SoftTech Engineers Ltd. (SOFTTECH) AI Stock Analysis

• Market Cap: ₹5.19B
• Dividend Yield: N/A
• Average Volume (3M): 1.70K
• Price to Earnings (P/E): 366.0
• Beta (1Y): 1.00
• Revenue Growth: 20.91%
• EPS Growth: -68.55%
• Country: IN
• Employees: 352
• Sector: Technology
• Sector Strength: 97
• Industry: Software - Application
• EPS (TTM): 0.03
• Shares Outstanding: 13,807,138
• 10 Day Avg. Volume: 1,531
• 30 Day Avg. Volume: 1,701
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹423.00
• Price Target Upside: 12.62% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 63 Neutral
• Price Target: ₹396.00 ▲(5.43% Upside)

SoftTech Engineers Ltd. has a solid financial foundation with strong cash flow and revenue growth, which is the most significant factor supporting its score. However, the high P/E ratio indicates potential overvaluation, and technical indicators suggest neutral to weak momentum. These factors collectively result in a moderate overall stock score.

SoftTech Engineers Ltd. Business Overview & Revenue Model

Company Description

SoftTech Engineers Ltd. (SOFTTECH) is a technology company specializing in providing software solutions tailored for the architecture, engineering, and construction (AEC) sectors. The company develops innovative products that streamline and enhance project management, design, and delivery processes, thereby enabling its clients to achieve greater efficiency and accuracy in their operations.

How the Company Makes Money

SoftTech Engineers Ltd. generates revenue primarily through the sale of its proprietary software products and services aimed at the AEC industry. The company offers software licenses, subscription-based services, and cloud-based solutions that cater to different business needs and project scales. Key revenue streams include software licensing fees, subscription fees for software-as-a-service (SaaS) offerings, and implementation and support services. Additionally, SoftTech Engineers Ltd. benefits from strategic partnerships and collaborations with industry leaders and clients, which help to expand its market reach and drive sales. The company's focused approach on innovation and customer-centric solutions is a significant factor contributing to its financial performance.

SoftTech Engineers Ltd. Financial Statement Overview

Summary

SoftTech Engineers Ltd. demonstrates strong financial performance with steady revenue growth and effective cash flow management. Despite some challenges in profitability margins and return on equity, the company's financial health remains solid, supported by a strong balance sheet and robust cash flows.

Income Statement

The company has shown consistent revenue growth with a significant increase from 2023 to 2025. However, gross profit margin has decreased in the latest year, indicating rising costs. Net profit margin has also decreased, despite growth in revenue, due to lower net income in 2025.

Balance Sheet

The balance sheet is strong with a high equity ratio, indicating financial stability. The debt-to-equity ratio has decreased over the years, highlighting effective debt management. However, a lower return on equity in recent years suggests less efficient use of equity.

Cash Flow

Cash flow metrics are robust, with substantial free cash flow growth in the latest year. Operating cash flow is strong relative to net income, indicating good cash generation capability. The free cash flow to net income ratio is favorable, suggesting efficient cash management.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	952.50M	787.76M	654.05M	574.57M	415.74M
Gross Profit	346.15M	466.58M	406.86M	389.20M	197.46M
EBITDA	245.11M	237.93M	209.48M	172.75M	122.00M
Net Income	13.14M	35.78M	39.98M	47.87M	27.50M
Balance Sheet
Total Assets	2.48B	1.95B	1.63B	1.34B	1.20B
Cash, Cash Equivalents and Short-Term Investments	410.56M	112.11M	95.47M	63.68M	55.32M
Total Debt	419.17M	385.04M	480.91M	354.10M	365.90M
Total Liabilities	801.28M	699.43M	599.09M	491.05M	508.41M
Stockholders Equity	1.69B	1.26B	1.04B	847.04M	697.55M
Cash Flow
Free Cash Flow	233.90M	-34.80M	-91.89M	-46.21M	-57.70M
Operating Cash Flow	242.78M	187.00M	74.08M	115.96M	54.65M
Investing Cash Flow	-645.84M	-221.11M	-247.16M	-163.87M	-65.12M
Financing Cash Flow	415.27M	40.11M	175.55M	51.62M	11.75M

SoftTech Engineers Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 375.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SOFTTECH, the sentiment is Neutral. The current price of 375.6 is below the 20-day moving average (MA) of 376.62, above the 50-day MA of 370.69, and below the 200-day MA of 392.14, indicating a neutral trend. The MACD of -0.26 indicates Positive momentum. The RSI at 49.68 is Neutral, neither overbought nor oversold. The STOCH value of 39.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:SOFTTECH.

SoftTech Engineers Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CYBERTECH	72 Outperform	₹5.00B	14.00		1.38%	5.31%	39.51%
MOLDTECH	69 Neutral	₹3.98B	51.56		2.46%	-14.39%	-71.56%
INSPIRISYS	69 Neutral	₹4.16B	11.76		―	-27.51%	278.69%
SOFTTECH	63 Neutral	₹5.19B	366.01		―	20.91%	-68.55%
Sector *	61 Neutral	$36.32B	7.12	-7.26%	1.97%	7.79%	-9.36%