Saksoft Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Saksoft Ltd trades at ₹146, building a base and 6 weeks into that stage. That is −10.8% against its own 200-day average. It sits at 31% of a 52-week range of ₹117 to ₹212. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 13 straight weeks.

Today the stock is building a base — week 6 of stage 1. At ₹146 it trades −10.8% versus its 200-day average and sits at 31% of its 52-week range (₹117–₹212).

Against the market, two honest reads. Cumulative: over the last 10.5 years the stock moved +812% while the NIFTY 500 moved +267% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 13 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Saksoft Ltd trades at 14.5× P/E, mid-range by its own standards (52nd percentile). Its long-run median P/E is 14.0×, measured across 10.5 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 14.5× is mid-range by its own standards (52nd percentile), against a long-run median of 14.0× measured over 10.5 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +22.4% against a −29.9% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the +15.3%/yr price move, ~+20.1%/yr came from earnings growth and ~−4.8 pp from the multiple (compressing); over 10y, of the +24.5%/yr price move, ~+20.8%/yr came from earnings growth and ~+3.7 pp from the multiple (expanding). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is unremarkable against its own past, so the story rests on the earnings line underneath it, not the multiple.

What the price assumes This reading works the multiple backwards. It asks one question: what yearly rate of profit growth is a buyer at the market price already paying for? The number is the growth rate that makes eleven years of profit — six years growing, then five fading — add up to that day's market price, once each year is discounted at 11% a year.

Solved at its 13 June 2026 price, Saksoft Ltd was paying for profit growth of about 5.2% a year. Profit itself has compounded 19.7% a year over the past 10 years. Today the market pays 14.5× P/E, the 52nd percentile of its own 11-year range.

What the two numbers say together. The multiple is unremarkable against its own past, and the growth the price is paying for is below what this company has actually delivered.

How to hold this number: it is a reading of one day's price, taken on 13 June 2026, not a running figure — every other number on this page, the multiple included, is read off the live quote as of 11 September 2026. A higher price is paying for more growth and a lower price for less, so it moves whenever the price does, and this page does not restate it between measurements.

Stage: Topping out Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Saksoft Ltd reads as topping out on its fundamental arc. Topping out — revenue, profit and EPS growth have decelerated hard (revenue growth +26.7% at its peak → +8.2% latest) while ROCE still reads 24.0%. The read is built from 12 quarters across 4 curves, on full evidence.

Why it matters: decelerating from a peak is where good stories quietly end — the multiple usually notices late.

4-Factor Sector Score

55.7/100 — rank 22 of 64 in IT - Software · 100% evidence confidence

Saksoft Ltd scores 55.7 out of 100 against the 64 companies it is compared with in IT - Software, ranking 22. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 17.9 + 15.6 + 13.5 + 8.7 = 55.7. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Saksoft Ltd reported ₹249 Cr of revenue in the Jun 26 quarter, +0.0% year on year. Over 10 years it has compounded at 15.2% a year. The last full year, FY26, came in at ₹1,007 Cr. The last four reported quarters add to ₹1,007 Cr.

FY26 revenue came in at ₹1,007 Cr (+14.0% on the year), capping 10 years at 15.2% compound. The latest quarter (Jun 26) printed ₹249 Cr, +0.0% year on year.

Pace check: the last four quarters averaged +8.6% growth against the decade's 15.2% — the current year is running slower than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +8.2% over the last 4 quarters against +13.7%/yr over the last 8 — rolling over; TTM profit +13.0% vs +15.8%/yr — stabilising.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Saksoft Ltd's operating margin is 18.0% in the Jun 26 quarter, +0.0 percentage points against the same quarter a year ago. That is the widest this company has ever printed on a full-year basis. Across 13 fiscal years the operating margin has ranged 10.0% to 19.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 18.0%, +0.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 10.0%–19.0%, and FY26's 19.0% is the top of that band — a record year.

