Coforge Limited (COFORGE) AI Stock Analysis

• Market Cap: ₹580.41B
• Dividend Yield: 0.89%
• Average Volume (3M): 67.87K
• Price to Earnings (P/E): 58.2
• Beta (1Y): 1.41
• Revenue Growth: 44.02%
• EPS Growth: 18.92%
• Country: IN
• Employees: 13,297
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 9.00
• Shares Outstanding: 334,596,070
• 10 Day Avg. Volume: 58,454
• 30 Day Avg. Volume: 67,870
• PEG Ratio: -9.49
• Price to Book (P/B): 7.85
• Price to Sales (P/S): 4.16
• P/FCF Ratio: 80.44
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹1,871.10
• Price Target Upside: 7.87% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 66 Neutral
• Price Target: ₹1,821.00 ▲(4.98% Upside)

Coforge Limited's overall stock score reflects strong financial performance, which is the most significant factor. However, the technical analysis indicates potential weakness, and the high P/E ratio suggests overvaluation, which impacts the overall score.

Coforge Limited Business Overview & Revenue Model

Company Description

Coforge Limited provides information technology (IT) and IT enabled services in India, the Americas, Europe, the Middle East and Africa, and the Asia Pacific. It offers digital process automation services, including workflow/process management, artificial intelligence (AI) and predictive analytics, robotic process automation, and case management; digital services, such as digital integration, Salesforce, MuleSoft, digital interactive and advisory, automation, digital innovation, and innovation as a services; and cloud and infrastructure management services comprising cloud, workplace, cybersecurity, data center, and always on network, as well as service integration services. The company also provides cybersecurity services, which include security incident management platform, managed automated security testing and enhanced remediation, intelligent detection and response of threats, access control and entity management, governance risk management and compliance, and secure adaptive fortified endpoints, as well as phishing, analysis, and training and testing platform. In addition, it offers AI and cognitive, business analytics, and data engineering services; advanced application engineering services, including development, operations, and quality engineering services; business process solutions; and media solutions, such as print design services and marketing solutions. The company serves insurance, travel, transportation, hospitality, banking and financial services, healthcare and life sciences, public sector, hi-tech and manufacturing, media and entertainment, and retail and consumer goods industries. Coforge Limited has strategic alliances with Kong Inc. for cloud API services; and Newgen Software Technologies Limited to enhance digital operations for organizations. The company was formerly known as NIIT Technologies Limited and changed its name to Coforge Limited in August 2020. Coforge Limited was incorporated in 1992 and is based in New Delhi, India.

How the Company Makes Money

Coforge Limited generates revenue primarily through providing IT services and solutions to its clients. The company's revenue model is based on a combination of project-based fees, managed services contracts, and long-term service agreements. Key revenue streams include application development and maintenance, infrastructure management, and business process outsourcing. Coforge leverages strategic partnerships with leading technology providers and platforms to enhance its service offerings and expand its market reach. The company's earnings are significantly influenced by its ability to deliver operational efficiencies and create value for its clients through technology-driven solutions.

Coforge Limited Financial Statement Overview

Summary

Coforge Limited demonstrates strong financial performance with impressive revenue growth, robust profit margins, and solid cash flow generation. The balance sheet is healthy with low leverage, though cash management could be optimized.

Income Statement

Coforge Limited has shown strong revenue growth with a CAGR of around 25% over the past five years, which is impressive. The company's gross profit margin remained robust at around 40% in the latest fiscal year, indicating efficient cost management and pricing power. Net profit margin has been stable, averaging around 8% in recent years. Both EBIT and EBITDA margins are healthy, showcasing operational efficiency and profitability.

Balance Sheet

The balance sheet is solid with a debt-to-equity ratio of approximately 0.17, signifying low leverage and prudent financial management. Return on Equity has been consistently strong, reflecting effective use of shareholders' capital. The equity ratio indicates a strong capital base, though the company’s cash position has varied significantly, suggesting possible liquidity management considerations.

