Sonata Software
Sonata Software Limited, together with its subsidiaries, provides information technology services and solutions in India, the United States, Europe, and the Middle East. The last earnings update was 75 days ago. More info.
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SONATSOFTW Share Price and Events
7 Day Returns
1 Year Returns
SONATSOFTW Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Sonata Software (SONATSOFTW) | -2.5% | 1% | 3% | -9.6% | 117.3% | 578.7% |
| IN IT | 1% | 5.3% | 10.3% | 21.2% | 47.8% | 82% |
| IN Market | -1.9% | 1.2% | 5.1% | -2.8% | 38.3% | 71% |
1 Year Return vs Industry and Market
- SONATSOFTW underperformed the IT industry which returned 21.2% over the past year.
- SONATSOFTW underperformed the Market in India which returned -2.8% over the past year.
Value
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Sonata Software
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Sonata Software.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 5 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 16.5% |
| Perpetual Growth Rate | 10-Year IN Government Bond Rate | 7.6% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year IN Govt Bond Rate | 7.6% |
| Equity Risk Premium | S&P Global | 8.6% |
| IT Unlevered Beta | Simply Wall St/ S&P Global | 1.06 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.056 (1 + (1- 35%) (0.6%)) |
1.04 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.04 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (1.04 * 8.6%) |
16.5% |
Discounted Cash Flow Calculation for NSEI:SONATSOFTW using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Sonata Software is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (INR, Millions) | Source |
Present Value Discounted (@ 16.5%) |
|
|---|---|---|---|
| 2019 | 1,951.67 | Analyst x3 | 1,675.28 |
| 2020 | 2,566.67 | Analyst x3 | 1,891.19 |
| 2021 | 2,803.50 | Analyst x2 | 1,773.16 |
| 2022 | 3,040.21 | Est @ 8.44% | 1,650.57 |
| 2023 | 3,288.76 | Est @ 8.18% | 1,532.66 |
| 2024 | 3,551.45 | Est @ 7.99% | 1,420.70 |
| 2025 | 3,830.47 | Est @ 7.86% | 1,315.32 |
| 2026 | 4,127.89 | Est @ 7.76% | 1,216.72 |
| 2027 | 4,445.74 | Est @ 7.7% | 1,124.84 |
| 2028 | 4,786.07 | Est @ 7.66% | 1,039.46 |
| Present value of next 10 years cash flows | ₹14,639.91 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= ₹4,786.07 × (1 + 7.55%) ÷ (16.5% – 7.55%) |
₹57,528.14 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= ₹57,528.14 ÷ (1 + 16.5%)10 |
₹12,494.21 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= ₹14,639.91 + ₹12,494.21 |
₹27,134.13 |
| Equity Value per Share (INR) |
= Total value / Shares Outstanding
= ₹27,134.13 / 105.16 |
₹258.03 |
| Calculation | Result | |
|---|---|---|
| Non-primary Listing Adjustment Factor |
1 share in NSEI:SONATSOFTW
represents 1.00045x
of
BSE:532221
(This could be a different class, a depositary receipt, a different currency, or all of these things.) |
1.00045x |
| Value per Share (Listing Adjusted, INR) |
= Value per Share (INR) x Listing Adjustment Factor
= ₹ 258.03 x 1.00045 |
₹258.14 |
| Value per share (INR) | From above. | ₹258.14 |
| Current discount | Discount to share price of
₹330.55
= -1 x (₹330.55 - ₹258.14) / ₹258.14 |
-28% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
- The current share price of Sonata Software is above its future cash flow value.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Sonata Software's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Sonata Software's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in INR | ₹22.99 |
| BSE:532221 Share Price ** | BSE (2019-04-24) in INR | ₹330.4 |
| India IT Industry PE Ratio | Median Figure of 84 Publicly-Listed IT Companies | 15.67x |
| India Market PE Ratio | Median Figure of 2,739 Publicly-Listed Companies | 16.02x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Sonata Software.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = BSE:532221 Share Price ÷ EPS (both in INR) = 330.4 ÷ 22.99 |
14.37x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Sonata Software is good value based on earnings compared to the IN IT industry average.
- Sonata Software is good value based on earnings compared to the India market.
