Tera Software Limited

NSEI:TERASOFT Stock Report

Market Cap: ₹2.5b

Tera Software Valuation

Is TERASOFT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of TERASOFT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate TERASOFT's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate TERASOFT's fair value for valuation analysis.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for TERASOFT?

Key metric: As TERASOFT is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for TERASOFT. This is calculated by dividing TERASOFT's market cap by their current earnings.
What is TERASOFT's PE Ratio?
PE Ratio36.3x
Earnings₹68.26m
Market Cap₹2.48b

Price to Earnings Ratio vs Peers

How does TERASOFT's PE Ratio compare to its peers?

The above table shows the PE ratio for TERASOFT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.9x
FIDEL Fidel Softech
32.3xn/a₹2.4b
ROXHITECH ROX Hi-Tech
11.2xn/a₹2.3b
TREJHARA Trejhara Solutions
24xn/a₹3.5b
SYSTANGO Systango Technologies
16.4xn/a₹3.0b
TERASOFT Tera Software
36.3xn/a₹2.5b

Price-To-Earnings vs Peers: TERASOFT is expensive based on its Price-To-Earnings Ratio (36.3x) compared to the peer average (20.9x).


Price to Earnings Ratio vs Industry

How does TERASOFT's PE Ratio compare vs other companies in the IN IT Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
GTL GTL
1.1xn/aUS$22.05m
517429 Athena Global Technologies
0.6xn/aUS$15.78m
509040 Netlink Solutions (India)
3.2xn/aUS$5.10m
0.05xn/aUS$130.33k
No more companies available in this PE range
TERASOFT 36.3xIndustry Avg. 37.0xNo. of Companies18PE020406080100+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: TERASOFT is good value based on its Price-To-Earnings Ratio (36.3x) compared to the Indian IT industry average (36.3x).


Price to Earnings Ratio vs Fair Ratio

What is TERASOFT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TERASOFT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio36.3x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate TERASOFT's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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