IP
IndiaPulse

Coforge Limited (COFORGE)

Mid Cap

IT stocks · Mid cap · NSE

Coforge is an AI-native engineering services leader, designing, building, and delivering intelligent solutions for clients. It leverages AI and hyperspecialized industry expertise to engineer autonomous enterprises, focusing on outcome-led delivery with secure, governed, enterprise-grade solutions.

₹1,972.8
+1.00 · +0.05%
Quote04 Sept, 03:58 pm IST
Fundamentals05 Sept 2026 · screener
Score05 Sept, 10:20 pm IST · v4.3-runtime-valuation
Tags02 May 2026
Coverage13/14 · 93%
Valuation2026-07-20 · Rf 6.8% · IT P/E 22.6 (n=200)
Data confidence
Fresh enough for analysis
Investor decision lenses

One read, four checks

75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.

Mixed fundamentals, while price trend supports entry. This looks more like momentum/speculation than a clean fundamental investment setup.

Suggested next step
Momentum only
Trend is strong but fundamentals do not support a clean investment thesis.
Weak U-Score but strong trend: momentum may be ahead of fundamentals.
U-Score
FAIR VALUE
47

Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.

Trust
High Trust
85

low confidence · 0/0 claims checked

Technical
Bullish
70

Timing lens: price trend and sector relative strength.

Result consistency
consistent
87

Rolling lens: recent quarterly delivery, not the latest single-result score.

Latest result

Quarter ended 30 Jun 2026

Excellent · 95/100

Rev +49% YoY · PAT +49% YoY · margin expansion · +24% QoQ

Filed 28 Jul 2026
Open results browser →
MetricThis quarterYoYQoQ
Revenue₹5,528 Cr+49.2%+24.2%
EBITDA₹1,058 Cr+83.4%+20.8%
Operating margin19.0%+300 bps-100 bps
PAT₹532 Cr+49.4%-20.1%
PAT margin9.6%+1 bps-535 bps

NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.

Business & thesis

Growth engines, tailwinds/headwinds, and risk radar from management commentary

Business and thesis

Where growth can come from, and what can break the case

Thesis intactReviewed 2026-06-03T19:10:23.520Z
Management commentary snapshot

Coforge delivered 29.2% YoY revenue growth in USD for FY26, with EBIT margin expanding 370 bps to 14.4%. PAT increased 82.1% YoY to $177.4 Mn. Q4 FY26 saw 21.2% YoY revenue growth in USD and 1.7% QoQ, with EBIT margin at an all-time high of 16.6%.

Coforge demonstrated strong financial performance in FY26 and Q4 FY26, driven by robust revenue growth and significant margin expansion. The company's strategic focus on AI-native engineering services, coupled with a strong order book and recent acquisitions, positions it to capitalize on the evolving tech services landscape. Management's confidence in FY27 outlook suggests continued momentum.

Current business mix

Q4 FY26 Revenue by Vertical

Latest issuer-disclosed distribution across 6 reported categories.

Businessmix
Banking and Financial Services24.9%
Insurance14.8%
Travel, Transportation and Hospitality23.4%
Healthcare & HiTech11.5%
Government Overseas7.5%
Others17.9%
Growth engines

AI-Native Engineering Services

Coforge is positioned as an AI-native engineering services leader, leveraging AI for designing, building, and delivering intelligent solutions.

Proprietary AI Assets & Capabilities

Developed 'Coforge OneAI' platform with 60+ vertical solutions, 11K+ AI and data practitioners, and a 'mod-squad' delivery model.

Strategic Acquisitions

Acquisition of Encora accelerated path to AI leadership, strengthening platform, client access, talent base, and industry expertise.

Strong Order Book

Executable order book over next twelve months at $1.75 billion, a 16.4% YoY increase, providing strong revenue visibility.

Capacity and execution

Headcount Growth

Total headcount stood at 35,777, with a net addition of 436 sequentially over the previous quarter.

AI Talent Pool Expansion

30K+ AI-enabled workforce, including 11K+ advanced AI-trained FTEs and a specialized pool of 100+ forward deployed engineers.

Tailwinds

Massive AI Market Opportunity

AI is creating new value pools, unlocking a $160-180B market opportunity growing at 35%+ to hit ~$800B in the next 5 years.

Shift to Outcome-Based Buying

Buyer mindsets are shifting from effort to outcomes, making FTE-based pricing models obsolete and favoring firms delivering measurable business results.

Emergence of New AI-Driven Value Pools

AI managed services, governance, data/integration, and architecture/orchestration are creating recurring, high-margin revenue streams.

