Athira Sethu
Kochi, 27 Oct 2026
On Monday, Coforge recovered significantly amid steep losses earlier in the day. Shares surged almost 9% from their intraday lows to be up by more than 3% at noon. The recovery was attributed to the fact that brokers’ views on the future prospects of the company continued positive despite the disappointing second-quarter results.
As of 12:45 p.m., Coforge’s shares were trading at around Rs 1,970, up 3.6%. Since the beginning of 2026, the stock gained 18.4%, while the Nifty 50 index fell 13.5%. Coforge’s overall market capitalization stood at about Rs 86,900 crore.
Even though the revenue growth came in below expectations, investors were pleased with good margin metrics and future outlook.
What Are Brokerages Saying About Coforge?
1. UBS Sees More Upside Potential
UBS maintained its Buy rating on Coforge with a target price of Rs 2,460. That would imply an increase of more than 29% over the closing price on Friday.
According to the brokerage, revenue growth was close to consensus expectations, while profit margins slightly exceeded them. Coforge’s revenue grew by 10.9% qoq in constant currency terms.
2. Nomura is Still Bullish
Nomura retained its Buy recommendation and established a target price of Rs 2,300. Nomura emphasized solid new business transactions and improvement in the company’s margins.
The company reported free cash flows of $53.8 million, which indicates that the company has cash after covering its operational and investing requirements.
3. Jefferies is Positive About Robust Growth
Jefferies retained its Buy recommendation and established a target price of Rs 2,230. The brokerage emphasized a 7% rise in the company’s executable order book on the prior quarter.
The bigger order book suggests that the company will have more work lined up in the coming period. Jefferies has revised its earnings estimates by 3% to 5%.
4. Citi is Still Bearish
In contrast to all other brokerages, Citi retained its Sell recommendation with a target price of Rs 1,750. Citi emphasized weaker-than-expected revenue growth and advised investors to keep an eye on future orders and cash flows.
Coforge Q2 Performance
There was a 56.5% YoY jump in the net profit by Coforge that amounted to Rs 588.1 crore. The revenues grew by 53.6% to Rs 6,170.8 crore.
The company’s EBITDA grew by 67.3% to Rs 1,269.7 crore, and the EBITDA margin was at 20.6%.
Moreover, the company revised its guidance for FY27 operating margin to 16% from its previous expectation of 15.5%.
It is due to margins improvement, good business deals, and positive forecasts by several brokers that Coforge stock bounced back. Still, Citi remains conservative on revenue growth.
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