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SOFTTECH ENGINEERS
PE (Price/Earnings) Ratio

The Current P/E Ratio of SOFTTECH ENGINEERS is 212.34.

Share Price ₹463.5Jan 17,2025
Market Cap ₹593.3 Cr
Earnings-TTM₹2.8 CrTTM-Consolidated Results
Price/Earnings212.34xCalculated as Market Cap/Earnings
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Definition & Calculation of PE (Price/Earnings) ratio of SOFTTECH ENGINEERS

Price-to-Earnings ratio, P/E Multiple, or P/E Ratio is an important valuation multiple that is defined as:

P/E = Market Capitalization / Net Income

or, using per-share numbers:

P/E = Stock Price / Earnings Per Share (EPS)

Applying the above formula, P/E ratio of SOFTTECH ENGINEERS is calculated as :

Current Market Cap [ ₹593.3 Cr] as on Jan 17,2025

(/) Earnings [ ₹2.8 Cr] based on TTM-Consolidated Results

(=) P/E Ratio [ 212.34x ]

P/E Ratio indicates the multiple of earnings investors are willing to pay to own one share of the company.

Thus, for SOFTTECH ENGINEERS , the investors are currently willing to pay 212.34 times earnings to own 1 share of the company.

PE Multiples are the most widely used valuation multiple in practice.

Since P/E ratio uses Net Income in the calculation, P/E multiples are not always reliable for valuing companies with negative earnings.

In such cases, you may consider using Price to Book ratio or Price to Sales ratio of SOFTTECH ENGINEERS !

P/E ratios, also, would not adjust for differences in the capital structure between companies.

The chart below summarizes the trend in P/E Ratio of SOFTTECH ENGINEERS over the last five years.

Historical PE (Price/Earnings) ratio chart of SOFTTECH ENGINEERS


PE Ratio Performance Analysis for SOFTTECH ENGINEERS

- SOFTTECH ENGINEERS 's latest p/e ratio is 212.34x.

- SOFTTECH ENGINEERS 's p/e ratio for fiscal years ending Mar2024 to Mar2020 averaged 41.29x.

- SOFTTECH ENGINEERS 's operated at median p/e ratio of 35.64x from fiscal years ending March 2018 to 2022.

- Looking back at the last 5 fiscal years, SOFTTECH ENGINEERS 's p/e ratio peaked in Mar2024 at 107.1x.

- SOFTTECH ENGINEERS 's p/e ratio hit its five-year low in Mar2020 of 5.56x.


How does SOFTTECH ENGINEERS 's P/E Ratio benchmark against top 10 peers in IT - Software Industry?

Peer Comparison (IT - Software Industry)Earnings-TTM (Cr)PE RatioMarket Cap
SOFTTECH ENGINEERS 2.79212.34593.3
TATA CONSULTANCY SERVICES LTD49,006.0030.461,492,710.0
INFOSYS LTD27,687.0027.22753,678.0
HCL TECHNOLOGIES LTD17,085.0028.42485,624.0
WIPRO LTD12,512.0023.59295,099.0
LTIMINDTREE LTD4,574.1038.16174,546.0
TECH MAHINDRA LTD3,759.1043.19162,366.0
ORACLE FINANCIAL SERVICES SOFTWARE LTD2,295.8237.9187,037.5
PERSISTENT SYSTEMS LTD1,232.8774.5091,848.5
L&T TECHNOLOGY SERVICES LTD1,294.8043.9356,884.9
TATA ELXSI LTD809.4547.7938,686.5

IT - Software Industry Benchmark (Top 10) PE Analysis vs SOFTTECH ENGINEERS 's P/E Ratio

Top 10 Industry PeersPE Ratio
Min industry PE 23.59x
Max industry PE 212.34x
Median industry PE 38.16x
Average industry PE 55.23x



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