Fidel Softech

Why is Fidel Softech Ltd falling/rising?

As of 30-Jul, Fidel Softech Ltd's stock price is at 149.35, reflecting a decline of 8.93%. Despite strong financial metrics, the stock has underperformed significantly over the past year and is currently in a bearish trend.

As of 30-Jul, Fidel Softech Ltd's stock price is falling, currently at 149.35, which reflects a decrease of 14.65 or 8.93%. This decline is evident in its performance today, where the stock has underperformed its sector by 8.8%. Over the past week, the stock has also seen a decrease of 2.74%, contrasting with a positive return of 1.87% from the Sensex during the same period.<BR><BR>Despite some positive indicators, such as a high management efficiency with a return on equity (ROE) of 23.13% and a low debt-to-equity ratio of 0.08, the stock has struggled significantly over the past year, showing a negative return of 17.71% compared to the market's return of 1.04%. This underperformance is a critical factor contributing to the current decline in stock price.<BR><BR>Additionally, while the stock has shown healthy long-term growth with net sales increasing at an annual rate of 86% and operating profit at 45.49%, these positive results have not translated into favorable stock performance in the short term. The stock is currently trading below its 5-day, 20-day, 50-day, and 100-day moving averages, indicating a bearish trend. <BR><BR>Overall, the combination of recent underperformance relative to the market, a significant drop in price today, and the stock's inability to maintain momentum despite positive financial metrics are key reasons for the decline in Fidel Softech Ltd's stock price.

Which are the latest news on Fidel Softech?

Are Fidel Softech Ltd latest results good or bad?

Fidel Softech Ltd's latest results show strong revenue growth of 127.94% year-on-year, reaching ₹37.93 crores, but profitability is a concern with a 24.88% decline in net profit and decreasing operating margins. While the revenue increase is impressive, the declining profits suggest potential operational challenges that investors should watch closely.

Fidel Softech Ltd's latest results present a mixed picture. On one hand, the company achieved a remarkable year-on-year revenue growth of 127.94%, reaching ₹37.93 crores in Q1 FY27, which is the highest quarterly sales figure in its history. This indicates strong client acquisition and operational scaling capabilities.<BR><BR>However, the profitability metrics raise concerns. The net profit for the quarter was ₹3.08 crores, reflecting a significant decline of 24.88% compared to the previous quarter and a 15.15% drop year-on-year. Additionally, the operating margin decreased to 11.68%, down from 12.32% in the previous quarter and a stark decline from 25.78% in the same quarter last year. This compression in margins suggests that while the company is growing its top line, it is facing challenges in maintaining profitability, likely due to rising costs, particularly in employee expenses.<BR><BR>Overall, while the revenue growth is impressive, the declining profit margins and net profit indicate potential operational inefficiencies and raise questions about the sustainability of this growth. Investors should monitor these trends closely as they could impact the company's future performance.

Should I buy, sell or hold Fidel Softech Ltd?

What does Fidel Softech do?

Fidel Softech Ltd is a Micro Cap company in the Computers - Software & Consulting industry, incorporated in 2004 and converted to a Public Limited Company in 2022, reporting net sales of 37 Cr and a net profit of 4 Cr for the quarter ending March 2026. Key metrics include a P/E of 16.00 and a market cap of INR 223 Cr.

Overview:<BR>Fidel Softech Ltd is a company operating in the Computers - Software & Consulting industry, classified as a Micro Cap.<BR><BR>History:<BR>Fidel Softech Limited was incorporated in 2004 as a Private Limited Company and later converted to a Public Limited Company in 2022. The latest quarterly results reported net sales and profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>Net Sales: 37 Cr (Quarterly Results - Mar 2026)<BR>Net Profit: 4 Cr (Quarterly Results - Mar 2026)<BR>Market Cap: INR 223 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>P/E: 16.00<BR>Industry P/E: 20<BR>Dividend Yield: 0.00%<BR>Debt Equity: 0.16<BR>Return on Equity: 25.64%<BR>Price to Book: 3.99<BR><BR>Contact Details:<BR>Registrar Address: Not available.

How big is Fidel Softech?

As of 10th June, Fidel Softech Ltd has a market capitalization of 223.00 Cr, with recent net sales of 102.36 Cr and net profit of 14.06 Cr over the last four quarters.

