JP Sinha of Mangal Keshav do not see more than 5-6% downside from the current level in Satyam Computer Services.

Sinha told CNBC-TV18, "The stock is expected to remain subdued because we were analyzing the entire court case and what we understand is that this is not only having its pecuniary concerns that there could be some penalty etc but more than that it impacts to some extent credibility. Though issue pertains to an era when there was no concrete agreements were being signed up but having said that even if we go by the normal transaction value of USD 8-10 million, our sense is it may not be contained at that level because if you look from Upaid side they are losing out primarily on royalty income which they could have generated  from their clients like Verizone and Qualcomm etc. Having said that if the settlement happens at a lower level that is a good news but at this point in time that concern continues because in their own submission they have mentioned that there could large sums involved in terms of penalty."

He further added, "To that extent my sense is that overhang will continue and if the stock falls to a level which makes is attractive on other valuation parameters then we will not see much downside. We are not seeing more than 5-6% downside from the current level but overall in IT segment we are yet to ascertain ourselves is that the volume growth or demand growth pick up is still yet to come and so not just Satyam but overall IT companies will have a overhand but thanks to depreciating rupee we have seen some smart value recently."