UBS
UBS has initiated coverage with a “neutral” rating on Coforge and has a price target of ₹1,240 per share, an upside potential of 13.8% from its previous close.It said Coforge has consistently delivered strong growth, driven by execution, with organic growth between 13% – 15% over FY24-25.
UBS estimates the company’s revenue to grow at a compounded annual growth rate (CAGR) of 15% over financial year 2026-2028.
Shares of Coforge have corrected 35% so far already in 2026, with the price-to-earnings growth ratio declining to 0.8 times, which UBS finds attractive.
However, it has some concerns:
- Acquisitive nature of the company (concerns persist around dilution and integration).
- Relatively weaker positioning for GenAI as per VECTOR framework.
Hence, UBS said it believes the risk-reward seems balanced as of now.
Motilal Oswal
Motilal Oswal has a “buy” rating on Coforge with a price target of ₹1,880 per share.It said since the US-Iran conflict started, the stock has declined between 9%-10% and 45% from its peak. It has underperformed some of its midcap peers by 2%-9%.
Motilal Oswal said Coforge seems to have two disadvantages compared to its peers:
- Relatively higher exposure to the travel vertical compared to its peers.
Middle East exposure. - Even so, the brokerage believes the stock is currently pricing in an extreme bear-case scenario.
At the current levels, Coforge’s valuations appear attractive — at 19x and 15x the estimated financial year 2027 and financial year 2028 price-to-earnings.
Of the 39 analysts who have coverage on the Coforge stock, 30 have a ‘buy’ rating, three have a ‘hold’ rating and six have a ‘sell’ rating.
Coforge shares were trading flat at ₹1,090 apiece around 11.36 am on Monday. The stock has declined 15.5% in the past month and 34.6% in the last six months.
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