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Sonata Software LimitedNSEI:SONATSOFTW Stock Report

Market Cap ₹75.7b
Share Price
₹267.30
₹346.14
22.8% undervalued intrinsic discount
1Y-32.0%
7D-0.9%
Portfolio Value
View

Sonata Software Limited

NSEI:SONATSOFTW Stock Report

Market Cap: ₹75.7b

Sonata Software (SONATSOFTW) Stock Overview

Provides information technology services and solutions in the United States, Europe, the Middle East, the Asia Pacific, the United Kingdom, Australia, New Zealand, and Ireland. More details

SONATSOFTW fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance5/6
Financial Health5/6
Dividends5/6

SONATSOFTW Community Fair Values

Create Narrative

See what 29 others think this stock is worth. Follow their fair value or set your own to get alerts.

Sonata Software Limited Competitors

Price History & Performance

Summary of share price highs, lows and changes for Sonata Software
Historical stock prices
Current Share Price₹267.30
52 Week High₹452.80
52 Week Low₹207.15
Beta0.44
1 Month Change10.38%
3 Month Change-7.40%
1 Year Change-31.98%
3 Year Change-44.22%
5 Year Change20.56%
Change since IPO83.26%

Recent News & Updates

Narrative Update Apr 25

SONATSOFTW: Upcoming Board Decisions Will Support Perceived Undervalued Upside

Analysts have kept their price target for Sonata Software broadly steady at around ₹340, with only slight adjustments reflecting a marginally higher discount rate, an unchanged fair value estimate, and minor tweaks to revenue growth, profit margin, and forward P/E assumptions. What's in the News A board meeting is scheduled for Feb 6, 2026, at 14:30 Indian Standard Time to review and approve Sonata Software's unaudited standalone and consolidated financial results for the quarter and nine months ended Dec 31, 2025 (Key Developments).
Narrative Update Apr 10

SONATSOFTW: Upcoming Dividend And Leadership Decisions Will Support Future Undervalued Upside

Analysts have trimmed their price target for Sonata Software by about ₹5 to reflect updated views on its fair value, discount rate, revenue growth, profit margin and forward P/E assumptions. What's in the News A board meeting is scheduled for Feb 6, 2026 to review and approve unaudited standalone and consolidated financial results for the quarter and nine months ended Dec 31, 2025, and to consider declaring a third interim dividend for FY 2025-26 (company filing).

Recent updates

Narrative Update Apr 25

SONATSOFTW: Upcoming Board Decisions Will Support Perceived Undervalued Upside

Analysts have kept their price target for Sonata Software broadly steady at around ₹340, with only slight adjustments reflecting a marginally higher discount rate, an unchanged fair value estimate, and minor tweaks to revenue growth, profit margin, and forward P/E assumptions. What's in the News A board meeting is scheduled for Feb 6, 2026, at 14:30 Indian Standard Time to review and approve Sonata Software's unaudited standalone and consolidated financial results for the quarter and nine months ended Dec 31, 2025 (Key Developments).
Narrative Update Apr 10

SONATSOFTW: Upcoming Dividend And Leadership Decisions Will Support Future Undervalued Upside

Analysts have trimmed their price target for Sonata Software by about ₹5 to reflect updated views on its fair value, discount rate, revenue growth, profit margin and forward P/E assumptions. What's in the News A board meeting is scheduled for Feb 6, 2026 to review and approve unaudited standalone and consolidated financial results for the quarter and nine months ended Dec 31, 2025, and to consider declaring a third interim dividend for FY 2025-26 (company filing).
New Narrative Apr 07

AI And Cloud Modernization Will Support Steady Margins Without Transforming Prospects

Catalysts About Sonata Software Sonata Software provides modernization engineering and technology services, with a focus on AI, cloud, data and platform centric solutions across selected verticals and geographies. What are the underlying business or industry changes driving this perspective?
Narrative Update Mar 27

SONATSOFTW: Upcoming Dividend Decision Will Support Future Undervalued Upside

Analysts have trimmed their price target on Sonata Software from ₹374.14 to ₹344.86 as they reset assumptions around fair value and future P/E, while keeping discount rate, revenue growth, and profit margin expectations broadly similar. What's in the News A board meeting is scheduled for Feb 06, 2026 at 14:30 Indian Standard Time to consider and approve unaudited standalone and consolidated financial results for the quarter and nine months ended Dec 31, 2025.
New Narrative Mar 14

AI And Cloud Modernization Will Reshape Long Term Earnings Quality

Catalysts About Sonata Software Sonata Software is an IT services firm focused on modernization engineering, with an emphasis on data, AI, cloud and Microsoft centric platforms for global and domestic clients. What are the underlying business or industry changes driving this perspective?
Narrative Update Mar 11

