Sonata Software Intrinsic Value
SONATSOFTW • Information Technology
Current Stock Price
₹209.60
Primary Intrinsic Value
₹207.84
Market Cap
₹586.9 Cr
+100.0%
Upside
Median Value
₹419.20
Value Range
₹111 - ₹524
Assessment
Trading Below Calculated Value
Safety Margin
50.0%
SONATSOFTW Valuation Methods Summary
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹207.84 | ₹166.27 - ₹249.41 | -0.8% | EPS: ₹17.32, Sector P/E: 12x |
| Book Value Method | asset | ₹524.00 | ₹471.60 - ₹576.40 | +150.0% | Book Value/Share: ₹609.29, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹419.20 | ₹377.28 - ₹461.12 | +100.0% | Revenue/Share: ₹3072.86, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹419.20 | ₹377.28 - ₹461.12 | +100.0% | EBITDA: ₹816.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹524.00 | ₹419.20 - ₹628.80 | +150.0% | CF Growth: 9.8%, Discount: 15% |
| PEG Ratio Method | growth | ₹110.85 | ₹99.77 - ₹121.94 | -47.1% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹142.72 | ₹128.45 - ₹156.99 | -31.9% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹419.20 | ₹377.28 - ₹461.12 | +100.0% | ROE: 28.1%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹487.28 | ₹438.55 - ₹536.01 | +132.5% | EPS: ₹17.32, BVPS: ₹609.29 |
Method Types:
Earnings
Asset
DCF
Growth
Dividend
Conservative
Valuation Comparison Chart
SONATSOFTW Intrinsic Value Analysis
What is the intrinsic value of SONATSOFTW?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Sonata Software (SONATSOFTW) is ₹419.20 (median value). With the current market price of ₹209.60, this represents a +100.0% variance from our estimated fair value.
The valuation range spans from ₹110.85 to ₹524.00, indicating ₹110.85 - ₹524.00.
Is SONATSOFTW undervalued or overvalued?
Based on our multi-method analysis, Sonata Software (SONATSOFTW) appears to be trading below calculated value by approximately 100.0%.
Financial Health Analysis
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 6.58 | Industry Standard: 2.0+ | Above 2.0 | Measures short-term liquidity capacity |
| Return on Equity | 28.1% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 8.0% | Industry Standard: 20%+ | Below 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.81x | Industry Standard: 1.0x+ | Above 1.0x | Measures asset utilization efficiency |
Related Pages for Sonata Software
Additional stock information and data for SONATSOFTW
Cash Flow Quality Analysis
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹644 Cr | ₹426 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹281 Cr | ₹255 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹268 Cr | ₹-118 Cr | Positive Operating Cash Flow | 6/10 |
| March 2022 | ₹450 Cr | ₹407 Cr | Positive Free Cash Flow | 8/10 |
| March 2021 | ₹443 Cr | ₹387 Cr | Positive Free Cash Flow | 8/10 |