SoftSol India Limited
SoftSol India Limited Fundamental Analysis
SoftSol India Limited (SOFTSOL.BO) shows moderate financial fundamentals with a PE ratio of 23.69, profit margin of 89.68%, and ROE of 10.83%. The company generates $0.1B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 69.8/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze SOFTSOL.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakSOFTSOL.BO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSOFTSOL.BO trades at attractive valuation levels.
Growth Score
ModerateSOFTSOL.BO shows steady but slowing expansion.
Financial Health Score
ExcellentSOFTSOL.BO maintains a strong and stable balance sheet.
Profitability Score
WeakSOFTSOL.BO struggles to sustain strong margins.
Key Financial Metrics
Is SOFTSOL.BO Expensive or Cheap?
P/E Ratio
SOFTSOL.BO trades at 23.69 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, SOFTSOL.BO's PEG of 1.25 indicates fair valuation.
Price to Book
The market values SoftSol India Limited at 2.44 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 21.57 times EBITDA. This signals the market has high growth expectations.
How Well Does SOFTSOL.BO Make Money?
Net Profit Margin
For every $100 in sales, SoftSol India Limited keeps $89.68 as profit after all expenses.
Operating Margin
Core operations generate 49.65 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.83 in profit for every $100 of shareholder equity.
ROA
SoftSol India Limited generates $9.41 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
SoftSol India Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
SoftSol India Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
SOFTSOL.BO converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
23.69
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.25
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.44
vs 25 benchmark
P/S Ratio
Price to sales ratio
21.24
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
24.82
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How SOFTSOL.BO Stacks Against Its Sector Peers
| Metric | SOFTSOL.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 23.69 | 34.49 | Better (Cheaper) |
| ROE | 10.83% | 1124.00% | Weak |
| Net Margin | 89.68% | -133673.00% (disorted) | Strong |
| Debt/Equity | 0.00 | 7.86 | Strong (Low Leverage) |
| Current Ratio | 24.82 | 5.81 | Strong Liquidity |
| ROA | 9.41% | -308769.00% (disorted) | Weak |
SOFTSOL.BO outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews SoftSol India Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Growth, Innovation, High Beta
EPS CAGR
N/A
Industry Style: Growth, Innovation, High Beta
FCF CAGR
N/A
Industry Style: Growth, Innovation, High Beta