The table below shows the long term software services stocks based on the Highest Market Capitalization.
Name | Market Cap (Cr) | Close Price | 5Y CAGR % |
Oracle Financial Services Software Ltd | 90400.98 | 10336.1 | 26.35 |
Persistent Systems Ltd | 72679.72 | 4599.25 | 71.74 |
L&T Technology Services Ltd | 54240.11 | 5117.4 | 25.51 |
Tata Elxsi Ltd | 43932.6 | 7028.0 | 52.32 |
Cyient Ltd | 19707.05 | 1791.45 | 27.69 |
Intellect Design Arena Ltd | 14895.72 | 1082.55 | 32.49 |
Newgen Software Technologies Ltd | 13346.83 | 949.0 | 44.6 |
Tanla Platforms Ltd | 12799.23 | 948.0 | 71.35 |
Black Box Ltd | 6608.71 | 401.5 | 78.03 |
Moschip Technologies Ltd | 5715.74 | 296.0 | 77.89 |
Content:
- What is Long Term Software Services Stock?
- Features of long term software services stocks
- Best Long Term Software Services Stocks
- Top Long Term Software Services Stocks
- Long Term Software Services Stocks List
- Factors to consider when investing in Long Term Software Services Stocks
- How to Invest in Long Term Software Services Stocks?
- Advantages of Investing In Long Term Software Services Stocks?
- Risks of Investing in Long Term Software Services Stocks?
- Introduction to Long Term Software Services Stocks
- Long Term Software Services Stocks – FAQs
What is Long Term Software Services Stock?
Software services stocks refer to shares of companies that provide software solutions and related services to other businesses or consumers. These services can include software development, cloud computing, IT consulting, cybersecurity, and technical support. Investors buy these stocks to gain exposure to the growth and profitability of the software services industry.
Features of long term software services stocks
The main features of Investing in long-term software services stocks can be advantageous due to their stable revenue streams and potential for growth, driven by increasing demand for digital solutions across industries.
1. Resilience in Economic Downturns: Software services stocks tend to be resilient during economic downturns due to ongoing demand for digital transformation.
2. Recurring Revenue Model: Many software services companies operate on a subscription-based model, ensuring predictable and recurring revenue streams.
3. Scalability: These companies can scale operations efficiently as their software solutions can often be deployed to multiple clients without significant additional costs.
4. Innovation and Adaptability: Successful firms continually innovate and adapt their software offerings to meet evolving market needs, maintaining competitiveness.
5. Global Reach: With digital services being inherently scalable globally, leading software service providers can access international markets easily, broadening their revenue base.
Best Long Term Software Services Stocks
The table below shows the best long term software services stocks based on the highest day Volume.
Name | Close Price | Daily Volume (Shares) |
Black Box Ltd | 401.5 | 1480768.0 |
Moschip Technologies Ltd | 296.0 | 1200175.0 |
Persistent Systems Ltd | 4599.25 | 967410.0 |
Tanla Platforms Ltd | 948.0 | 280917.0 |
Cyient Ltd | 1791.45 | 276568.0 |
Cigniti Technologies Ltd | 1371.0 | 271180.0 |
Intellect Design Arena Ltd | 1082.55 | 264344.0 |
Newgen Software Technologies Ltd | 949.0 | 142899.0 |
Blue Cloud Softech Solutions Ltd | 213.35 | 141371.0 |
L&T Technology Services Ltd | 5117.4 | 137285.0 |
Top Long Term Software Services Stocks
The table below shows top long term software services stocks based on the PE Ratio.
Name | Close Price | PE Ratio |
Nucleus Software Exports Ltd | 1393.0 | 15.58 |
Expleo Solutions Ltd | 1257.1 | 24.01 |
Accelya Solutions India Ltd | 1842.35 | 28.39 |
Sasken Technologies Ltd | 1774.0 | 32.26 |
Persistent Systems Ltd | 4599.25 | 36.23 |
Cigniti Technologies Ltd | 1371.0 | 39.17 |
Cyient Ltd | 1791.45 | 40.05 |
L&T Technology Services Ltd | 5117.4 | 42.64 |
Oracle Financial Services Software Ltd | 10336.1 | 44.32 |
Tata Elxsi Ltd | 7028.0 | 55.17 |
Long Term Software Services Stocks List
The table below shows the long term software services stocks list based on 1 Year Return.
