Is S A Tech Soft. overvalued or undervalued?

As of 26 August 2025, the valuation grade for S A Tech Soft. has moved from expensive to fair. The company appears to be fairly valued based on its current metrics, with a PE ratio of 9.89, an EV to EBITDA ratio of 7.11, and a ROE of 63.59%. Compared to its peers, TCS has a significantly higher PE ratio of 23.18, while Infosys stands at 23.31, indicating that S A Tech Soft. is trading at a discount relative to these larger competitors. In terms of performance, S A Tech Soft. has faced challenges, with a year-to-date return of -56.59%, contrasting sharply with the Sensex's positive return of 4.51%. This underperformance, combined with its fair valuation, suggests that while the stock may not be undervalued, it is certainly not overvalued either, presenting a potential opportunity for investors looking for value in the software and consulting sector.