Price based on expected Growth
Does
Sonata Software's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 14.37x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts |
13.8%per year |
| India IT Industry PEG Ratio | Median Figure of 21 Publicly-Listed IT Companies | 1.31x |
| India Market PEG Ratio | Median Figure of 586 Publicly-Listed Companies | 1.32x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 14.37x ÷ 13.8% |
1.04x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Sonata Software is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Sonata Software's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in INR | ₹64.94 |
| BSE:532221 Share Price * | BSE (2019-04-24) in INR | ₹330.4 |
| India IT Industry PB Ratio | Median Figure of 108 Publicly-Listed IT Companies | 1.36x |
| India Market PB Ratio | Median Figure of 3,630 Publicly-Listed Companies | 1.09x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = BSE:532221 Share Price ÷ Book Value per Share (both in INR) = 330.4 ÷ 64.94 |
5.09x |
* Primary Listing of Sonata Software.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Sonata Software is overvalued based on assets compared to the IN IT industry average.
Value checks
We assess Sonata Software's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the IT industry average (and greater than 0)? (1 check) Sonata Software has a total score of 2/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Sonata Software's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
- Sonata Software's earnings growth is positive but not above the India market average.
- Sonata Software's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NSEI:SONATSOFTW Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts | 13.8% |
| NSEI:SONATSOFTW Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts | 12.1% |
| India IT Industry Earnings Growth Rate | Market Cap Weighted Average | 9.5% |
| India IT Industry Revenue Growth Rate | Market Cap Weighted Average | 9.4% |
| India Market Earnings Growth Rate | Market Cap Weighted Average | 18.3% |
| India Market Revenue Growth Rate | Market Cap Weighted Average | 11.7% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
| Date (Data in INR Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-03-31 | 36,494 | 2,954 | 3,246 | 3 |
| 2020-03-31 | 33,027 | 2,627 | 2,792 | 4 |
| 2019-03-31 | 29,088 | 1,971 | 2,476 | 3 |
| Date (Data in INR Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 27,512 | 2,388 | |
| 2018-09-30 | 26,739 | 2,240 | |
| 2018-06-30 | 25,077 | 2,071 | |
| 2018-03-31 | 24,539 | 2,978 | 1,925 |
| 2017-12-31 | 26,643 | 1,709 | |
| 2017-09-30 | 24,726 | 1,619 | |
| 2017-06-30 | 25,463 | 1,533 | |
| 2017-03-31 | 23,708 | 1,845 | 1,563 |
| 2016-12-31 | 23,538 | 1,541 | |
| 2016-09-30 | 22,632 | 1,557 | |
| 2016-06-30 | 21,391 | 1,572 | |
| 2016-03-31 | 19,405 | 1,582 | 1,586 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
All data from Sonata Software Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in INR Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-03-31 | 31.40 | 32.10 | 30.70 | 2.00 |
| 2020-03-31 | 26.90 | 29.00 | 24.70 | 3.00 |
| 2019-03-31 | 23.90 | 24.20 | 23.60 | 2.00 |
| Date (Data in INR Millions) | EPS * |
|---|---|
| 2018-12-31 | 22.99 |
| 2018-09-30 | 21.56 |
| 2018-06-30 | 19.94 |
| 2018-03-31 | 18.54 |
| 2017-12-31 | 16.24 |
| 2017-09-30 | 15.39 |
| 2017-06-30 | 14.58 |
| 2017-03-31 | 15.07 |
| 2016-12-31 | 14.65 |
| 2016-09-30 | 14.81 |
| 2016-06-30 | 14.95 |
| 2016-03-31 | 15.08 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Sonata Software's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Sonata Software has a total score of 3/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has Sonata Software performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Sonata Software's year on year earnings growth rate has been positive over the past 5 years.
- Sonata Software's 1-year earnings growth exceeds its 5-year average (39.7% vs 17.5%)
- Sonata Software's earnings growth has exceeded the IN IT industry average in the past year (39.7% vs 24.5%).
