Softsol India Ltd - Stock Valuation and Financial Performance

BSE: 532344 | NSE: | IT - Software | Small Cap

Softsol India Share Price

314 2.50 0.80%
as on 26-Jul'24 16:01

DeciZen - make an informed investing decision on Softsol India

Overall Rating
M-Cap below 500cr. High Risk from low Liquidity Bole Toh

1. Quality

2. Valuation

Somewhat overvalued

3. Price Trend

Softsol India stock performance -

mw4me loader
P/E Ratio (SA):
44.54
Market Cap:
463.6 Cr.
52-wk low:
182.7
52-wk high:
367.9

Is Softsol India Ltd an attractive stock to invest in?

1. Is Softsol India Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Softsol India Ltd is a average quality company.

2. Is Softsol India Ltd undervalued or overvalued?

The key valuation ratios of Softsol India Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.

3. Is Softsol India Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Softsol India Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Softsol India:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Softsol India Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good

Value Creation

Value Creation Index Colour Code Guide

Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24TTM
ROCE % 0.3%0%2.5%2%2.5%3.2%3.9%2.6%2.9%7.7%-
Value Creation
Index
-1.0-1.0-0.8-0.9-0.8-0.8-0.7-0.8-0.8-0.5-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 53.72.514.518.422.418.924.231.524.625
Sales YoY Gr.--26.1%-32.1%479.2%26.9%22%-15.7%28.1%30.2%-22.1%-
Adj EPS 0.3-0.12.11.41.82.53.32.32.77.17.1
YoY Gr.--120.6%NA-36%35.6%36.6%32.4%-29.3%16.2%159.6%-
BVPS (₹) 108.7107.870.47478.683.189.796.189.996.296.2
Adj Net
Profit
0.6-0.13.62.33.14.25.63.9410.410
Cash Flow from Ops. 1.74.55.24.34.54.6-69.2-6.628.14-
Debt/CF from Ops. 0000000000-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 19.4%6%9.1%-22.1%
Adj EPS 40.1%31%28.7%159.6%
BVPS-1.4%4.1%2.4%7%
Share Price 21% 66.9% 26.9% 13.7%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24TTM
Return on
Equity %
0.3-0.12.41.92.43.13.82.52.77.67.3
Op. Profit
Mgn %
-81-164.1-183.73934.233.536.123.920.32828
Net Profit
Mgn %
11.4-3.3142.115.716.818.829.516.312.842.442.4
Debt to
Equity
00000000000
Working Cap
Days
675776960144111938271,3371,0391,210242
Cash Conv.
Cycle
28433528860796776626288227

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 7.30%

Net Profit is growing at healthy rate in last 3 years 28.72%

Sales growth has been subdued in last 3 years 9.12%

Sales growth is not so good in last 4 quarters at -21.73%

Latest Financials - Softsol India Ltd.

Standalone Consolidated
TTM EPS (₹) 7.1 7.4
TTM Sales (₹ Cr.) 24.6 74.7
BVPS (₹.) 96.2 118.6
Reserves (₹ Cr.) 127 160
P/BV 3.26 2.65
PE 44.54 42.57
From the Market
52 Week Low / High (₹) 182.65 / 367.85
All Time Low / High (₹) 7.13 / 367.85
Market Cap (₹ Cr.) 464
Equity (₹ Cr.) 14.8
Face Value (₹) 10
Industry PE 36.8

Management X-Ray of Softsol India:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Softsol India

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24
Sales54314182219243225
Operating Expenses 91079121512182518
Manufacturing Costs1211221133
Material Costs0000000000
Employee Cost 66468119151913
Other Costs 2222222232
Operating Profit -4-6-56687667
Operating Profit Margin (%) -81.0%-164.0%-185.0%39.0%34.2%33.5%36.1%23.9%20.3%27.9%
Other Income 1011165558379
Interest 0000000000
Depreciation 5333222222
Exceptional Items 0000000000
Profit Before Tax 21889101371213
Tax 0012232263
Profit After Tax 118568114610
PAT Margin (%) 24.3%25.7%302.8%37.8%34.5%34.5%57.4%17.9%19.2%42.4%
Adjusted EPS (₹)0.70.64.53.33.84.66.42.64.17.1
Dividend Payout Ratio (%)0%213%0%0%0%0%0%0%0%0%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24