SONATSOFTW: Dividend And Leadership Decisions Will Support Future Undervalued Upside

Analysts have edged their fair value estimate for Sonata Software slightly lower from ₹378.43 to ₹374.14, reflecting marginal tweaks to assumptions on discount rate, revenue growth, profit margin and future P/E multiples. What's in the News A board meeting is scheduled for Feb 06, 2026 at 14:30 Indian Standard Time to review and approve unaudited standalone and consolidated financial results for the quarter and nine months ended Dec 31, 2025.
Narrative Update Feb 23

SONATSOFTW: Dividend Decision And Leadership Reappointment Will Support Undervalued Upside

Analysts have trimmed their price target on Sonata Software to ₹378 from ₹421, citing updated assumptions that include a slightly higher discount rate, a modestly different revenue growth outlook, a small adjustment to profit margin expectations, and a lower future P/E multiple. What's in the News Board meeting scheduled on Feb 06, 2026 at 14:30 Indian Standard Time to review and approve unaudited standalone and consolidated financial results for the quarter and nine months ended Dec 31, 2025 (company filing).
Narrative Update Feb 06

SONATSOFTW: Upcoming Dividend Decision Will Support Rerated Upside Potential

Analysts have nudged their price target for Sonata Software to ₹420.57 per share, citing a slightly lower assumed discount rate and a marginally adjusted forward P/E as the key drivers of the revised view. What's in the News Board meeting scheduled for February 6, 2026, to consider and approve the unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025 (company filing).
Narrative Update Jan 22

SONATSOFTW: Upcoming Dividend Decision Will Support Future Upside

Analysts have modestly adjusted their price target for Sonata Software to ₹420.57 from ₹422, reflecting updated views on fair value, discount rate, revenue growth, profit margin, and forward P/E assumptions. What's in the News Board meeting scheduled for November 13, 2025, to review and approve unaudited standalone and consolidated financial results for the second quarter and half year ended September 30, 2025 (company filing).
Narrative Update Jan 07

SONATSOFTW: Global Alliance And Upcoming Dividend Decision Will Support Future Upside

Analysts have adjusted their price target on Sonata Software slightly higher to ₹422.00 from about ₹420.57, reflecting updated assumptions around fair value, discount rate, revenue growth, profit margin and future P/E multiples. What's in the News A board meeting is scheduled on November 13, 2025, to review and approve unaudited standalone and consolidated financial results for the second quarter and half year ended September 30, 2025 (company filing).
Analysis Article Dec 29

Sonata Software (NSE:SONATSOFTW) Might Be Having Difficulty Using Its Capital Effectively

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Ideally, a...
Narrative Update Dec 15

SONATSOFTW: Global Alliance Will Expand Reach And Drive Profit Margins Higher

Analysts have nudged their price target for Sonata Software higher to approximately ₹421 from about ₹401, citing slightly stronger expectations for long term revenue growth, profit margins, and a modestly higher future earnings multiple. What's in the News Sonata Software has scheduled a board meeting on November 13, 2025 to review and approve its unaudited standalone and consolidated financial results for the second quarter and half year ended September 30, 2025 (company filing) The board will also consider declaring a second interim dividend for the 2025 to 26 financial year at the same November 13, 2025 meeting (company filing) Sonata Software and adesso SE have entered a strategic partnership to accelerate digital transformation for enterprise clients, combining AI driven software and systems engineering capabilities with a global delivery network (company announcement) The alliance aims to offer AI driven business optimisation and data analytics, scalable and agile delivery frameworks, and robust governance and compliance solutions across Europe, North America, the Middle East, and India (company announcement) Valuation Changes The Fair Value Estimate has risen slightly to about ₹421 from roughly ₹401 per share, reflecting modestly improved fundamentals.
Narrative Update Nov 29

SONATSOFTW Global Alliance Will Expand Reach And Drive Profit Margins Higher

Analysts have slightly lowered their price target for Sonata Software from ₹417.57 to ₹401.43, citing modest adjustments in growth expectations and profitability assumptions. What's in the News A board meeting is scheduled for November 13, 2025, to review and approve the unaudited financial results for the second quarter and half year ended September 30, 2025.
Analysis Article Nov 18

Revenue Beat: Sonata Software Limited Exceeded Revenue Forecasts By 30% And Analysts Are Updating Their Estimates

Sonata Software Limited ( NSE:SONATSOFTW ) just released its quarterly report and things are looking bullish...
Narrative Update Nov 15

SONATSOFTW: New Global Partnership Will Drive Profit Margins Higher This Year

Analysts have slightly reduced their price target for Sonata Software to ₹417.57. They cite marginal adjustments in expected revenue growth and discount rate, while noting improved profit margins and future price-to-earnings estimates.
Narrative Update Oct 31