Earnings and Revenue History
All data from Sonata Software Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in INR Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 27,511.50 | 2,387.60 | 323.50 | |
| 2018-09-30 | 26,739.40 | 2,240.00 | 323.50 | |
| 2018-06-30 | 25,077.30 | 2,071.40 | 323.50 | |
| 2018-03-31 | 24,539.40 | 1,925.30 | 323.50 | |
| 2017-12-31 | 26,642.54 | 1,709.25 | 318.12 | |
| 2017-09-30 | 24,726.06 | 1,619.35 | 318.12 | |
| 2017-06-30 | 25,462.52 | 1,533.45 | 318.12 | |
| 2017-03-31 | 23,707.80 | 1,563.00 | 321.70 | |
| 2016-12-31 | 23,537.57 | 1,541.30 | 279.18 | |
| 2016-09-30 | 22,631.68 | 1,557.05 | 279.18 | |
| 2016-06-30 | 21,391.30 | 1,572.17 | 279.18 | |
| 2016-03-31 | 19,405.01 | 1,585.91 | 279.18 | |
| 2015-12-31 | 17,922.08 | 1,525.92 | 1,063.06 | |
| 2015-09-30 | 17,370.83 | 1,480.72 | 1,063.06 | |
| 2015-06-30 | 17,441.65 | 1,398.52 | 1,063.06 | |
| 2015-03-31 | 16,821.28 | 1,336.97 | 271.72 | |
| 2014-12-31 | 16,303.15 | 1,224.31 | 1,131.24 | |
| 2014-09-30 | 15,503.45 | 1,083.44 | 1,131.24 | |
| 2014-06-30 | 15,698.44 | 952.84 | 1,131.24 | |
| 2014-03-31 | 15,657.97 | 777.67 | 1,125.48 | |
| 2013-12-31 | 14,841.60 | 611.67 | 840.49 | |
| 2013-09-30 | 14,925.19 | 481.98 | 840.49 | |
| 2013-06-30 | 13,225.53 | 41.62 | 840.49 | |
| 2013-03-31 | 13,109.43 | 300.01 | 753.13 | |
| 2012-12-31 | 13,736.70 | -486.67 | 2,187.39 | |
| 2012-09-30 | 15,051.70 | -641.91 | 2,187.39 | |
| 2012-06-30 | 16,354.60 | -291.22 | 2,187.39 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Sonata Software has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
- Sonata Software used its assets more efficiently than the IN IT industry average last year based on Return on Assets.
- Sonata Software has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Sonata Software's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Sonata Software has a total score of 6/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
How is Sonata Software's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Sonata Software's finances.
The net worth of a company is the difference between its assets and liabilities.
- Sonata Software is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Sonata Software's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- Low level of unsold assets.
- Debt is covered by short term assets, assets are 45.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Sonata Software Company Filings, last reported 3 months ago.
| Date (Data in INR Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 6,738.40 | 207.80 | 3,312.70 |
| 2018-09-30 | 6,738.40 | 207.80 | 3,312.70 |
| 2018-06-30 | 6,532.60 | 337.30 | 4,713.40 |
| 2018-03-31 | 6,532.60 | 337.30 | 4,713.40 |
| 2017-12-31 | 5,967.66 | 289.23 | 2,869.79 |
| 2017-09-30 | 5,967.66 | 289.23 | 2,869.79 |
| 2017-06-30 | 5,845.90 | 541.71 | 3,655.33 |
| 2017-03-31 | 5,907.50 | 552.20 | 2,141.90 |
| 2016-12-31 | 5,451.71 | 1,492.44 | 2,958.69 |
| 2016-09-30 | 5,451.71 | 1,492.44 | 2,958.69 |
| 2016-06-30 | 4,709.92 | 1,760.28 | 3,474.95 |
| 2016-03-31 | 4,709.92 | 1,760.28 | 3,474.66 |
| 2015-12-31 | 4,967.85 | 686.87 | 2,810.31 |
| 2015-09-30 | 4,967.85 | 686.87 | 2,810.31 |
| 2015-06-30 | 4,284.31 | 244.25 | 2,639.17 |
| 2015-03-31 | 4,284.31 | 244.25 | 2,636.59 |
| 2014-12-31 | 4,145.11 | 754.57 | 1,855.97 |
| 2014-09-30 | 4,145.11 | 754.57 | 1,855.97 |
| 2014-06-30 | 3,744.06 | 56.95 | 2,451.24 |
| 2014-03-31 | 3,744.06 | 56.95 | 2,441.42 |
| 2013-12-31 | 3,655.05 | 0.00 | 1,341.87 |
| 2013-09-30 | 3,655.05 | 0.00 | 1,341.87 |
| 2013-06-30 | 3,417.86 | 167.82 | 1,572.62 |
| 2013-03-31 | 3,417.86 | 167.82 | 1,572.62 |
| 2012-12-31 | 3,302.28 | 434.93 | 605.25 |
| 2012-09-30 | 3,302.28 | 434.93 | 605.25 |
| 2012-06-30 | 3,797.10 | 433.32 | 1,437.38 |
- Sonata Software's level of debt (3.1%) compared to net worth is satisfactory (less than 40%).
