ScoreWhy is Coforge Ltd ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 20.77%
- Healthy long term growth as Net Sales has grown by an annual rate of 22.45%
- Company has a low Debt to Equity ratio (avg) at 0 times
2
Positive results in Dec 24
- OPERATING PROFIT TO INTEREST(Q) Highest at 13.63 times
- CASH AND CASH EQUIVALENTS(HY) Highest at Rs 1,540.60 cr
- DEBT-EQUITY RATIO(HY) Lowest at 0.18 times
3
Stock is technically in a Mildly Bearish range
- The technical trend has deteriorated from Sideways on 09-Apr-25 and has generated 1.25% returns since then
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
4
With ROE of 13.2, it has a Very Expensive valuation with a 7.1 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 12.59%, its profits have risen by 3.6%
5
High Institutional Holdings at 90.41%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Coforge should be less than 10%
- Overall Portfolio exposure to IT - Software should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in IT - Software )
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Coforge for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Coforge
12.33%
0.33
38.50%
SENSEX
0.45%
0.03
14.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
22.45%
EBIT Growth (5y)
15.79%
EBIT to Interest (avg)
16.50
Debt to EBITDA (avg)
0.44
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
1.91
Tax Ratio
25.20%
Dividend Payout Ratio
56.36%
Pledged Shares
0
Institutional Holding
90.41%
ROCE (avg)
29.92%
ROE (avg)
20.77%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
55
Industry P/E
26
Price to Book Value
7.09
EV to EBIT
37.32
EV to EBITDA
27.17
EV to Capital Employed
7.91
EV to Sales
3.74
PEG Ratio
NA
Dividend Yield
1.18%
ROCE (Latest)
21.15%
ROE (Latest)
13.18%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend14What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 13.63 times
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 1,540.60 cr
DEBT-EQUITY RATIO(HY)
Lowest at 0.18 times
NET SALES(Q)
At Rs 3,318.20 cr has Grown at 30.8 %
PBDIT(Q)
Highest at Rs 443.00 cr.
PBT LESS OI(Q)
Highest at Rs 283.70 cr.
-3What is not working for the Company
ROCE(HY)
Lowest at 17.34 %
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.23 times
Loading Valuation Snapshot...
Here's what is working for Coforge
Net Sales - Quarterly
Highest at Rs 3,318.20 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 13.63 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales - Quarterly
At Rs 3,318.20 cr has Grown at 30.8 %
over average Net Sales of the previous four quarters of Rs 2,536.23 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 443.00 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 283.70 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 1,540.60 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio - Half Yearly
Lowest at 0.18 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Coforge
Debtors Turnover Ratio- Half Yearly
Lowest at 4.23 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 59.60 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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