SONATSOFTW: Digital Alliance And AI-Driven Services Will Expand Global Market Reach

Analysts have maintained their price target for Sonata Software at ₹417.57, citing that updated assumptions for discount rate, growth, and profitability leave their overall valuation unchanged. What's in the News Sonata Software and adesso SE have announced a strategic partnership focused on accelerating digital transformation initiatives for enterprise clients (Key Development).
Narrative Update Oct 17

Digital Transformation And AI Services Will Unlock Future Markets

Analysts have slightly lowered their price target for Sonata Software from ₹423.57 to ₹417.57. This change reflects minor adjustments in projected growth and profitability metrics.
Narrative Update Oct 03

Digital Transformation And AI Services Will Unlock Future Markets

Narrative Update on Sonata Software: Analyst Price Target Revision Analysts have revised their price target for Sonata Software downward by approximately ₹13. They now cite tempered growth and margin expectations as the primary reasons for this adjustment.
Analysis Article Sep 14

Sonata Software (NSE:SONATSOFTW) Is Reinvesting At Lower Rates Of Return

If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...
Analysis Article Aug 30

Not Many Are Piling Into Sonata Software Limited (NSE:SONATSOFTW) Just Yet

When close to half the companies in India have price-to-earnings ratios (or "P/E's") above 28x, you may consider Sonata...
Analysis Article Jul 12

Solid Earnings Reflect Sonata Software's (NSE:SONATSOFTW) Strength As A Business

The subdued stock price reaction suggests that Sonata Software Limited's ( NSE:SONATSOFTW ) strong earnings didn't...
Analysis Article Jul 07

Sonata Software (NSE:SONATSOFTW) Is Due To Pay A Dividend Of ₹4.40

The board of Sonata Software Limited ( NSE:SONATSOFTW ) has announced that it will pay a dividend of ₹4.40 per share on...
Analysis Article Jun 12

Sonata Software (NSE:SONATSOFTW) Seems To Use Debt Quite Sensibly

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...
Analysis Article May 11

Sonata Software Limited (NSE:SONATSOFTW) Just Released Its Annual Results And Analysts Are Updating Their Estimates

There's been a notable change in appetite for Sonata Software Limited ( NSE:SONATSOFTW ) shares in the week since its...
Analysis Article May 05

The Market Lifts Sonata Software Limited (NSE:SONATSOFTW) Shares 31% But It Can Do More

Those holding Sonata Software Limited ( NSE:SONATSOFTW ) shares would be relieved that the share price has rebounded...
Analysis Article Apr 06

A Look Into Sonata Software's (NSE:SONATSOFTW) Impressive Returns On Capital

There are a few key trends to look for if we want to identify the next multi-bagger. Ideally, a business will show two...
Analysis Article Mar 10

Does This Valuation Of Sonata Software Limited (NSE:SONATSOFTW) Imply Investors Are Overpaying?

Key Insights Using the 2 Stage Free Cash Flow to Equity, Sonata Software fair value estimate is ₹298 Sonata Software is...
Analysis Article Feb 12

Sonata Software Limited (NSE:SONATSOFTW) Stock's 27% Dive Might Signal An Opportunity But It Requires Some Scrutiny

Sonata Software Limited ( NSE:SONATSOFTW ) shareholders that were waiting for something to happen have been dealt a...
User avatar
New Narrative Feb 07

Investments In HarmonyAI Platform And Microsoft Partnerships Will Drive Future Success

Focus on large deals and strategic partnerships is poised to drive robust future revenue and earnings growth.
Analysis Article Jan 01

At ₹599, Is Sonata Software Limited (NSE:SONATSOFTW) Worth Looking At Closely?

Sonata Software Limited ( NSE:SONATSOFTW ), might not be a large cap stock, but it saw a decent share price growth of...
Analysis Article Dec 19

Sonata Software (NSE:SONATSOFTW) Seems To Use Debt Quite Sensibly

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...
Analysis Article Dec 03

Why You Should Care About Sonata Software's (NSE:SONATSOFTW) Strong Returns On Capital

What trends should we look for it we want to identify stocks that can multiply in value over the long term? Ideally, a...
Analysis Article Nov 20

Some Investors May Be Willing To Look Past Sonata Software's (NSE:SONATSOFTW) Soft Earnings

Soft earnings didn't appear to concern Sonata Software Limited's ( NSE:SONATSOFTW ) shareholders over the last week. We...
Analysis Article Nov 09

Sonata Software Limited Just Beat Revenue By 30%: Here's What Analysts Think Will Happen Next

Last week saw the newest second-quarter earnings release from Sonata Software Limited ( NSE:SONATSOFTW ), an important...
Analysis Article Aug 04

Revenue Beat: Sonata Software Limited Exceeded Revenue Forecasts By 56% And Analysts Are Updating Their Estimates

