SONATSOFTW - IntraDay Trade Analysis with Live Signals
Back to ListIntraDay Trade Rating: 3.2
| Stock Code | SONATSOFTW | Market Cap | 8,856 Cr. | Current Price | 316 ₹ | High / Low | 569 ₹ |
| Stock P/E | 45.8 | Book Value | 28.6 ₹ | Dividend Yield | 1.39 % | ROCE | 30.6 % |
| ROE | 28.4 % | Face Value | 1.00 ₹ | DMA 50 | 341 ₹ | DMA 200 | 385 ₹ |
| Chg in FII Hold | -0.06 % | Chg in DII Hold | -0.03 % | PAT Qtr | 147 Cr. | PAT Prev Qtr | 22.7 Cr. |
| RSI | 41.1 | MACD | -9.96 | Volume | 9,27,482 | Avg Vol 1Wk | 5,93,484 |
| Low price | 286 ₹ | High price | 569 ₹ | PEG Ratio | -14.8 | Debt to equity | 0.16 |
| 52w Index | 10.4 % | Qtr Profit Var | -10.8 % | EPS | 6.90 ₹ | Industry PE | 24.8 |
📊 Analysis: SONATSOFTW is trading at ₹316, below both its 50 DMA (₹341) and 200 DMA (₹385), reflecting weak technical positioning. RSI at 41.1 indicates near-oversold conditions, while MACD (-9.96) confirms bearish sentiment. Current volume (9.27 lakh) is above the 1-week average (5.93 lakh), showing strong intraday participation despite weak momentum. Fundamentals are mixed: strong ROCE (30.6%) and ROE (28.4%) highlight efficiency, but high P/E of 45.8 compared to industry PE of 24.8 and negative PEG ratio (-14.8) raise valuation concerns. PAT improved sequentially (₹147 Cr. vs ₹22.7 Cr.), but quarterly profit variation remains negative (-10.8%).
💡 Optimal Buy Price: ₹312–316 near support levels.
🎯 Profit-Taking Exit Levels: ₹325–332 (short-term resistance zone).
🛑 Stop-Loss Protection: ₹305 (below immediate support).
⏱️ Intraday Exit Strategy: If already holding, consider exiting near ₹325–332 if RSI recovers above 45 or if volume momentum fades. Exit immediately if price breaks below ₹305 with strong selling pressure.
✅ Positive
- Strong ROCE (30.6%) and ROE (28.4%) reflect operational efficiency.
- Dividend yield of 1.39% provides investor returns.
- Sequential PAT improvement from ₹22.7 Cr. to ₹147 Cr.
- Volume above average, supporting intraday opportunities.
⚠️ Limitation
- Stock trading below both 50 DMA and 200 DMA.
- High P/E of 45.8 compared to industry PE of 24.8.
- PEG ratio of -14.8 suggests valuation concerns relative to growth.
📉 Company Negative News
- Quarterly profit variation at -10.8% shows weakness.
- FII holdings decreased by 0.06% and DII holdings decreased by 0.03%.
📈 Company Positive News
- Sequential PAT growth highlights earnings recovery.
- 52-week low at ₹286 provides a strong support base.
🏭 Industry
- Industry PE at 24.8, much lower than SONATSOFTW’s PE, indicating overvaluation.
- IT services sector remains competitive but supported by digital transformation demand.
🔎 Conclusion
SONATSOFTW shows weak technicals but strong efficiency metrics. Intraday traders can cautiously buy near ₹312–316 with a strict stop-loss at ₹305 and aim for exits around ₹325–332. Risk management is essential given stretched valuations and declining institutional interest, though sequential PAT improvement and strong ROCE/ROE provide some support for short-term trading opportunities.