Shares of Sonata Software surged as much as 13 per cent during the early trade on Thursday as the smallcap IT service provider traded ex-bonus. The scrip rallied about 13 per cent to Rs 602.10 on Thursday, before giving up some gains to trade at Rs 590.10 at 10.05 am. The scrip had settled at Rs 536.05 on Wednesday.
Sonata Software fixed Saturday, September 10, 2022, as the record date to ascertain the eligibility of shareholders for the issuance of bonus equity shares. The software and consulting firm had announced the issue of bonus shares in 1:3 ratio, which means that an eligible shareholder will get one share for every three shares of the company held as of the record date.
Last week, the company in a BSE filing informed that “the company has revised the Record Date and fixed on Saturday, 10th September, 2022 for the purpose of ascertaining the eligibility of Shareholders for issuance of Bonus equity shares of the company in the proportion of one new fully paid up an equity share of Rs 1/- each for every Three fully paid up existing equity shares of Rs 1/- each held, subject to the approval of Members which is being obtained by way of Postal Ballot through remote e-voting.”
While announcing its Q1FY23 earnings, Sonata Software had informed that the board considered, approved and recommended a bonus issue in the ratio of 1:3 that is of 1 (one) equity share for every 3 (three) equity shares held by the Shareholders of the company as on the record date.
Sonata Software Limited is a global technology company and is a service provider in business intelligence and analytics, application development management, mobility, cloud, social media, enterprise services, infrastructure management services among others.
What Do Analysts Say?
Analysts at Prabhudas Lilladher downgraded Sonata to ‘hold’ from ‘accumulate’ as the brokerage firm believes revenue growth will be modest going forward.
“The company is likely to take 2-3 quarters to overcome supply side constraints and potential impact of weak macro environment. Margins, too, in International IT Services (IITS) business are expected to remain under pressure due to renewed investments in freshers, sales teams, leadership team, and development centres in Canada, Ireland, and Mexico,” the brokerage firm said.
Meanwhile, in the current fiscal year FY23, the company said that it is gearing up to tap a multitude of opportunities and deliver world-class client experience.
“Our focus is on PlatformationTM at the core and our industry led approach has started to pay off in these times when clients are looking to begin their digital journeys with us,” the company said.
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