Coforge share price: Coforge Ltd witnessed a decline of up to 10 percent in its shares, dropping to ₹4505.25 on May 3. This followed the company’s release of its quarterly earnings for the March 2024 quarter, along with its dividend declaration and acquisition intentions regarding Cigniti Technologies.
Coforge Q4 results
Coforge disclosed a consolidated net profit of ₹223.7 crore for the quarter ending March 31, 2024, marking a significant increase of 94.86 percent on a year-on-year (YoY) basis, compared to a profit of ₹114.8 cr in the corresponding period the previous year. Additionally, the company’s consolidated revenue from operations stood at ₹2,358.5 crore, reflecting a YoY growth of 8.7 percent from ₹2,170 crore. The board proposed an interim dividend of ₹19 per share. -Coforge share price
Nirmal Bang at Coforge
According to Nirmal Bang, Coforge has demonstrated strong performance within the top quartile of the industry in FY24 regarding organic growth, and they anticipate a repeat of this performance in FY25. They suggest that the company should be valued at 26.1 times its March 2026 EPS. Nirmal Bang reiterates an ‘Accumulate’ recommendation with a target price of ₹5,602, which represents one of the highest target PE multiples for Tier-2 companies. They anticipate faster growth and return on invested capital (ROIC) compared to peers.
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Nuvama Institutional Equities – Coforge
Nuvama Institutional Equities observed that the management chose not to provide specific quantitative guidance, likely due to uncertainties regarding execution. The brokerage commented, “We have reduced our FY25E and FY26E EPS estimates due to lower growth expectations, and have adjusted our target multiple from 30 times to 27 times, reflecting a derating driven by the acquisition. This results in a revised target price of ₹5,850, down from the earlier ₹7,000.”
