Coforge Shares Jump 6% After Strong Q4 Results; Announces Dividend and Stock Split Date – All You Need to Know

The share price of Coforge went up by 6% today, May 6 after the company reported its Q4 numbers and announced a dividend and stock split proposal. Coforge shares soared 6.66% to ₹7,999.00 apiece on the BSE.

The IT major posted a consolidated net profit of ₹261 crore in Q4FY25, up 17% YoY, against ₹223.7 crore in the corresponding quarter a year ago. Revenue from operations surged by 47% YoY to ₹3,409.9 crore, compared to ₹2,318.4 crore in the year-ago period.

The company reported record large deal closure in Q4, with five large deals. Total contract value (TCV) in Q4GY25 clocked at $1.56 billion. Executable order book in the next 12 months stood at $1.5 billion, a 47.7% YoY and a 10.3% QoQ increase.

The board of the company announced a fourth-interim dividend of ₹19 per equity share. The record date for the payment of dividend has been fixed as May 12.

Coforge also announced the record date for its 1:5 stock split, meaning that for every single equity share of the company having a face value of ₹10 each will be divided into five equity shares of ₹2 each fully paid up. The record date for the stock split has been kept on June 4.

Should investors buy Coforge shares?

As per analysts, Total Contract Value (TCV) surged by 174% YoY, while the 12-month executable order book was up by 48% YoY.

“This lays the foundation of a very strong FY26 and reaffirms its growth leadership in the sector. We are tweaking FY26E and FY27E EPS by -2.6% and -2.5% (on divestment impact and lower other income). We continue to value Coforge at 35x FY27E PE,” Nuvama Institutional Equities said.

The brokerage maintained a ‘Buy’ rating on the stock, but slashed the target price to ₹9,400 apiece, from ₹9,600 earlier.

Antique Stock Broking said that Coforge reported strong organic revenue growth along with strong growth outlook commentary for the coming quarters.

The brokerage house said, “Post the strong 4Q results and outlook we increase our FY26 and FY27 EPS forecast by 4% and 3% while we reduce our target P/E multiple to 36x (from 37x) on heightened risk to industry demand outlook. Our valuation multiple for Coforge is at 10% discount to Persistent.”

Keeping the target price unchanged at ₹9,650 apiece, the brokerage maintained a ‘Buy’ rating on the stock.

How have the shares performed?

In the past month, Coforge shares surged by 15%, however, the scrip is down 20% on a year-to-date (YTD) basis. Despite this headwind, shares of Coforge soared 73% in the past year, while surging over 95% in three years. During the five-year timeframe, Coforge shares have given staggering returns worth 437%.

As of 11:07 am, Coforge shares were trading at ₹7620, up 1.78%.