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Coforge Share Price: Coforge Ltd shares surged over 4 per cent on Monday in the early trading session to Rs 1,842.35 on the BSE after the IT services firm reported a strong set of numbers for the September quarter (Q2 FY26), beating Street expectations on both profit and margins.

The rally came as top brokerages, including JP Morgan, Morgan Stanley, and Jefferies, raised their target prices, projecting further upside of up to 40 per cent from current levels.

Coforge Q2FY26 Update

The company’s consolidated net profit rose 86 per cent year-on-year to Rs 376 crore for the quarter ended September 2025, driven by robust deal wins and improved execution.

Revenue from operations climbed 31.7 per cent YoY to Rs 3,985.7 crore, supported by large deal momentum. Five major contracts were signed during the quarter.

Sequentially, profit rose 18.4 per cent, while the EBIT margin expanded to 14 per cent, up 251 basis points QoQ and 240 bps YoY.

Coforge’s board also announced an interim dividend of Rs 4 per share, with October 31, 2025, set as the record date.

Coforge Share Price Target

At the current market price of Rs 1,842, the average brokerage target of Rs 2,063 suggests an upside potential of about 12 per cent, while the most bullish estimate from JP Morgan implies gains of up to 36 per cent.

JP Morgan maintained its Overweight rating and hiked its target price to Rs 2,500 (from Rs 2,400), highlighting the company’s improved margins and cash flow compared to last quarter.

The brokerage said management commentary suggests a stronger second half of FY26, supported by a robust deal pipeline and stable 14 per cent EBIT margins.

Morgan Stanley echoed a similar sentiment, retaining an Overweight call with a revised target of Rs 2,030. The firm said Coforge’s “all-around performance” has eased investor concerns, with good visibility for growth and margins in H2.

Jefferies maintained a Buy rating with a raised target of Rs 2,180, noting that margin expansion and strong free cash flow conversion were positive surprises. It expects a 20 per cent CAGR in EPS for FY26–28, underpinned by consistent execution and a healthy order book.

Nomura also reiterated its Buy call with a target of Rs 1,900, terming Coforge its top pick in the midcap IT space due to its strong executable order book and improving cash flows.

CLSA remained Accumulate with a target of Rs 2,275, while HSBC retained a Hold rating with a target of Rs 2,025. Citi was the only brokerage with a cautious view, maintaining a Sell rating and a target of Rs 1,530, citing softer revenue growth in dollar terms

Anubhav Maurya is a Senior Sub-Editor at Zee Business, focusing on the stock market, personal finance, corporate news, and related sectors.

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