Name | Close Price | 1Y Return % |
TechNVision Ventures Ltd | 2648.95 | 1176.6 |
Blue Cloud Softech Solutions Ltd | 213.35 | 267.27 |
Moschip Technologies Ltd | 296.0 | 243.29 |
Newgen Software Technologies Ltd | 949.0 | 203.34 |
Oracle Financial Services Software Ltd | 10336.1 | 175.4 |
Black Box Ltd | 401.5 | 139.27 |
Persistent Systems Ltd | 4599.25 | 93.73 |
Sasken Technologies Ltd | 1774.0 | 89.17 |
Intellect Design Arena Ltd | 1082.55 | 83.84 |
Cigniti Technologies Ltd | 1371.0 | 69.75 |
Factors to consider when investing in Long Term Software Services Stocks
The factors to consider when investing in long-term software services stocks are stable revenue streams, growth potential, competitive advantages, and market demand, alongside assessing management effectiveness and financial health.
1. Stable Revenue Streams: Ensure the company has consistent income from recurring software services.
2. Growth Potential: Evaluate the scalability of their services and expansion opportunities.
3. Competitive Advantages: Look for unique technologies or strong market positions that set them apart.
4. Market Demand: Assess the current and future demand for their software services.
5. Management Effectiveness: Review the track record and strategies of the company’s leadership.
6. Financial Health: Analyze balance sheets, cash flow, and debt levels for stability and growth potential.
How to Invest in Long Term Software Services Stocks?
To invest in long-term software services stocks, research companies with strong financials, innovative technologies, and a solid growth trajectory. Look for firms with a competitive edge and consistent earnings. Diversify your portfolio to mitigate risks. For more assistance, open an account at Alice Blue.
Advantages of Investing In Long Term Software Services Stocks?
The main advantages of investing in long-term software services stocks can offer stable growth and income potential due to the recurring revenue model inherent in their business operations.
1. Stable Revenue Streams: Software services companies typically generate predictable revenue from subscriptions and maintenance contracts.
2. Scalability: As software services are delivered digitally, scaling operations globally is more feasible, driving potential for rapid growth.
3. High Margins: Often characterized by high-profit margins due to low marginal costs once software is developed.
4. Innovation Potential: Continuous investment in R&D can lead to new product developments and competitive advantages.
5. Resilience to Economic Cycles: Demand for essential software services tends to be resilient, providing stability during economic downturns.
6. Customer Stickiness: Long-term contracts and integration into client operations can create high customer retention rates.
Risks of Investing in Long Term Software Services Stocks?
Investing in long-term software services stocks carries risks due to the industry’s volatility and dependency on technological advancements.
1. Market Volatility: Software services stocks can experience significant price fluctuations due to market conditions and investor sentiment.
2. Technological Obsolescence: Rapid advancements in technology may render current software services obsolete, impacting company revenues.
3. Competitive Pressures: Intense competition within the industry can erode profit margins and market share.
4. Cybersecurity Threats: Vulnerabilities in software systems can lead to data breaches, affecting customer trust and financial stability.
5. Regulatory Changes: Evolving regulations on data privacy and software usage can impose compliance costs and operational challenges.
6. Dependency on Key Personnel: Success often relies on talented personnel, and turnover or talent shortages can disrupt operations and innovation efforts.
Introduction to Long Term Software Services Stocks
Oracle Financial Services Software Ltd
The market cap of Oracle Financial Services Software Ltd is Rs. 90,400.98 crore. The stock’s monthly return is 23.99%. Its one-year return is 175.40%. The stock is 1.88% away from its 52-week high.
Oracle Financial Services Software Limited is an India-based company that is engaged in the business of providing information technology solutions and business processing services to the financial services industry. Its segments include Product licenses and related activities (Products), and information technology solutions and consulting services (Services). The Product segment deals with various banking software products and their related activities, which include enhancements, implementation, and maintenance activities.
The Services segment offers services spanning the entire lifecycle of applications used by financial service institutions. Its financial services banking product portfolio includes Oracle FLEXCUBE Universal Banking, Oracle FLEXCUBE for Islamic Banking, Oracle FLEXCUBE Investor Servicing, Oracle Banking Platform, Oracle Banking Branch, Oracle Banking Origination, Oracle Financial Services Lending and Leasing, Oracle Banking Accounts and Oracle Banking Cash Management.
Persistent Systems Ltd
The Market Cap of Persistent Systems Ltd is Rs. 72,679.72 crores. The stock’s monthly return is 23.60%. Its one-year return is 93.73%. The stock is 5.36% away from its 52-week high.
