Sonata Fair Value
SO
The fair market value of SONATSOFTW.NS stock is 302.56 INR. Relative to the market price of 652.85 INR Sonata Software is overvalued by 53.7%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Sonata Valuation
Current SONATSOFTW.NS share ticker price is 652.85 INR.
The fair value level of 302.56 INR can be considered as an effective entry point for long-term investors to start investing in SONATSOFTW.NS stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 54% higher its fair value
Current price is 68% higher its minimum value
Current price is 19% higher its maximum value
Market price:
SONATSOFTW.NS stock is greatly overvalued
It means the current price may concern as a High Risk Entry Point
Sonata Software Ltd Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
47.94
2
Median P/E over 5 years
27.27
3
Minimum P/E over 5 years
18.73
4
Earning per share (last 12 months)
11.09 INR
Maximum value
1
x
4
=
531.88 INR
Fair value
2
x
4
=
302.56 INR
Minimum value
3
x
4
=
207.79 INR
Sonata Software Ltd price metrics
42.7
Annual return (geometric mean)
41.0
Risk (standard deviation) of returns
β
2.0
Beta (volatility compared to market)