Sonata Software Gains After Winning IT Outsourcing Deal With US Healthcare Company
This strategic deal was successfully secured in June, following an extensive evaluation and selection process, and was also discussed during Q1 earnings call on July 31, the company said.
Sonata Software Ltd.'s shares surged nearly 9% on Thursday after a US-based premier healthcare and wellness company selected it as an outsourcing partner.
"As part of the collaboration, Sonata Software will support the client in achieving dual objectives: optimising IT budgets and cost efficiencies through systemic improvements and engineering levers and modernising their technology landscape by leveraging enterprise data, artificial intelligence, and hyper-automation across patient-facing systems and back-office operations," the company said in an exchange filing.
This strategic deal was successfully secured in June 2024, following an extensive evaluation and selection process, and was also discussed during our first-quarter earnings call on July 31, 2024, the company said.
In its earnings call, the company's management said that it will enable an optimum global delivery model and modernise their technology stack using hyper automation and AI. "Our teams will deliver cloud infrastructure modernisation services and operations in our managed services model," it said.
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Shares of the company rose as much as 8.7% to Rs 678.95 apiece, the highest level since Aug. 1. It pared gains to trade 4.7% higher at Rs 653.60 apiece as of 12:17 p.m. This compares to a 0.2% advance in the NSE Nifty 50 Index.
The stock has fallen 11.9% on a year-to-date basis but risen 25% in the last 12 months. Total traded volume on the NSE so far in the day stood at 6.30 times its 30-day average. The relative strength index was at 54.8.
Out of the eight analysts tracking the company, six maintain a 'buy' rating, two recommend a 'hold,' and none suggest 'sell,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 17.3%.
