Sopra Steria Group (ENXTPA:SOP) Is Up 7.5% After Naming Rajesh Krishnamurthy Future CEO

• Sopra Steria announced that its board has appointed Rajesh Krishnamurthy as Group Chief Executive Officer, effective February 2, 2026, bringing three decades of international technology, consulting and transformation experience across Europe, Asia and the Americas.
• His track record in scaling Infosys and transforming Expleo, including shifting toward digital engineering and AI-enabled services, aligns closely with Sopra Steria’s ambitions in high-value, technology-led offerings.
• We’ll now examine how bringing in an experienced large-scale transformer like Rajesh Krishnamurthy could influence Sopra Steria’s investment narrative.

AI is about to change healthcare. These 30 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early.

Sopra Steria Group Investment Narrative Recap

To own Sopra Steria, you need to believe it can convert its strong position in European public and regulated sectors into steadier growth and better cash generation, despite recent organic revenue pressure and working capital strain. The appointment of Rajesh Krishnamurthy looks most relevant to the medium term, as his transformation experience could support margin and portfolio shifts, but it does not materially change the near term focus on stabilizing volumes and improving free cash flow.

Among recent developments, the go live of the eu LISA sBMS biometric platform underlines Sopra Steria’s role in high value, mission critical public sector systems, an area closely linked to its defense and security catalyst. This type of project underpins the investment case around more resilient, higher margin sovereign IT and provides a context in which an incoming CEO with large scale digital transformation experience might look to deepen the company’s positioning in complex, AI enabled services.

But investors should also be aware that persistent negative organic growth in core European markets could still...

Read the full narrative on Sopra Steria Group (it's free!)

Sopra Steria Group's narrative projects €6.1 billion revenue and €373.6 million earnings by 2028. This requires 2.7% yearly revenue growth and about a €91.6 million earnings increase from €282.0 million today.

Uncover how Sopra Steria Group's forecasts yield a €201.90 fair value, a 39% upside to its current price.

Exploring Other Perspectives

Seven fair value estimates from the Simply Wall St Community span about €98 to €254 per share, showing how far apart individual views can be. When you set that against concerns about persistent organic revenue contraction in key markets, it underlines why many investors may want to compare several independent opinions before deciding how Sopra Steria fits into their portfolio.

Explore 7 other fair value estimates on Sopra Steria Group - why the stock might be worth 32% less than the current price!

Build Your Own Sopra Steria Group Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Sopra Steria Group research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Sopra Steria Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Sopra Steria Group's overall financial health at a glance.

Interested In Other Possibilities?

Our top stock finds are flying under the radar-for now. Get in early:

• These 9 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch.
• We've found 12 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.
• Uncover the next big thing with financially sound penny stocks that balance risk and reward.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com