Risk radar

Ability to Compete Effectively

A number of factors could cause actual results to differ, including Coforge’s ability to compete effectively.

Attract and Retain Talent

Risk factors include Coforge’s ability to attract and retain enough highly trained employees.

Legal and Regulatory Proceedings

Involvement in any disputes, legal, regulatory, and other proceedings arising out of its business operations could impact results.

Management accountability

What management said, and what results must prove

Management accountability

What management said, and what results must prove

Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.

Analyst reading lens
Compare BOTH

YoY comparison is crucial for assessing overall annual growth and long-term trends in a services business. QoQ comparison is vital for tracking sequential momentum, deal execution, headcount additions, and immediate margin performance in the dynamic IT sector.

Sector KPIs management disclosed

FY26 Revenue (USD)

$1,870 Mn, up 29.2% YoY

FY26 EBIT Margin

14.4%, expanded by 370 bps YoY

FY26 PAT (USD)

$177.4 Mn, up 82.1% YoY

Q4 FY26 Revenue (USD)

$489.1 Mn, up 21.2% YoY and 1.7% QoQ

Management forward view

FY27 Revenue Growth Expectation

Management expects to deliver robust revenue growth in FY27.

FY27 EBITDA Margin Target

Plans to deliver an EBITDA of more than 20.5% on a consolidated basis in FY27.

AI Roadmap for Future Growth

Defined AI roadmap includes expanding AI client base, scaling verticalized agentic workflows, and rigorous talent development.

Thesis monitor

Numbers and claims to verify in the next filings

CheckpointCurrent evidenceWhat to verify next
FY27 EBITDA MarginFY26 EBITDA margin 18.6%; Q4 FY26 EBITDA margin 20.6%Achievement of management's target of 20.5%+ EBITDA margin for FY27.
AI Engagements & RevenueSurge in AI client engagements, strong share of AI-attributed revenue.Continued acceleration of AI-linked revenue and growth in AI TCV bookings.
Executable Order Book Growth$1.75 billion, up 16.4% YoY.Sustained growth in the 12-month executable order book to support future revenue.
Attrition RateLTM attrition rate at 10.8%.Maintenance of low attrition rates, especially for AI-enabled talent, to manage delivery capacity.

Verification checkpoints are IndiaPulse research interpretation, not investment advice.

Technical timing lens

Trend score and candlestick chart

70Bullish

full bull SMA stack · SMA20 +16.7% / mo · MACD − · near 52W high

Stock trend: 79
Sector RS: 57
Sector 3M: +0.1% vs Nifty -1.5%

Technical chart

COFORGEdaily · 1Y · AUTO+71.1%
Latest close ₹1972.80 on 2026-09-04
Bar
-0.5%
RSI
69
MACD hist
-0.83
52W pos
95%
2026-09-04O ₹1982.00H ₹1992.90L ₹1962.40C ₹1972.80Vol 11.1L sh
₹957.45₹1.24k₹1.51k₹1.79k₹2.07k52H52L1972.802026-032026-06VolRSIMACD2026-032026-042026-062026-072026-09
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal

Daily technical trend read

Mixed signals

Signals are conflicting — long-term uptrend intact. RSI 69. Wait for confirmation.

  • Price > SMA20 > SMA50 > SMA200 — full bullish stack.
  • SMA20 rising (~14.3% over last month) — short-term momentum positive.
  • RSI(14) at 69 — falling, no extreme reading.
  • MACD below signal but histogram contracting — bearish momentum easing.
  • Within 3% of 52-week high — testing resistance.

Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.

Nifty 500 leadership

Relative Strength & Trend Stage

88
RS percentile
Stage 2 Uptrend
1M return
+11.1%
3M return
+39.7%
6M return
+78.1%
1Y return
+10.9%
RS 1D
0
RS 20D
+14
Sector rank
#14
Industry rank
#17
Stage evidence
  • Price is 38.4% above the 30-week proxy.
  • The 50-DMA is above the 30-week proxy and its slope is rising +2.1%.
  • Both 3-month and 6-month returns are positive.
50-DMA
price above
200-DMA
price above
Sector
lagging
Industry
neutral
Relative-strength line vs Nifty 500 (base 100)
264 observations
04 Sept 2026Value 117.8+0.05%
668094108121Aug 25Dec 25Apr 26Sept 26118
RS vs Nifty 500118

Valuation & score drivers

U-Score 47 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor

47U-SCORE
Financial Turnaround

Fundamental score breakdown

FAIR VALUE
Valuation0/30
Growth17/25
Quality13/20
Balance Sheet8/15
Cash Flow5/10
Piotroski
8/9 (+5)
Penalties
-1
Raw sum
47

Why this score?