Persistent Systems Limited is an India-based holding company engaged in the business of providing software products and technology services. The Company’s various segments include Banking, Financial Services, and Insurance (BFSI), Healthcare & Life Sciences, and Technology Companies and Emerging Verticals. The Company provides a range of services, including digital strategy and design, software product engineering, client experiences (CX) transformation, cloud & infrastructure, intelligent automation, enterprise information technology (IT) security, enterprise integration, application development and management, and data and analytics.
The Company serves various industries, including banking and financial services, insurance, healthcare life sciences, software and hi-tech, and telecom and media. Its cloud and infrastructure offerings include Hybrid & Multi-Cloud Transformation, Data Center Modernization, Persistent Intelligent IT Operations (PiOps), and Cloud Advisory Services.
L&T Technology Services Ltd
The Market Cap of L&T Technology Services Ltd is Rs. 54,240.11 crores. The stock’s monthly return is 6.54%. Its one-year return is 30.59%. The stock is 14.77% away from its 52-week high.
L&T Technology Services Limited is an India-based engineering research and development (ER&D) services provider. The Company delivers consultancy, designing, development, and testing services across the product and process development life cycle. Its services and solutions include software and digital engineering, embedded systems, engineering analytics, and plant engineering. Its customer base includes 69 companies.
The Company segments include Transportation, Telecom & Hi-Tech, Industrial Products, Plant engineering, and Medical devices. Its engineers and technologists collaborate with global firms to drive smart solutions and services for product development, facilitate remote asset management, and enable virtual product design and prototyping. The Company specializes in disruptive technology spaces, such as fifth-generation (5G), artificial intelligence, collaborative robots, digital factories, and autonomous transport.
Tata Elxsi Ltd
The Market Cap of Tata Elxsi Ltd is Rs. 43,932.60 crore. The stock’s monthly return is -1.39%. Its one-year return is -6.13%. The stock is 30.90% away from its 52-week high.
Tata Elxsi Limited is an India-based global design and technology services company. The Company’s business segments include system integration and support, and software development and services. It has expertise in automotive engineering spanning areas, such as advanced driver-assistance systems, autonomous driving, electrification, and connected car solutions. The Company supports clients in reimagining their products and services by applying design thinking and digital technologies such as the Internet of Things (IoT), cloud, mobility, virtual reality, and artificial intelligence.
The Company offers platforms and solutions such as TETHER, which is a connected vehicle platform; TECockpit, which is an integrated cockpit solution, and Autom@TE, which is a test automation suite. The Company provides digital content creation for the media and entertainment industry. It provides services across industries, including automotive, broadcast, communications, healthcare, and transportation.
Cyient Ltd
The Market Cap of Cyient Ltd is Rs. 19,707.05 crore. The stock’s monthly return is -5.97%. Its one-year return is 27.87%. The stock is 37.26% away from its 52-week high.
Cyient Limited is an India-based global engineering and technology solutions company. The Company is engaged in providing global technology services and solutions, specializing in geospatial, engineering design, information technology solutions, and data analytics.
The Digital, Engineering, and Technology segment includes transportation, connectivity, hi-tech, automotive, Semicon, and medical technologies, and the digital, embedded solutions are across the business units. The DLM segment is engaged in the business of electronic manufacturing services. Its platforms include CyFAST, CyMedge, and PlatformX.
Intellect Design Arena Ltd
The Market Cap of Intellect Design Arena Ltd is Rs. 14,895.72 crore. The stock’s monthly return is 12.59%. Its one-year return is 83.84%. The stock is 10.76% away from its 52-week high.
Intellect Design Arena Limited is an India-based holding company. The Company is engaged in the business of software development and providing software product licenses and related services. The Company has a portfolio of products across Global Consumer Banking, Global Transaction Banking, and IntellectAI.
The Company offers a suite of platforms and products spread across core banking, lending, cards, treasury, digital banking, and central banking is built on eMACH.ai (event-driven, microservices-based, API-enabled, cloud-native, headless with underlying AI models). The eMACH.ai is the open finance platform that offers banks and financial institutions the ability to compose their own My Signature Solution.
Newgen Software Technologies Ltd
The Market Cap of Newgen Software Technologies Ltd is Rs. 13,346.83 crores. The stock’s monthly return is -0.32%. Its one-year return is 203.34%. The stock is 11.50% away from its 52-week high.
Newgen Software Technologies Limited is an India-based provider of a unified digital transformation platform (NewgenONE) for automating the end-to-end process and comprehensively managing content and communications, backed by artificial intelligence (AI)-based cognitive capabilities, governance, and a robust integration ecosystem.