It's been a mediocre week for Sonata Software Limited ( NSE:SONATSOFTW ) shareholders, with the stock dropping 11% to...
Analysis Article Jul 05

Sonata Software Limited's (NSE:SONATSOFTW) 29% Jump Shows Its Popularity With Investors

Sonata Software Limited ( NSE:SONATSOFTW ) shareholders are no doubt pleased to see that the share price has bounced...
Analysis Article May 21

Some Investors May Be Willing To Look Past Sonata Software's (NSE:SONATSOFTW) Soft Earnings

Sonata Software Limited's ( NSE:SONATSOFTW ) earnings announcement last week didn't impress shareholders. Despite the...
Analysis Article May 10

Earnings Miss: Sonata Software Limited Missed EPS By 27% And Analysts Are Revising Their Forecasts

One of the biggest stories of last week was how Sonata Software Limited ( NSE:SONATSOFTW ) shares plunged 24% in the...
Analysis Article May 09

What You Can Learn From Sonata Software Limited's (NSE:SONATSOFTW) P/EAfter Its 29% Share Price Crash

Sonata Software Limited ( NSE:SONATSOFTW ) shareholders that were waiting for something to happen have been dealt a...
Analysis Article Apr 09

Sonata Software (NSE:SONATSOFTW) Is Reinvesting At Lower Rates Of Return

To find a multi-bagger stock, what are the underlying trends we should look for in a business? Typically, we'll want to...
Analysis Article Mar 22

Is It Too Late To Consider Buying Sonata Software Limited (NSE:SONATSOFTW)?

Sonata Software Limited ( NSE:SONATSOFTW ), is not the largest company out there, but it saw significant share price...
Analysis Article Feb 20

We Think Sonata Software (NSE:SONATSOFTW) Can Manage Its Debt With Ease

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

SONATSOFTWIN ITIN Market
7D-0.9%-3.4%-2.3%
1Y-32.0%-27.7%0.6%

Return vs Industry: SONATSOFTW underperformed the Indian IT industry which returned -27.7% over the past year.

Return vs Market: SONATSOFTW underperformed the Indian Market which returned 0.6% over the past year.

Price Volatility

Is SONATSOFTW's price volatile compared to industry and market?
SONATSOFTW volatility
SONATSOFTW Average Weekly Movement7.4%
IT Industry Average Movement8.0%
Market Average Movement7.1%
10% most volatile stocks in IN Market10.1%
10% least volatile stocks in IN Market4.7%

Stable Share Price: SONATSOFTW has not had significant price volatility in the past 3 months compared to the Indian market.

Volatility Over Time: SONATSOFTW's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19866,414Raj Roywww.sonata-software.com

Sonata Software Limited, together with its subsidiaries, provides information technology services and solutions in the United States, Europe, the Middle East, the Asia Pacific, the United Kingdom, Australia, New Zealand, and Ireland. The company offers GCC solution; digital contact center; product engineering; SAP modernization; application management; optima; cloud modernization, such as azure, AWS, and GCP; data modernization consist of Microsoft fabric, data privacy, and snowflake; artificial intelligence, including generative AI and agentic AI. It also provides dynamic modernization comprise migration, D365 customer experience, continuous modernization, AI-Led D365 transformation, and Microsoft power platform; customer experience includes sonata CX; COTS comprising SAP CX; hyper automation, such as RPA migration factory, digital assurance, robotic, finance, SCM, and HR process automation.

Sonata Software Limited Fundamentals Summary

How do Sonata Software's earnings and revenue compare to its market cap?
SONATSOFTW fundamental statistics
Market cap₹75.74b
Earnings (TTM)₹4.64b
Revenue (TTM)₹108.06b
16.0x
P/E Ratio
0.7x
P/S Ratio

Is SONATSOFTW overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
SONATSOFTW income statement (TTM)
Revenue₹108.06b
Cost of Revenue₹93.61b
Gross Profit₹14.45b
Other Expenses₹9.81b
Earnings₹4.64b

Last Reported Earnings

Mar 31, 2026

Next Earnings Date

n/a

Earnings per share (EPS)16.75
Gross Margin13.37%
Net Profit Margin4.30%
Debt/Equity Ratio29.8%

How did SONATSOFTW perform over the long term?

See historical performance and comparison

Dividends

1.9%
Current Dividend Yield
29%
Payout Ratio

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/05/13 11:50
End of Day Share Price 2026/05/13 00:00
Earnings2026/03/31
Annual Earnings2026/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Sonata Software Limited is covered by 12 analysts. 7 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Sushil Sharma360 ONE Capital Market Private Limited
Sushovon NayakAnand Rathi Shares and Stock Brokers Limited
Soumitra ChatterjeeAvendus Spark