🚨 Why the margin moved: operating margin went −0.1 pp year on year while gross margin went +0.0 pp — the loss came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Worth repeating from the valuation section: cheap against its own history on record margins is not the same thing as cheap — a record margin flatters every ratio built on top of it.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Saksoft Ltd earned ₹29.0 Cr of net profit in the Jun 26 quarter, −9.4% year on year. Full-year FY26 profit was ₹133 Cr. The 10-year compound rate is 19.7%. That is 11.6% of the quarter's revenue. The same quarter a year earlier earned ₹32.0 Cr.

Jun 26 profit was ₹29.0 Cr, −9.4% year on year. On the full year, FY26 printed ₹133 Cr (+22.0%), and the 10-year compound rate is 19.7%.

🚨 Why profit moved: revenue contributed +0.0% and the margin +0.0 pp — the quarter was revenue-led, with the margin roughly flat.

Pace comparison, last four quarters: profit +14.1% vs revenue +8.6%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 118% of Saksoft Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹171 Cr of operating cash against ₹133 Cr of profit. After ₹36.0 Cr of capital spending, ₹135 Cr was left as free cash.

FY26: operating cash of ₹171 Cr against reported profit of ₹133 Cr, leaving free cash of ₹135 Cr after ₹36.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 118% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 118%: the cash cycle held roughly steady between FY21 and FY26 — so conversion tracks profitability rather than the cycle.

Router verdict: the bigger cash user is investment — capital spending ran 9.6× depreciation over three years, so the next section's job is to check what that build-out is buying.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Saksoft Ltd's cash conversion cycle runs 70 days in FY26, up from 61 days in FY21. Capital spending ran ₹363 Cr over the last 3 years. At FY26 sales of ₹1,007 Cr each day of that cycle holds about ₹2.8 Cr, so roughly ₹193 Cr sits inside the business at any moment.

FY26: debtors at 70 days (an asset-light business — no inventory to speak of) — for a full cycle of 70 days, looser than FY21's 61.

In money terms: at FY26 sales of ₹1,007 Cr, each day of the cycle holds about ₹2.8 Cr — so the 70-day loop keeps roughly ₹193 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹363 Cr over the last 3 fiscal years against ₹38.0 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹0.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Saksoft Ltd earns a ROCE of 25% in FY26. That is up from a trough of 18% in FY14. Return on invested capital clears the cost of that capital by +10.0 percentage points, so growth here adds value rather than only size. The wiring behind it is 13.2% net margin on 0.94× asset turns.

FY26 ROCE is 25%, recovered from a FY14 trough of 18% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 13.2% net margin × 0.94× asset turns × 1.38× balance-sheet leverage ≈ 17.1% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

The capstone test — ROIC − WACC: 22.0% − 12.0% = a +10.0 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. A spread this wide means every rupee reinvested creates more than a rupee of value — the engine compounds.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

Saksoft Ltd carries total debt of ₹44.0 Cr against shareholder equity of ₹779 Cr as of Mar 26, a debt-to-equity of 0.06 — effectively unlevered. On the annual view that ratio went from 0.07 in FY22 to 0.06 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Mar 26: total debt of ₹44.0 Cr against shareholder equity of ₹779 Cr — a debt-to-equity of 0.06. On the annual view, debt-to-equity went from 0.07 (FY22) to 0.06 (FY26). The returns on this page are earned, not borrowed.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Foreign institutions cut 1.3 points of Saksoft Ltd over 8 quarters, the biggest move on the register. That takes foreign institutions to 2.2% of the company. Promoters moved +0.1 points over the same window, to 66.7%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Foreign institutions: −1.3 points over 8 quarters to 2.2%; Promoters: +0.1 points over 8 quarters to 66.7%; Domestic institutions: +0.0 points over 8 quarters to 0.0%.

🚨 Why the register moved: foreign institutions drove it (−1.3 points) — distribution into the market’s bid.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Saksoft Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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