Buy Coforge, target price Rs 4740: Jayesh Bhanushali

Jayesh Bhanushali of IIFL has buy call on Coforge with a target price of Rs 4740. The current market price of Coforge Ltd. is Rs 4546.1 Jayesh Bhanushali recommended to keep stoploss at Rs 4420.

Coforge, incorporated in the year 1992, is a Mid Cap company (having a market cap of Rs 27815.70 Crore) operating in IT Software sector.

Coforge key Products/Revenue Segments include Sale of services and Software Products for the year ending 31-Mar-2022.


Financials
For the quarter ended 31-03-2023, the company has reported a Consolidated Total Income of Rs 2172.60 Crore, up 4.07 % from last quarter Total Income of Rs 2087.60 Crore and up 23.02 % from last year same quarter Total Income of Rs 1766.10 Crore. Company has reported net profit after tax of Rs 116.70 Crore in latest quarter.

The company’s top management includes Mr.Basab Pradhan, Mr.Sudhir Singh, Mr.Hari Gopalakrishnan, Mr.Patrick John Cordes, Mr.Kenneth Tuck Kuen Cheong, Mr.Ashwani Puri, Mr.Kirti Ram Hariharan, Ms.Mary Beth Boucher. Company has S R Batliboi & Associates LLP as its auditors. As on 31-03-2023, the company has a total of 6 Crore shares outstanding.

Investment Rationale
Stock has given a cup and handle breakout.

Promoter/FII Holdings
Promoters held 30.16 per cent stake in the company as of 31-Mar-2023, while FIIs owned 25.4 per cent, DIIs 32.19 per cent.