- The level of debt compared to net worth has increased over the past 5 years (0% vs 3.1% today).
- Debt is well covered by operating cash flow (1433%, greater than 20% of total debt).
- Sonata Software earns more interest than it pays, coverage of interest payments is not a concern.
Financial health checks
We assess Sonata Software's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Sonata Software has a total score of 5/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is Sonata Software's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
₹2,000 of
Sonata Software
shares you are expected to receive
₹70
in your first year as a dividend.
Dividend Amount
- Sonata Software's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.51%).
- Sonata Software's dividend is above the markets top 25% of dividend payers in India (1.95%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 5 Analyst Estimates (S&P Global) | See Below |
| India IT Industry Average Dividend Yield | Market Cap Weighted Average of 40 Stocks | 1.5% |
| India Market Average Dividend Yield | Market Cap Weighted Average of 1400 Stocks | 1.4% |
| India Minimum Threshold Dividend Yield | 10th Percentile | 0.3% |
| India Bottom 25% Dividend Yield | 25th Percentile | 0.5% |
| India Top 25% Dividend Yield | 75th Percentile | 2% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in ₹) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-03-31 | 16.47 | 3.00 |
| 2020-03-31 | 14.80 | 4.00 |
| 2019-03-31 | 13.73 | 3.00 |
| Date (Data in ₹) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2018-11-02 | 11.500 | 3.575 |
| 2018-05-22 | 10.500 | 3.156 |
| 2017-11-13 | 9.250 | 3.205 |
| 2017-07-18 | 9.000 | 5.607 |
| 2016-11-02 | 9.000 | 5.278 |
| 2016-03-09 | 9.000 | 5.821 |
| 2015-11-06 | 7.750 | 4.855 |
| 2015-05-19 | 5.250 | 3.607 |
| 2014-09-08 | 3.750 | 2.689 |
| 2014-07-11 | 3.750 | 4.401 |
| 2014-05-26 | 3.750 | 5.400 |
| 2013-11-12 | 2.250 | 5.350 |
| 2013-07-08 | 1.750 | 6.444 |
| 2013-05-30 | 1.750 | 6.619 |
| 2012-11-12 | 0.750 | 3.001 |
| 2012-07-25 | 0.500 | 2.402 |
| 2011-11-03 | 1.500 | 7.151 |
| 2011-04-20 | 2.000 | 5.740 |
| 2010-11-10 | 1.800 | 4.271 |
| 2010-04-19 | 1.600 | 3.107 |
| 2010-01-20 | 1.800 | 3.143 |
| 2009-10-14 | 1.800 | 4.570 |
| 2009-07-17 | 0.000 | 0.000 |
| 2009-05-12 | 0.000 | 0.000 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Sonata Software's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are covered by earnings (2x coverage).
- Dividends after 3 years are expected to be covered by earnings (1.8x coverage).
Income/ dividend checks
We assess Sonata Software's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Sonata Software afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Sonata Software has a total score of 5/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | ₹53,276,005 |
| AGE | 60 |
| TENURE AS CEO | 7.2 years |
CEO Bio
Mr. Palem Srikar Reddy, BE (Electrical), PGDBM (IIM), has been the Managing Director and Chief Executive Officer of Sonata Software Limited since February 14, 2012. Mr. Reddy serves as an Executive Director of Sonata Software Ltd., Sonata Software FZ-LLC., Sonata Information Technology Limited and Abisko Development Limited. He served as the Chief Operating Officer of Sonata Software Ltd. until February 16, 2012 and served as its Deputy Managing Director from August 17, 2011 to February 16, 2012. Mr. Reddy served as the President, Executive Vice President and Senior Vice President of Sonata Software Ltd. Mr. Reddy has been employed with Sonata since inception in April 1986, during which he has handled various assignments ranging from Software architect to Project Management Marketing & Sales. He serves as Chairman of Interactive Business Information Systems, Inc. Mr. Reddy is an invited speaker in many IT forums on a wide variety of topics from IT strategy, Supply chain Management, Opportunities for Indian Offshore Companies. He is a graduate in engineering from Regional engineering college Trichy and Post Graduate in Management from Indian Institute of Management, Calcutta.