Top U-Score contributors and drags from the latest stored fundamentals.

47/100 · FAIR VALUE

Positive drivers

  • Piotroski is strong at 8/9.
  • Growth contributes 17/25 to the score.
  • Quality contributes 13/20 to the score.

Main drags

  • Penalty bucket subtracts 1 points.
  • Fair-value margin of safety is negative at -19.9%.
  • Valuation is weaker at 0/30; verify the latest quarterly trend.
Sector valuation model

IT valuation: PE and EV/EBITDA against growth and margins

Asset-light IT companies deserve valuation support only when growth, margins, and cash conversion hold up.

IT PE/EVEBITDA
Primary lens
PE and EV/EBITDA relative to revenue growth, margins, and cash conversion.
Secondary checks
Deal pipeline, attrition, dollar revenue growth, FCF yield.
Main risk check
Low PE can reflect weak growth or margin pressure.
PE
45.6
PB
7.0
EV/EBITDA
21.2
ROE
21.4%
ROCE
23.5%
FCF Yield
1.6%
Debt/Equity
0.1
MoS
-19.9%
Score movement

Stored run vs live recompute

This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.

Stored run: 05 Sept 2026
v4.3-runtime-valuation
Final score
47
Previous: 47
Verdict
FAIR VALUE
Previous: FAIR VALUE
Margin of safety
-19.9%
Previous: -19.9%

Score history

12 stored score snapshots. Latest stored move: +0 points.

05 Sept 2026
v4.3-runtime-valuation
54
54
48
48
48
48
48
48
47
47
47
47

Factor attribution

No pillar movement versus the latest stored run. Historical score trend will appear after snapshot storage is enabled.

Modelled fair value

Graham Number
₹557.5
-253.9% MoS
Growth-justified P/E
33.8
Growth-justified Value
₹1,645.49
-19.9% MoS
PEG
1.49

Trust score

Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth

Trust Score
85High Trust · low confidenceTrust Lite

Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.

High Trust: Claim history is still being built. It ranks around the 98th percentile of the scored universe and 97th percentile within IT. No major sub-score weakness stands out.

High Trust Lite: Promoter pledge is zero.

Computed 05 Sept 2026
management-trust-v1
57 docs text-extracted · 20 concalls text-extracted
Score band
High Trust

Management behaviour ranks as unusually reliable. Still verify valuation and cycle risk.

Relative rank
98th percentile

overall median 67 · IT: 97th pctile, median 69 · Mid: 95th pctile, median 76

Evidence depth
Financial-only

57 documents have extracted text, but claim history is not strong enough yet.

Claim delivery
Outcome history still building

0 claims extracted · No contradicted claim yet

How to read this Trust Score

High Trust · low confidence
What it measures
Reliability of management and financial delivery, using financial behaviour only.
Confidence
Treat this as an early read until more concalls and outcomes are matched.
Investor use
Can support position sizing if valuation and trend also agree.

Read Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.

Forensic breakdown

Read low sub-scores as due-diligence warnings, not automatic sell signals.

Promoter
78
strong · holding, pledge, alignment
Cash flow
77
strong · profit to cash conversion
Balance sheet
96
strong · leverage and solvency
Discipline
90
strong · capital discipline
Results
87
strong · quarterly consistency

Trust positives

  • Promoter pledge is zero.
  • FCF yield is positive at 1.6%.
  • 10 years of positive FCF.
  • Debt/equity is 0.08.

Trust risks

  • No major Trust Lite risk flags.

Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.

Financials

Full fundamentals table and 10-year revenue / profit / ROE history

Fundamentals

Valuation

P/E
45.60
P/B
6.95
EV/EBITDA
21.21
Market Cap
87391.00Cr

Profitability

ROE
21.40%
ROCE
23.50%
ROA
11.75%
Dividend Y
0.61%

Growth (CAGR)

Revenue 5Y
29.00%
EPS 5Y
29.00%
Revenue 3Y
27.00%
EPS 3Y
33.00%

Balance Sheet

Debt/Equity
0.08
Interest Coverage
16.22×
Altman Z
9.10
Book Value
284.00

Cash Flow

FCF Yield
1.59%
FCF Positive Y
10/5
OCF
1792.00 Cr
EPS TTM
48.64

Shareholding

Promoter Hold
Promoter Pledge
0.00%
Momentum 52W
95%

Financial History

Updated 5/9/2026

Revenue

₹ Cr
No data

Net Profit

₹ Cr
No data

Return on Equity

%
No data

Peers

Business-comparable names in IT, ranked by similarity

Verify on:NSE India ↗
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.