SoftTech Engineers
Market Cap
₹386.3m
Last Updated
2020/05/31 13:48 UTC
Data Sources
Company Financials
Executive Summary
SoftTech Engineers Limited develops software products and solutions for the architecture, engineering, and construction sectors in India.
Rewards
Risk Analysis
+ 1 more risk
Snowflake Analysis
Flawless balance sheet and fair value.
Share Price & News
How has SoftTech Engineers's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SOFTTECH's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
0%
SOFTTECH
4.9%
IN Software
4.5%
IN Market
1 Year Return
-31.7%
SOFTTECH
-37.8%
IN Software
-20.6%
IN Market
Return vs Industry: SOFTTECH exceeded the Indian Software industry which returned -37.8% over the past year.
Return vs Market: SOFTTECH underperformed the Indian Market which returned -20.6% over the past year.
Shareholder returns
| SOFTTECH | Industry | Market | |
|---|---|---|---|
| 7 Day | 0% | 4.9% | 4.5% |
| 30 Day | 11.6% | 3.0% | -1.9% |
| 90 Day | -19.6% | -18.3% | -13.8% |
| 1 Year | -31.1%-31.7% | -34.9%-37.8% | -19.0%-20.6% |
| 3 Year | n/a | -29.7%-36.5% | -9.3%-14.2% |
| 5 Year | n/a | -17.4%-31.0% | 13.4%2.8% |
Price Volatility Vs. Market
How volatile is SoftTech Engineers's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Volatility 101: Should SoftTech Engineers (NSE:SOFTTECH) Shares Have Dropped 37%?1 month ago | Simply Wall St
Why SoftTech Engineers Limited’s (NSE:SOFTTECH) Return On Capital Employed Is Impressive1 month ago | Simply Wall St
Could SoftTech Engineers Limited (NSE:SOFTTECH) Have The Makings Of Another Dividend Aristocrat?Valuation
Is SoftTech Engineers undervalued compared to its fair value and its price relative to the market?
7.11x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: SOFTTECH (₹41) is trading above our estimate of fair value (₹5.2)
Significantly Below Fair Value: SOFTTECH is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SOFTTECH is good value based on its PE Ratio (7.1x) compared to the Software industry average (9.1x).
PE vs Market: SOFTTECH is good value based on its PE Ratio (7.1x) compared to the Indian market (10x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate SOFTTECH's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SOFTTECH is good value based on its PB Ratio (0.6x) compared to the IN Software industry average (0.8x).
Next Steps
Future Growth
How is SoftTech Engineers forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
12.1%
Forecasted Software industry annual growth in earnings
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as SoftTech Engineers has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.
Next Steps
- Examine whether SoftTech Engineers is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- SoftTech Engineers competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Software industry.
Past Performance
How has SoftTech Engineers performed over the past 5 years?
17.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SOFTTECH has high quality earnings.
Growing Profit Margin: SOFTTECH's current net profit margins (9%) are lower than last year (13.4%).
Past Earnings Growth Analysis
Earnings Trend: SOFTTECH's earnings have grown by 17.7% per year over the past 5 years.
Accelerating Growth: SOFTTECH's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SOFTTECH had negative earnings growth (-33.2%) over the past year, making it difficult to compare to the Software industry average (-9.1%).
Return on Equity
High ROE: SOFTTECH's Return on Equity (8.8%) is considered low.
Next Steps
Financial Health
How is SoftTech Engineers's financial position?
Financial Position Analysis
Short Term Liabilities: SOFTTECH's short term assets (₹615.1M) exceed its short term liabilities (₹214.4M).
Long Term Liabilities: SOFTTECH's short term assets (₹615.1M) exceed its long term liabilities (₹51.9M).
Debt to Equity History and Analysis
Debt Level: SOFTTECH's debt to equity ratio (23.5%) is considered satisfactory.
Reducing Debt: SOFTTECH's debt to equity ratio has reduced from 67.2% to 23.5% over the past 5 years.
Debt Coverage: SOFTTECH's debt is well covered by operating cash flow (43%).