CEO Compensation
- Palem's compensation has increased by more than 20% in the past year.
- Palem's remuneration is higher than average for companies of similar size in India.
Management Team Tenure
Average tenure and age of the Sonata Software management team in years:
- The tenure for the Sonata Software management team is about average.
Management Team
Palem Reddy
CEO, MD & Executive Director
₹53M
60
7.2 yrs
Prasanna Oke
Chief Financial Officer
3.9 yrs
Vikas Gurugunti
COO & Head of Americas
1.5 yrs
R. Sathyanarayana
Vice President of Finance & Accounts
₹3M
53
Rashmi Shirke
Compliance Officer & Assistant Company Secretary
0.1 yrs
Amit Tyagi
Chief Marketing Officer
2.2 yrs
Madhavi Srinivas
Chief Human Resources Officer
5.5 yrs
P. Raju
Chief Delivery Officer
₹9M
53
3.3 yrs
Sujit Mohanty
Head of Sonata India Business
₹7M
51
0.3 yrs
Raj Roy
Global Head of Microsoft Dynamics
₹3M
48
1.4 yrs
Board of Directors Tenure
Average tenure and age of the Sonata Software board of directors in years:
- The tenure for the Sonata Software board of directors is about average.
Board of Directors
Pradip Shah
Chairman
₹4M
65
Palem Reddy
CEO, MD & Executive Director
₹53M
60
Suresh Talwar
Independent Director
₹4M
81
Brijendra Syngal
Independent Director
₹4M
77
15.3 yrs
Shyam Ghia
Non-Executive Director
₹4M
70
Jnan Dash
Member of Advisory Board
5.4 yrs
Viren Raheja
Non-Executive Director
₹4M
34
11 yrs
Sriram Dasu
Member of Advisory Board
5.4 yrs
Radhika Rajan
Non-Executive Independent Director
₹4M
62
4.7 yrs
Ken Cutshaw
Member of Advisory Board
64
1.7 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (₹) | Value (₹) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 26. Feb 19 | Sell | Bhupati Investments and Finance Pvt. Ltd. | Company | 20. Feb 19 | 21. Feb 19 | -8,851 | ₹348.96 | ₹-3,088,651 | ||
| 24. Oct 18 | Sell | Mohammed Ajmal | Individual | 04. Sep 18 | 04. Sep 18 | -10,000 | ₹359.00 | ₹-3,590,014 | ||
| 11. Sep 18 | Sell | Prasanna Oke | Individual | 06. Sep 18 | 07. Sep 18 | -15,000 | ₹365.73 | ₹-5,485,988 | ||
| 06. Sep 18 | Sell | Sujit Mohanty | Individual | 04. Sep 18 | 05. Sep 18 | -9,000 | ₹355.73 | ₹-3,201,572 | ||
| 04. Sep 18 | Sell | Sujit Mohanty | Individual | 28. Aug 18 | 31. Aug 18 | -6,000 | ₹357.82 | ₹-2,132,817 | ||
| 30. Aug 18 | Sell | P. Raju | Individual | 28. Aug 18 | 29. Aug 18 | -10,000 | ₹348.50 | ₹-3,480,500 | ||
Management checks
We assess Sonata Software's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Sonata Software has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
Should You Be Adding Sonata Software (NSE:SONATSOFTW) To Your Watchlist Today?
In contrast to all that, I prefer to spend time on companies like Sonata Software (NSE:SONATSOFTW), which has not only revenues, but also profits. … I like to take a look at earnings before interest and (EBIT) tax margins, as well as revenue growth, to get another take on the quality of the company's growth. … In the chart below, you can see how the company has grown earnings, and revenue, over time.
Simply Wall St - – Full articleWhat Did Sonata Software Limited's (NSE:SONATSOFTW) CEO Take Home Last Year?