The platform has a spectrum of use cases across industries from onboarding to service requests, lending to underwriting, and others. The Company’s geographical segments include India; Europe, Middle East, and Africa (EMEA); Asia Pacific and Australia (APAC); and the United States of America (USA).
Tanla Platforms Ltd
The Market Cap of Tanla Platforms Ltd is Rs. 12,799.23 crores. The stock’s monthly return is 3.47%. Its one-year return is -6.05%. The stock is 39.02% away from its 52-week high.
Tanla Platforms Limited is a cloud communication provider. It is a provider of application-to-person (A2P) messaging platforms. It develops and delivers technology and products, which meet the needs of a diverse clientele, from enterprises to carriers across the world. It provides mobile messaging and payment solutions for A2P messaging services. Its products include Wisely, Trubloq, messaging, voice, and Internet of Things (IoT). Wisely is a communication platform as a service, (CPaaS) offering a digital marketplace for enterprises and suppliers.
Trubloq is a blockchain-based stack that enables individuals to own, control, and manage their commercial communications, enabling businesses to build trusted relationships with their consumers. Its messaging products include short service messaging centers (SMSC’s), SMS hobbling, unstructured supplementary service data (USSD) centers and push notifications. Its subsidiaries include Karix Mobile Private Limited and Tanla Foundation among others.
Black Box Ltd
The Market Cap of Black Box Ltd is Rs. 6,608.71 crore. The stock’s monthly return is 43.01%. Its one-year return is 139.27%. The stock is 7.10% away from its 52-week high.
Black Box Limited provides information technology (IT) solutions. The Company is engaged in delivering cutting-edge technology solutions and consulting services to businesses around the globe. Its IT infrastructure solutions, services, and products enable secure connectivity and meaningful collaboration for businesses in every major market sector on six continents. The Company also offers Cloud Contact Center (CCC) and Digital Experience solutions to Trans-Tasman markets and leverages the skills and expertise of its global customers.
The Company operates through two segments: System integration, and Technology product solutions. The Company’s product categories include audio video, cables, infrastructure, internet of Things (IoT), keyboard, video, and mouse (KVM), and networking. It offers services, such as consulting and design, managed services, refurbishment and repair, field services, project management, and support services.
Moschip Technologies Ltd
The Market Cap of Moschip Technologies Ltd is Rs. 5715.74 crores. The stock’s monthly return is 53.97%. Its one-year return is 243.29%. The stock is 10.41% away from its 52-week high.
Moschip Technologies Limited, based in India, specializes in semiconductor and system design services, covering everything from chip design to systems development. The company operates in two main segments: Semiconductor and Embedded.
The Semiconductor segment encompasses semiconductor IP, design services, turn-key application-specific integrated circuits (ASICs), and a training institute. The Embedded segment includes product/system design, embedded software, and IoT products. Moschip focuses on semiconductor design services, mixed-signal IP, turn-key ASIC solutions, and embedded product design services. It offers electronic design services across networking, high-speed and high-capacity storage, computing, semiconductor, defense, aerospace, industrial, and wireless domains.
Long Term Software Services Stocks – FAQs
Long-term software services stock refers to shares in companies that provide software solutions and services, held for an extended period, typically several years. These companies offer products like software development, IT consulting, and cloud services. Investors aim to benefit from the industry’s growth and technological advancements over time.
The Best Long Term Software Services Stocks #1:Oracle Financial Services Software Ltd
The Best Long Term Software Services Stocks #2:Persistent Systems Ltd
The Best Long Term Software Services Stocks #3:L&T Technology Services Ltd
The Best Long Term Software Services Stocks #4:Tata Elxsi Ltd
The Best Long Term Software Services Stocks #5:Cyient Ltd
The top 5 stocks are based on market capitalization.
The top long-term software services stocks based on one-year returns are TechNVision Ventures Ltd, Blue Cloud Softech Solutions Ltd, Moschip Technologies Ltd, Newgen Software Technologies Ltd, and Oracle Financial Services Software Ltd.
Investing in long-term software services stocks can be beneficial due to the industry’s growth potential, recurring revenue models, and increasing reliance on digital transformation across sectors. However, it’s important to consider market volatility, technological changes, and company-specific risks before making investment decisions. Diversification and thorough research are key.
To invest in long-term software services stocks, research companies with strong financials, innovative technology, and a solid customer base. Look for consistent revenue growth, market leadership, and competitive advantages. Diversify your portfolio to manage risk. For assistance, open an account with Alice Blue.
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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.