As of 10th June, <BR><BR>Market Cap: Fidel Softech Ltd has a market capitalization of 223.00 Cr, categorizing it as a Micro Cap company.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters is 102.36 Cr, while the sum of Net Profit for the same period is 14.06 Cr.<BR><BR>Balance Sheet Snapshot: The reporting period for the latest annual data is March 2025. Shareholder's Funds stand at 45.32 Cr, and Total Assets are valued at 52.57 Cr.

Who are in the management team of Fidel Softech?

The management team of Fidel Softech includes Sunil Sudhakar Kulkarni (Chairman & Executive Director), Mrs. Prachi Sunil Kulkarni (Managing Director), Shyamak Sunil Kulkarni (Non-Executive Director), and three Independent Directors: Pradeep Shivshankar Dharane, Girish Mohan Desai, and Apurva Pradeep Joshi. They oversee the company's operations and strategic direction.

The management team of Fidel Softech includes the following individuals:<BR><BR>1. Sunil Sudhakar Kulkarni - Chairman & Executive Director<BR>2. Mrs. Prachi Sunil Kulkarni - Managing Director<BR>3. Shyamak Sunil Kulkarni - Non-Executive Director<BR>4. Pradeep Shivshankar Dharane - Independent Director<BR>5. Girish Mohan Desai - Independent Director<BR>6. Apurva Pradeep Joshi - Independent Director<BR><BR>This team is responsible for overseeing the company's operations and strategic direction.

Who are the peers of the Fidel Softech?

Fidel Softech's peers include P.E. Analytics, Aion-Tech Solutions, Bartronics India, DRC Systems, Airan, Adcounty Media, ACE Alpha Tech, Empower India, and CapitalNumbers. In terms of management risk and growth, Fidel Softech shows excellent ratings, while P.E. Analytics has the highest 1-year return at 1.34%, and Bartronics India has the lowest at -52.63%.

Peers: The peers of Fidel Softech are P.E. Analytics, Aion-Tech Soluti, Bartronics India, DRC Systems, Airan, Adcounty Media, ACE Alpha Tech, Empower India, and CapitalNumbers.<BR><BR>Quality Snapshot: Excellent management risk is observed at Fidel Softech and Adcounty Media, while Good management risk is found at DRC Systems and ACE Alpha Tech. Average management risk is seen at P.E. Analytics and Airan, while Below Average management risk is present at Aion-Tech Soluti, Bartronics India, and Empower India. In terms of growth, Excellent growth is noted at Fidel Softech and DRC Systems, while Good growth is seen at Adcounty Media and Empower India. Below Average growth is found at Aion-Tech Soluti, Bartronics India, and Airan, and the rest. Capital Structure ratings are Excellent for Fidel Softech, P.E. Analytics, DRC Systems, Adcounty Media, ACE Alpha Tech, and CapitalNumbers, while Average is noted for Aion-Tech Soluti, and Below Average is observed at Bartronics India.<BR><BR>Return Snapshot: The peer with the highest 1-year return is P.E. Analytics at 1.34%, while Bartronics India has the lowest at -52.63%. Fidel Softech's 1-year return is -27.81%, which is higher than Bartronics India but lower than P.E. Analytics. Additionally, several peers, including Bartronics India, Airan, and DRC Systems, have negative six-month returns.

Is Fidel Softech overvalued or undervalued?

As of October 30, 2025, Fidel Softech is considered fairly valued with a valuation grade of attractive, featuring a PE ratio of 23.43 and strong operational efficiency indicators like a ROCE of 72.79% and ROE of 21.52%, despite a year-to-date stock price decline of -10.88%.

As of 30 October 2025, the valuation grade for Fidel Softech has moved from very attractive to attractive. The company is currently considered fairly valued. Key ratios include a PE ratio of 23.43, an EV to EBITDA of 16.48, and a PEG ratio of 0.71. <BR><BR>In comparison to its peers, TCS has a PE ratio of 21.85 and an EV to EBITDA of 8.6, while Infosys shows a PE of 22.06 and an EV to EBITDA of 5.19. Despite the recent decline in stock price, with a year-to-date return of -10.88% compared to the Sensex's 9.44%, the strong ROCE of 72.79% and ROE of 21.52% suggest that Fidel Softech maintains robust operational efficiency, reinforcing its valuation stance.

How has been the historical performance of Fidel Softech?

