Sonata Software Limited
Momentum (83/100) does the heavy lifting; financial trend (50/100) is the drag.
Buy zoneOur blended model reads Sonata Software Limited as a Buy at 60/100. At ₹322.45 it trades above our blended DCF and relative-multiples fair value of ₹314.77, about 2% downside to that estimate — we read it as fairly valued. On 17.3x trailing earnings it sits cheaper than the Technology median of about 20.0x. The price is about 18% below its 52-week high of ₹392.05 and 56% above the low of ₹206.78. Financial health scores 77/100, in the safe band on the Altman Z-score, with a Piotroski F-score of 5/9. The average analyst target of ₹340.38 implies about 6% upside across 8 analysts. It clears 7 of 13 investability checks, with durability 55, valuation 66 and momentum 83 on our 0–100 scales.
Analysis by Ankit Sharma · StocksWizard's own estimates from end-of-day public data — see how we calculate them. For information only, not investment advice.
With a 20% margin of safety, our buy-below price is ₹251.82.
Analyst views
1-year price
EOD · 2026-07-3152-week range
-17.75% from the 52-week high.
Price above both moving averages reads as an intact uptrend; below both, the trend is against you.
Verdict pillars
Buy60Piotroski F-score 5/9 — quality of earnings & balance sheet.
Our scores
Durability rewards strong, low-debt, profitable businesses; Valuation rewards stocks cheap vs their sector; Momentum rewards strong price trends.
Investability checklist
- Pass: ROE above 15%: 25.7%
- Pass: Low debt (D/E < 0.5): 0.38x
- Pass: Positive free cash flow
- Fail: Revenue growth > 10%: -3%
- Pass: Earnings growing: 22%
- Fail: Net margin ≥ 10%: 4.3%
- Fail: Current ratio > 1.5: 1.05
- Fail: Below our fair value
- Fail: Margin of safety ≥ 20%
- Pass: Above 200-day average
- Pass: Above 50-day average
- No data: Positive 1-year return
- Pass: Altman Z in safe zone: Z 4.07
- Fail: Piotroski ≥ 7: 5/9
Quarterly results
Annual financials
Shareholding
- Promoter43.4%
- Institutions30.6%
- Public & other26.0%
Promoter holding via insider stake; institutional via reported holdings.
Key fundamentals
Bull case vs bear case
Bull case
Strengths
- Strong return on equity (25.7%).
- Lightly leveraged balance sheet.
- Financially solid — Altman Z 4.07.
Opportunities
- Earnings growing (22% YoY).
- Trading in our value buy zone versus sector peers.
About Sonata Software Limited
Sonata Software Limited provides information technology services across the United States, Europe, the Middle East, Asia Pacific, United Kingdom, Australia, New Zealand, and Ireland. The company offers GCC solutions, digital contact center services, product engineering, SAP modernization, application management, cloud modernization on Azure, AWS, and GCP, and data modernization including Microsoft Fabric and data privacy solutions.
Sonata Software Limited — frequently asked questions
Is Sonata Software Limited a buy, hold or sell?
StocksWizard currently rates Sonata Software Limited (SONATSOFTW) a Buy, based on a blended score of 60/100 across valuation, quality, momentum and price trend. This is our own model-based view, not investment advice.
What is Sonata Software Limited's fair value?
Our blended DCF and relative-valuation model estimates Sonata Software Limited's fair value at about ₹314.77, versus a current price of ₹322.45 — roughly 2% downside. On that basis the stock looks fairly valued.
Is Sonata Software Limited financially healthy?
Sonata Software Limited scores 77/100 on our financial-health model, placing it in the safe band on the Altman Z-score, with a Piotroski F-score of 5/9.
How has Sonata Software Limited's share price performed?
Sonata Software Limited is up 25% over three months, and last traded at ₹322.45. Past performance doesn't predict future returns.
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View allOur verdict, fair value, financial-health and checklist are StocksWizard's own estimates, computed from public end-of-day data using standard models (DCF, relative valuation, Altman Z, Piotroski). For information only — not investment advice or a recommendation. Verify independently before investing.