
| Period | Revenue | Op Profit | OPM% | PAT | EPS |
|---|---|---|---|---|---|
| 2026-03-31 | ₹10.7K Cr | ₹741 Cr | 7.0% | ₹464 Cr | ₹16.56 |
| 2025-03-31 | ₹10.2K Cr | ₹690 Cr | 7.0% | ₹425 Cr | ₹15.14 |
| 2024-03-31 | ₹8.6K Cr | ₹728 Cr | 8.0% | ₹308 Cr | ₹11.00 |
| 2023-03-31 | ₹7.4K Cr | ₹604 Cr | 8.0% | ₹452 Cr | ₹16.12 |
| 2022-03-31 | ₹5.6K Cr | ₹464 Cr | 8.0% | ₹376 Cr | ₹13.42 |
| 2021-03-31 | ₹4.2K Cr | ₹380 Cr | 9.0% | ₹244 Cr | ₹8.70 |
| 2020-03-31 | ₹3.7K Cr | ₹373 Cr | 10.0% | ₹277 Cr | ₹9.88 |
| 2019-03-31 | ₹3.0K Cr | ₹336 Cr | 11.0% | ₹249 Cr | ₹8.89 |
| 2018-03-31 | ₹2.5K Cr | ₹231 Cr | 9.0% | ₹192 Cr | ₹6.87 |
| 2017-03-31 | ₹2.4K Cr | ₹180 Cr | 8.0% | ₹157 Cr | ₹5.57 |
| 2016-03-31 | ₹1.9K Cr | ₹192 Cr | 10.0% | ₹159 Cr | ₹5.66 |
| 2015-03-31 | ₹1.7K Cr | ₹168 Cr | 10.0% | ₹133 Cr | ₹4.77 |
Compounded Growth Rates
Sales Growth
Profit Growth
EPS Growth
Peer Comparison
IT| Stock | Price | Fair Value | MoS% | P/E | ROE | Signal |
|---|---|---|---|---|---|---|
Dolat Algotech Limited | ₹75.1 | ₹541.9 | +86.2% | 11.2 | 20.4% | UNDERVALUED |
Ceinsys Tech Limited | ₹907 | ₹4,257.5 | +78.7% | 15.9 | 24.6% | UNDERVALUED |
Radhika Jeweltech Limited | ₹58 | ₹247.9 | +76.6% | 8.3 | 18.7% | UNDERVALUED |
Shilchar Technologies Limited | ₹4,090 | ₹14,370.8 | +71.5% | 29 | 37.8% | UNDERVALUED |
Kellton Tech Solutions Limited | ₹15.3 | ₹50 | +69.5% | 8.7 | 12.7% | UNDERVALUED |
Onward Technologies Limited | ₹260.7 | ₹659.2 | +60.5% | 13.9 | 19.3% | UNDERVALUED |
Cigniti Technologies Limited | ₹1,260.1 | ₹2,957.1 | +57.4% | 11.5 | 26.8% | UNDERVALUED |
Ducon Infratechnologies Limited | ₹3.4 | ₹6.6 | +48.9% | 8.5 | 10.1% | UNDERVALUED |
Institutional Activity
Bulk deals, block deals, short selling & delivery volume — NSE data
Insider Trading
Community Pulse
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