Fidel Softech reported significant growth for the year ending March 2025, with net sales of 55.04 crore, a profit after tax of 9.34 crore (16.97% margin), and strong liquidity with no long-term borrowings. The company had total assets of 52.57 crore and a cash inflow of 4.00 crore, indicating a solid financial position.

Answer:<BR>The historical performance of Fidel Softech shows significant growth in its financial metrics for the year ending March 2025.<BR><BR>Breakdown:<BR>In March 2025, Fidel Softech reported net sales of 55.04 crore, leading to a total operating income of the same amount. The total expenditure, excluding depreciation, was 43.36 crore, resulting in an operating profit (PBDIT) of 12.66 crore. After accounting for a minor depreciation of 0.16 crore, the profit before tax stood at 12.51 crore, with a profit after tax of 9.34 crore. This reflects a profit after tax margin of 16.97%. The company's earnings per share (EPS) was reported at 6.79, and the operating profit margin was 21.22%. On the balance sheet, total assets reached 52.57 crore, with shareholder's funds amounting to 45.32 crore, indicating a robust equity position. The company had no long-term borrowings, and total current liabilities were 5.74 crore, showcasing a strong liquidity position. The cash flow statement revealed a net cash inflow of 4.00 crore, with closing cash and cash equivalents at 7.00 crore, further emphasizing the company's solid cash position.

Who are the top shareholders of the Fidel Softech?

The top shareholder of Fidel Softech is Sunil Sudhakar Kulkarni, who holds 55.27% of the shares. The highest public shareholder is Vicco Products Bombay Pvt Ltd at 2.79%, while individual investors own 18.78% collectively.

The top shareholders of Fidel Softech are primarily its promoters, with Sunil Sudhakar Kulkarni holding the largest stake at 55.27%. There are no pledged promoter holdings, and the company does not have any mutual funds or foreign institutional investors holding shares. The highest public shareholder is Vicco Products Bombay Pvt Ltd, which holds 2.79%. Additionally, individual investors collectively hold 18.78% of the shares.

What is the technical trend for Fidel Softech?

As of June 5, 2025, Fidel Softech's technical trend has shifted to mildly bullish, supported by a bullish weekly MACD and daily moving averages, although caution is advised due to a mildly bearish monthly MACD and lack of momentum indicated by the RSI.

As of 5 June 2025, the technical trend for Fidel Softech has changed from mildly bearish to mildly bullish. The weekly MACD is bullish, supporting the positive shift in sentiment, while the daily moving averages also indicate a bullish stance. Bollinger Bands are showing a mildly bullish trend on both weekly and monthly time frames. However, the monthly MACD remains mildly bearish, suggesting some caution. The RSI shows no signals in both weekly and monthly time frames, indicating a lack of momentum. Overall, the current technical stance is mildly bullish, driven primarily by the bullish weekly MACD and daily moving averages.

When is the next results date for Fidel Softech?

No Upcoming Board Meetings

Has Fidel Softech declared dividend?

Yes, Fidel Softech Ltd has declared a 20% dividend, amounting to 1.1 per share, with an ex-date of June 6, 2025. The company has demonstrated strong total returns, particularly over the past 1 and 2 years, with total returns of 89.5% and 154.56%, respectively.

Fidel Softech Ltd has declared a 20% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 20%<BR>- Amount per share: 1.1<BR>- Ex-date: 06 Jun 25<BR><BR>Dividend Yield: 0.6%<BR><BR>Total Returns by Period:<BR>Over the past 6 months, the price return was 6.98%, the dividend return was 1.17%, resulting in a total return of 8.15%.<BR><BR>In the last year, the price return reached 86.23%, with a dividend return of 3.27%, leading to a total return of 89.5%.<BR><BR>For the 2-year period, the price return was 150.34%, the dividend return was 4.22%, culminating in a total return of 154.56%.<BR><BR>Over 3 years, there was no price return, but the dividend return was 7.13%, resulting in a total return of 7.13%.<BR><BR>In the 4-year period, there was no price or dividend return, leading to a total return of 0.0%.<BR><BR>For the 5-year period, there was again no price or dividend return, resulting in a total return of 0.0%.<BR><BR>Overall, Fidel Softech Ltd has shown significant total returns, particularly in the 1 and 2-year periods, while also declaring a dividend, indicating a commitment to returning value to shareholders.