Coforge share price: Shares of Coforge Ltd fell as much as 10 per cent to ₹4505.25 today (May 3) after the company announced its quarterly earnings for the March 2024 quarter, dividend and acquisition plans of Cigniti Technologies.
Coforge Q4 results
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Coforge reported a consolidated net profit of ₹223.7 crore for the quarter ending on March 31, 2024 which is up 94.86 per cent on a year-on-year (YoY) basis compared to a profit of ₹114.8 crore in the year-ago period. Consolidated revenue from operations of ₹2,358.5 crore is also up 8.7 per cent YoY from ₹2,170 crore. The board of the company recommended an interim dividend of ₹19 per share.
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Nirmal Bang on Coforge
Nirmal Bang noted, “Coforge is among the top quartile performers in the industry in FY24 on organic growth and can repeat this in FY25, we believe it should be valued at 26.1 times March 2026 EPS. We reiterate ‘Accumulate’ with a target price of ₹5,602. This is among the highest target PE multiples for Tier-2 companies as we expect faster-than-peer growth and ROICs.”
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Nuvama Institutional Equities on Coforge
Nuvama Institutional Equities said that the management refrained from giving any quantitative guidance, which we believe is due to uncertainty of execution. The brokerage noted, “We cut FY25E and 26E EPS by on lower growth and cut target multiple to 27 times from 30 times on acquisition led derating, yielding target price of ₹5,850 from ₹7,000 earlie.”
{{/usCountry}}Nuvama Institutional Equities said that the management refrained from giving any quantitative guidance, which we believe is due to uncertainty of execution. The brokerage noted, “We cut FY25E and 26E EPS by on lower growth and cut target multiple to 27 times from 30 times on acquisition led derating, yielding target price of ₹5,850 from ₹7,000 earlie.”
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