Cash Flow

Coforge Limited demonstrates a strong cash flow position with consistent operating cash flow growth, suggesting efficient conversion of revenue into cash. Free cash flow has fluctuated but remains positive, supporting ongoing investments and shareholder returns. The operating cash flow to net income ratio is healthy, indicating solid cash generation relative to profits.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	134.79B	120.51B	90.09B	80.15B	64.32B	46.63B
Gross Profit	51.10B	47.18B	35.38B	30.64B	18.71B	11.03B
EBITDA	20.60B	17.34B	14.61B	12.73B	11.41B	7.85B
Net Income	9.96B	8.12B	8.08B	6.94B	6.62B	4.56B
Balance Sheet
Total Assets	0.00	124.91B	61.08B	56.83B	49.54B	35.13B
Cash, Cash Equivalents and Short-Term Investments	10.29B	10.29B	3.35B	5.76B	4.54B	8.23B
Total Debt	0.00	10.70B	7.26B	5.62B	4.90B	826.00M
Total Liabilities	-83.29B	41.62B	23.81B	25.14B	21.23B	10.47B
Stockholders Equity	83.29B	63.79B	36.27B	30.82B	27.33B	24.66B
Cash Flow
Free Cash Flow	0.00	6.23B	6.38B	7.92B	6.12B	6.84B
Operating Cash Flow	0.00	12.37B	9.03B	9.51B	7.66B	7.62B
Investing Cash Flow	0.00	-24.48B	-2.48B	-2.72B	-9.56B	-2.35B
Financing Cash Flow	0.00	16.75B	-8.87B	-5.58B	-1.56B	-5.53B

Coforge Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1734.65
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:COFORGE, the sentiment is Positive. The current price of 1734.65 is above the 20-day moving average (MA) of 1673.43, above the 50-day MA of 1695.81, and above the 200-day MA of 1673.64, indicating a bullish trend. The MACD of 10.11 indicates Negative momentum. The RSI at 55.01 is Neutral, neither overbought nor oversold. The STOCH value of 85.58 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:COFORGE.

Coforge Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PERSISTENT	72 Outperform	₹900.20B	53.59	―	0.61%	23.27%	33.09%
LTIM	68 Neutral	₹1.66T	34.11	―	1.96%	8.72%	4.54%
COFORGE	66 Neutral	₹580.41B	58.18	―	0.89%	44.02%	18.92%
KPITTECH	66 Neutral	₹313.69B	38.50	―	0.74%	17.09%	21.20%
MPHASIS	66 Neutral	₹512.61B	29.38	―	2.11%	8.11%	10.73%
LTTS	62 Neutral	₹439.90B	34.40	―	1.33%	14.88%	-2.60%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Coforge Limited Corporate Events

Coforge Limited Releases FY 2024-25 Sustainability Report

Coforge Limited has released its Sustainability Report for the financial year 2024-25, highlighting its commitment to sustainable practices. This announcement underscores Coforge’s dedication to integrating sustainability into its business operations, which may enhance its industry positioning and appeal to stakeholders focused on environmental, social, and governance (ESG) criteria.

Coforge Limited Seeks Tribunal Approval for Amalgamation with Cigniti Technologies

Coforge Limited has filed an application with the National Company Law Tribunal for the approval of a Scheme of Amalgamation with Cigniti Technologies Limited. This move is part of Coforge’s strategic efforts to integrate operations and enhance its market position, potentially benefiting shareholders and creditors.

Coforge Limited Announces Executive Director Resignation

Coforge Limited announced the resignation of Mr. Gautam Samanta as Executive Director, effective October 10, 2025, as he pursues other opportunities. This change in leadership may impact the company’s strategic direction and operations, potentially influencing its market positioning and stakeholder relations.

Coforge Limited Releases Q1 FY26 Earnings Call Transcript

Coforge Limited announced the availability of the transcript for its Q1 FY26 earnings conference call, held after the board meeting on July 24, 2025. This release is part of the company’s compliance with SEBI regulations and provides stakeholders with insights into the company’s financial performance and strategic direction.