How Does Palem Reddy's Compensation Compare With Similar Sized Companies. … According to our data, Sonata Software Limited has a market capitalization of ₹36b, and pays its CEO total annual compensation worth ₹53m. … While we always look at total compensation first, we note that the salary component is less, at ₹33m.
Simply Wall St - – Full articleImagine Owning Sonata Software (NSE:SONATSOFTW) And Wondering If The -651% Share Price Slide Is Justified
To wit, the Sonata Software Limited (NSE:SONATSOFTW) share price has soared 651% over five years. … During five years of share price growth, Sonata Software achieved compound earnings per share (EPS) growth of 32% per year. … This EPS growth is lower than the 50% average annual increase in the share price.
Simply Wall St - – Full articleWhat Kind Of Investor Owns Most Of Sonata Software Limited (NSE:SONATSOFTW)?
A look at the shareholders of Sonata Software Limited (NSE:SONATSOFTW) can tell us which group is most powerful. … Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … Sonata Software is not a large company by global standards.
Simply Wall St - – Full articleRead This Before You Buy Sonata Software Limited (NSE:SONATSOFTW) Because Of Its P/E Ratio
This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … How Do I Calculate Sonata Software's Price To Earnings Ratio … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleSonata Software Limited (NSE:SONATSOFTW) Is Trading At A 21.35% Discount
by estimating the company's future cash flows and discounting them to their present value. … discounted cash flows (DCF) … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model.
Simply Wall St - – Full articleAre You An Income Investor? Don't Miss Out On Sonata Software Limited (NSE:SONATSOFTW)
There is a lot to be liked about Sonata Software Limited (NSE:SONATSOFTW) as an income stock. … The stock currently pays out a dividend yield of 3.5%, and has a market cap of ₹34b. … Let's take a look at Sonata Software in more detail.
Simply Wall St - – Full articleBrief Commentary On Sonata Software Limited's (NSE:SONATSOFTW) Fundamentals
As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook. … In the case of Sonata Software Limited (NSE:SONATSOFTW), it
Simply Wall St - – Full articleHow Much Are Sonata Software Limited (NSE:SONATSOFTW) Insiders Taking Off The Table?
So we'll take a look at whether insiders have been buying or selling shares in Sonata Software Limited (NSE:SONATSOFTW). … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … Sonata Software Insider Transactions Over The Last Year.
Simply Wall St - – Full articleWhat Can We Make Of Sonata Software Limited’s (NSE:SONATSOFTW) High Return On Capital?
Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Return On Capital Employed (ROCE): What is it? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
Simply Wall St - – Full articleCompany Info
Description
Sonata Software Limited, together with its subsidiaries, provides information technology services and solutions in India, the United States, Europe, and the Middle East. Its services include software development, technical, and product marketing services, as well as consulting services. The company delivers solutions for customers travel, retail, distribution, and software product companies, as well as for independent software vendors through IP based platforms, products, and services that integrate new digital platforms, such as Rezopia, Brick and Click Retail, Travel, and Modern distribution. It also provides digital engagement, application lifecycle services; and technology infrastructure services; and resells product licenses of software companies. The company has strategic alliances with Microsoft, Oracle, SAP/Hybris, HP, and IBM. Sonata Software Limited was incorporated in 1994 and is headquartered in Bengaluru, India.
Details
| Name: | Sonata Software Limited |
| SONATSOFTW | |
| Exchange: | NSEI |
| Founded: | 1994 |
| ₹34,444,930,680 | |
| 105,159,306 | |
| Website: | http://www.sonata-software.com |
| Address: |
Sonata Software Limited 1/4, APS Trust Building, Bull Temple Road, Bengaluru, Karnataka, 560019, India |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| BSE | 532221 | Equity Shares | Mumbai Stock Exchange | IN | INR | 28. Jul 1999 | |
| NSEI | SONATSOFTW | Equity Shares | National Stock Exchange of India | IN | INR | 28. Jul 1999 |
Number of employees
Current staff
Industry
| IT Consulting and Other Services | |
| Software |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/24 12:47 |
| End of day share price update: | 2019/04/24 00:00 |
| Last estimates confirmation: | 2019/04/08 |
| Last earnings filing: | 2019/02/08 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/03/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
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.
