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Sonata Software Limited (IN:SONATSOFTW)
:SONATSOFTW
India Market
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Sonata Software Limited (SONATSOFTW) Price & Analysis

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SONATSOFTW Stock Chart & Stats

₹288.15
₹5.25(1.82%)
At close: 4:00 PM EDT
₹288.15
₹5.25(1.82%)

Bulls Say, Bears Say

Bulls Say
Recurring / Managed ServicesA material portion of revenue comes from managed services and outsourcing that produce recurring contract fees. This business model yields higher revenue visibility, client stickiness and predictable revenue streams over multi-year contracts, supporting durable topline resilience and long-term client relationships.
Sustained Revenue ScalingThe company shows multi-year revenue scale and a notable re-acceleration in 2026, indicating expanding market penetration and demand for its digital and cloud services. Sustained top-line growth improves bargaining power, supports reinvestment for capabilities, and underpins long-term earnings potential despite near-term margin pressure.
Balance Sheet; Equity GrowthA generally sound balance sheet with manageable leverage and steady equity growth gives the company financial flexibility to invest in cloud, product and talent. Strong return on equity supports capital allocation to strategic initiatives and helps absorb cyclical shocks over a multi-month horizon.
Bears Say
Margin CompressionMeaningful margin erosion across gross, operating and EBITDA lines since 2024 signals structural cost pressure or adverse mix that reduces long-run profitability per dollar of revenue. Persistent compression erodes free cash generation, limits reinvestment capacity and heightens sensitivity to pricing cycles.
Cash-Flow VolatilitySharply negative free cash flow growth in 2026 versus 2025 points to inconsistent conversion of accounting profits into cash, likely from working-capital swings or project timing. This volatility undermines funding predictability for dividends, buybacks or M&A and raises refinancing risk if adverse conditions persist.
Rising And Volatile DebtAn increase and volatility in debt levels over recent years raises financial leverage risk, reducing flexibility to absorb margin shocks or invest in growth. If margin pressure and cash conversion issues continue, higher indebtedness constrains strategic options and elevates refinancing and interest-cost sensitivity.

Sonata Software Limited News

SONATSOFTW FAQ

What was Sonata Software Limited’s price range in the past 12 months?
Sonata Software Limited lowest stock price was ₹208.25 and its highest was ₹421.40 in the past 12 months.
    What is Sonata Software Limited’s market cap?
    Sonata Software Limited’s market cap is ₹83.59B.
      When is Sonata Software Limited’s upcoming earnings report date?
      Sonata Software Limited’s upcoming earnings report date is Aug 06, 2026 which is in 6 days.
        How were Sonata Software Limited’s earnings last quarter?
        Sonata Software Limited released its earnings results on May 07, 2026. The company reported ₹4.85 earnings per share for the quarter, beating the consensus estimate of ₹4.64 by ₹0.21.
          Is Sonata Software Limited overvalued?
          According to Wall Street analysts Sonata Software Limited’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Sonata Software Limited pay dividends?
            Sonata Software Limited pays a Semiannually dividend of ₹4.15 which represents an annual dividend yield of 2.1%. See more information on Sonata Software Limited dividends here
              What is Sonata Software Limited’s EPS estimate?
              Sonata Software Limited’s EPS estimate is 4.97.
                How many shares outstanding does Sonata Software Limited have?
                Sonata Software Limited has 280,424,800 shares outstanding.
                  What happened to Sonata Software Limited’s price movement after its last earnings report?
                  Sonata Software Limited reported an EPS of ₹4.85 in its last earnings report, beating expectations of ₹4.64. Following the earnings report the stock price went up 0.52%.
                    Which hedge fund is a major shareholder of Sonata Software Limited?
                    Currently, no hedge funds are holding shares in IN:SONATSOFTW
                    What is the TipRanks Smart Score and how is it calculated?
                    Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                      Company Description

                      Sonata Software Limited

                      Sonata Software Limited, along with its subsidiaries, delivers a broad spectrum of information technology services and specialized solutions across a global footprint, serving clients in India, the United States, Europe, the Middle East, and Australia. Their offerings encompass software development, technical support, product marketing, and strategic consulting. The company provides bespoke software platforms for various industries, such as Brick & Click Retail, Modern Distribution, Rezopia Digital Travel, Kartopia E-commerce, Halosys enterprise development automation, Commodity Trading and Risk Management, and KODO, catering to sectors like retail, manufacturing, distribution, travel, service, and software. Their extensive capabilities cover application management, quality assurance, data analytics, cybersecurity, cloud enablement, cloud migration, and mobile solutions. Additionally, Sonata resells product licenses from leading software companies, including Microsoft, IBM, and Oracle, among others. The firm maintains strategic alliances, most notably with Microsoft. Founded in 1994, Sonata Software Limited is headquartered in Bengaluru, India.

                      Sonata Software Limited (SONATSOFTW) Earnings & Revenues

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