Interest Coverage: SOFTTECH's interest payments on its debt are well covered by EBIT (11.2x coverage).
Balance Sheet
Next Steps
Dividend
What is SoftTech Engineers's current dividend yield, its reliability and sustainability?
1.22%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SOFTTECH's dividend (1.22%) is higher than the bottom 25% of dividend payers in the Indian market (0.84%).
High Dividend: SOFTTECH's dividend (1.22%) is low compared to the top 25% of dividend payers in the Indian market (3.55%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, SOFTTECH has been paying a dividend for less than 10 years.
Growing Dividend: SOFTTECH has only been paying a dividend for 2 years, and since then payments have not increased.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (8.7%), SOFTTECH's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.6yrs
Average management tenure
CEO
Vijay Gupta (57yo)
5.17yrs
Tenure
₹4,200,000
Compensation
Mr. Vijay Gupta is Founder of SoftTech Engineers Pvt. Ltd. and has been its Chairman, Managing Director and Chief Executive Officer since February 24, 2015. Mr. Gupta started his career as a Research Assoc ...
CEO Compensation Analysis
Compensation vs Market: Vijay's total compensation ($USD55.55K) is about average for companies of similar size in the Indian market ($USD50.27K).
Compensation vs Earnings: Insufficient data to compare Vijay's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder | 5.17yrs | ₹4.20m | 39.63% ₹153.1m | |
| Company Secretary & Compliance Officer | 2.17yrs | ₹281.26k | no data | |
| Whole Time Director | 12.58yrs | ₹1.08m | 0.35% ₹1.4m | |
| Finance Controller | 1yr | ₹999.20k | no data | |
| Chief Financial Officer | 1yr | no data | no data | |
| VP of Accounts & Contract Management | no data | no data | no data | |
| Senior Vice President - eLearning | no data | ₹200.71k | no data | |
| Business Head | no data | no data | no data |
1.6yrs
Average Tenure
52.5yo
Average Age
Experienced Management: SOFTTECH's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder | 5.17yrs | ₹4.20m | 39.63% ₹153.1m | |
| Whole Time Director | 12.58yrs | ₹1.08m | 0.35% ₹1.4m | |
| no data | no data | no data | ||
| no data | no data | 1.39% ₹5.4m | ||
| Independent Director | 2.17yrs | ₹100.00k | no data | |
| Nominee Director | no data | no data | no data | |
| no data | no data | no data | ||
| Independent Director | 2.17yrs | ₹100.00k | no data | |
| Member of Advisory Board | no data | no data | no data | |
| Nominee Director | 0.33yr | no data | no data |
2.2yrs
Average Tenure
57yo
Average Age
Experienced Board: SOFTTECH's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
SoftTech Engineers Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: SoftTech Engineers Limited
- Ticker: SOFTTECH
- Exchange: NSEI
- Founded: 1996
- Industry: Application Software
- Sector: Software
- Market Cap: ₹386.322m
- Shares outstanding: 9.42m
- Website: https://www.softtech-engr.com
Number of Employees
Location
- SoftTech Engineers Limited
- The Pentagon
- Unit No. 5A, 5th Floor
- Pune
- Maharashtra
- 411009
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SOFTTECH | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | May 2018 |
Biography
SoftTech Engineers Limited develops software products and solutions for the architecture, engineering, and construction sectors in India. The company offers AutoDCR, a software for automation of building approvals that is used by the government authorities in scrutinizing and automating the building permits; and Public Works Information Management System, a Web-based commercial-off-the-shelf application for managing the functional processes, including budgets, estimations, approval, e-tendering, contract management, monitoring, and billing. It also provides OPTICON, which is an enterprise resource planning software primarily for construction enterprises; BIMDCR, a 3D building model based online single window system that facilitates automatic scrutiny of building proposals; and RuleBuddy, an e-commerce portal to provide investment risk analysis and project feasibility services. The company serves property developers, investors, real estate companies, contractors, architects, and consultants. SoftTech Engineers Limited was founded in 1996 and is headquartered in Pune, India.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/05/31 13:48 |
| End of Day Share Price | 2020/05/13 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2019/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.