Equity and Liabilities

Shareholders Fund 183182119125133140151162133142
Share Capital 17171717171717171515
Reserves 166165102108115123134145118127
Minority Interest0000000000
Debt0000000000
Long Term Debt0000000000
Short Term Debt0000000000
Trade Payables0000000010
Others Liabilities 4445666132217
Total Liabilities 188187123130139146157175156159

Fixed Assets

Gross Block64643334343520202022
Accumulated Depreciation303335810891011
Net Fixed Assets34313028262512111011
CWIP 0000010400
Investments 144147869410611450463747
Inventories0000000000
Trade Receivables5224545476
Cash Equivalents 2212111261
Others Assets454212901079696
Total Assets 188187123130139146157175156159

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24
Cash Flow From Operating Activity 245455-69-7284
PBT 21889101371213
Adjustment 32-3-2-2-3-6-1-5-6
Changes in Working Capital -220-011-74-1124-0
Tax Paid 0-10-1-3-4-2-2-3-3
Cash Flow From Investing Activity -25-5-6-4-6-469811-6
Capex 00-2-10-1-3-4-3-2
Net Investments -28-3-4-3-5-3711111-9
Others 3-100000145
Cash Flow From Financing Activity 00000000-35-3
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing 0000000000
Interest Paid 0000000000
Dividend Paid 0000000000
Others 00000000-35-3
Net Cash Flow -24001-11-114-5
PARTICULARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24
Ratios
ROE (%)0.660.525.054.514.935.677.462.774.117.57
ROCE (%)0.910.745.676.516.957.888.854.248.269.92
Asset Turnover Ratio0.030.020.020.110.140.160.120.150.190.16
PAT to CFO Conversion(x)240.630.80.830.63-6.27-1.754.670.4
Working Capital Days
Receivable Days33134430069847285696896
Inventory Days0000000000
Payable Days0000000000

Softsol India Ltd Stock News

Softsol India Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Softsol India on 26-Jul-2024 16:01 is ₹314.0.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 26-Jul-2024 16:01 the market cap of Softsol India stood at ₹463.6.
The latest P/E ratio of Softsol India as of 26-Jul-2024 16:01 is 44.54.
The latest P/B ratio of Softsol India as of 26-Jul-2024 16:01 is 3.26.
The 52-week high of Softsol India is ₹367.9 and the 52-week low is ₹182.7.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Softsol India is ₹24.56 ( Cr.) .

About Softsol India Ltd

SoftSol was founded in 1993 and since inception, it has always been profitable, debt-free, and financially stable company.

SoftSol India (and its U.S. subsidiary SoftSol Resources, Inc.) and SoftSol Technologies, Inc. (and its German subsidiary Napier, Gmbh) are affiliated by virtue of common ownership and management. The term SoftSol represents the combined capabilities of the above-referenced companies.   

SoftSol specializes in Enterprise Technology Modernization solutions. It develops custom software in both .NET and J2EE environments, modernizes legacy systems, integrates ERP systems and helps its clients in technologies such as Service Oriented Architecture (SOA) to implement real world solutions for both industry and government clients.

SoftSol's Enterprise Technology Modernization solutions rely on a unique combination of highly efficient automated tools, proven methodologies, best practices and scalable professional resources. SoftSol teams further enhance the value proposition by complying with customer's unique requirements such as fixed bid, off-shore, U.S. security clearance etc.

SoftSol has more than 600 highly qualified IT professionals and 150,000 square feet of state-of-the-art technology development centers located both domestically and abroad. SoftSol delivers world-class services through a combination of geographic presence and specialized technology practices.  

Services offered by the company:

It provides software solutions and services with a total focus on assisting companies to streamline business processes and improve ROI.  It has managed several multi-million dollar projects for giants in both the private and public sector, including the US Department of Defense, HBO, Superior Court of California, and Arcelor-Mittal. 

  • Enterprise Technology Modernization
  • Application Development and Support
  • Data Quality and Business Intelligence
  • Service Oriented Architecture
  • Consulting

Clients:

  • HBO (Home Box Office)
  • ArcelorMittal
  • CalPERS
  • Infoscore Software Service GmbH
  • Superior Court of California
  • SSA Global
  • Telekurs Financials
  • Invision

Achievements/ recognition:

  • SoftSol Awarded $11 Million Contract with US Department of Defense
  • SoftSol Joins Microsoft's Mainframe Migration Alliance
  • German Financial Software Products and Services Company uses SoftSol.
  • CalPERS Fund Deploys Java Enterprise Application Built by SoftSol Resources 
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