Stock Price Movement and Market Context
The stock of Saven Technologies Ltd fell to Rs.41.01, its lowest level in the past year, representing a notable drop from its 52-week high of Rs.53.80. Despite this decline, the stock marginally outperformed its sector today by 0.57%, although it remains below all key moving averages including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating sustained downward momentum.
On the broader market front, the Sensex opened flat but subsequently declined by 389 points, closing at 83,105.49, down 0.56%. The index is currently 3.67% below its 52-week high of 86,159.02 and has experienced a 3.1% loss over the past three weeks. While the Sensex trades below its 50-day moving average, the 50DMA remains above the 200DMA, reflecting mixed technical signals.
Financial Performance and Valuation Metrics
Saven Technologies Ltd’s financial indicators reveal a complex picture. The company has recorded a compound annual growth rate (CAGR) of 4.45% in operating profits over the last five years, which is considered weak relative to industry standards. Operating cash flow for the year was at a low of Rs.1.43 crore, while cash and cash equivalents stood at Rs.5.19 crore for the half-year period, both figures reflecting constrained liquidity.
Despite these challenges, the company maintains a return on equity (ROE) of 15.4%, which is relatively attractive. The stock trades at a price-to-book value of 2.1, suggesting a fair valuation compared to its peers’ historical averages. Additionally, the company offers a dividend yield of 3.52% at the current price, which is considered high within the sector.
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Performance Trends and Ratings
Over the past year, Saven Technologies Ltd has delivered a total return of -17.84%, significantly underperforming the Sensex, which gained 8.45% during the same period. The stock has also lagged behind the BSE500 index over the last three years, one year, and three months, indicating persistent underperformance relative to broader market benchmarks.
The company’s profitability has, however, shown some improvement with a 22.6% rise in profits over the past year. This is reflected in a PEG ratio of 0.6, which suggests the stock is trading at a valuation that is low relative to its earnings growth. Despite this, the overall assessment remains cautious, with the Mojo Score at 26.0 and a Mojo Grade of Strong Sell, downgraded from Sell on 18 Nov 2025.
Shareholding and Sector Position
The majority of Saven Technologies Ltd’s shares are held by non-institutional investors, which may influence liquidity and trading patterns. The company operates within the Computers - Software & Consulting sector, which has experienced mixed performance amid evolving technology trends and market conditions.
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Summary of Key Metrics
To summarise, Saven Technologies Ltd’s stock has reached a 52-week low of Rs.41.01, reflecting a decline of approximately 23.8% from its 52-week high of Rs.53.80. The company’s financial performance shows modest profit growth but constrained cash flows and a weak long-term growth rate in operating profits. The stock’s valuation metrics, including a price-to-book ratio of 2.1 and a dividend yield of 3.52%, indicate a fair market price relative to peers, despite the negative price trend.
Market conditions have also been challenging, with the Sensex experiencing a three-week consecutive fall and trading below its 50-day moving average. These factors combined have contributed to the stock’s current price level and rating status.
Technical and Market Positioning
Technically, the stock’s position below all major moving averages signals continued downward pressure. The broader market’s recent weakness, with the Sensex down 3.1% over three weeks, adds to the cautious environment surrounding the stock. The company’s Mojo Grade of Strong Sell, updated in November 2025, reflects these combined financial and technical considerations.
Dividend and Valuation Considerations
Despite the price decline, Saven Technologies Ltd offers a relatively high dividend yield of 3.52%, which may be of interest to income-focused investors. The valuation remains reasonable with a price-to-book ratio of 2.1 and a PEG ratio of 0.6, suggesting that the stock is not overvalued relative to its earnings growth potential. However, these positives have not been sufficient to offset the broader negative sentiment and price decline.
Shareholder Composition
The company’s shareholder base is predominantly non-institutional, which can affect trading volumes and price stability. This ownership structure may contribute to the stock’s volatility and price movements in the current market environment.
Conclusion
Saven Technologies Ltd’s stock reaching a 52-week low of Rs.41.01 highlights the challenges faced by the company amid a subdued market and modest financial growth. While valuation metrics and dividend yield remain attractive, the stock’s performance relative to the Sensex and sector peers has been underwhelming. The current Mojo Grade of Strong Sell underscores the cautious stance based on the company’s financial and technical profile.
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