Mid Cap IT Stock Set To Consider Results, Dividend On July 22; Shares Gain 280%

Mid cap IT software company Coforge Ltd informed BSE about its upcoming meeting of Board of Directors scheduled to be held on July 22, 2024 to consider financial results for quarter ended June 30, 2024 and interim dividend, if any. Current market price of Coforge Ltd share on BSE is Rs 4953.25 per share with intraday fall of 1.34%. Coforge shares gained 10.52% in last 1-month and witnessed decline of over 23% in last 3-months. Earlier, Board of Directors on May 2, 2024 recommended an interim dividend of Rs 19/share and set May 15, 2024 as the record date.

It is worth noting that Life Insurance Corporation Of India (LIC) has 6.22% stake in Coforge with 3,845,945 shares. Meanwhile, Sbi Life Insurance Co. Ltd has 1.80% stake with 1,111,620 shares and HDFC Life Insurance Company Limited has 1.72% stake in the company with 1,061,824 shares. Check key details below:

Coforge To Consider Results, Dividend: As per the BSE filing of the company dated June 3, "the meeting of Board of Directors of the Company is scheduled to be held on Monday, July 22, 2024, inter alia, to consider and approve the un-audited consolidated and standalone financial results of the Company for the quarter ended June 30, 2024. The Board of Directors will also be considering the proposal of the payment of Interim Dividend, if any, for the Financial Year 2024-25 and will determine the Record date for the purpose of the Interim Dividend, if approved."

Coforge Shares Performance & Return: The 52-week high price of Coforge stock on BSE is Rs 6840.00 per share (as on 19/02/2024) and 52-week low price is Rs 4291.05 per share (as on 09/05/2024), respectively. The company has a market capitalisation of Rs 33,033.50 crore. Coforge shares fell 20% year-to-date, fell over 12% in last 6-months, gained over 7% in last 1-year, zoomed 32% in last 2-years, and offered attractive returns of 280% in last 5-years.

Coforge Q4 Results: The IT company declared consolidated net profit at Rs 223.7 crore for the quarter ending March 31 for Q4 FY2024, up 94.86% as against Rs 114.8 crore announced in the corresponding quarter of last year. Sequentially, profit fell by 2.8% from 238 crore declared in Q3. Coforge for the entire financial year, announced the consolidated net profit at Rs 808 crore, up 16.4% as against Rs 693.8 crore declared in the corresponding quarter of last year.

Consolidated revenue from operations for the March 2024 announced at Rs 9,179 crore, up 14.5% year-on-year (YoY) from Rs 8,014.6 crore. Order intake for the entire financial year surged 56% YoY at $1.9 billion, as per the company's BSE filing. Total headcount of the global firm stood at 24,726, with last-twelve-month (LTM) attrition at 11.5%, improved by 60 basis points quarter-on-quarter and 258 basis points year-on-year. EBITDA margin for the quarter was 19%, up 105 basis points sequentially.

Coforge Dividend History: Coforge announced 30 dividends since July 15, 2005. In last 1-year, Coforge Ltd announced an equity dividend amounting to Rs 76.00 per share. At the current share price of Rs 4953.25, Coforge Ltd offers a dividend yield of 1.53%.

Coforge Technical: Score is 40.6, stock is technically neutral. Stocks with score above 70 are considered as technically Strong and below 35 are considered weak. RSI is 49.1, RSI below 30 is considered oversold and above 70 overbought. MFI is 74.1, MFI above 70 is considered overbought. This implies that stock may show pullback. FII/FPI have increased holdings from 34.04% to 35.00% in March 2024 quarter. Number of FII/FPI investors increased from 430 to 456 in March 2024 quarter. Institutional Investors have increased holdings from 89.06% to 89.29% in March 2024 quarter.

Should You Buy Coforge Shares? Choice Broking recommended buy call with revised target price of Rs 6007 per share. JM Financial suggested buy call but downgraded the target price to Rs 5570 from 6940 previously. Nuvama also sought to downgrade the target price to Rs 5,850 from Rs 7000.

About: Coforge is a global digital services and solutions provider, that leverages emerging technologies and deep domain expertise to deliver real-world business impact for its clients. A focus on very select industries, a detailed understanding of the underlying processes of those industries and partnerships with leading platforms provides us a distinct perspective.

Disclaimer: The stock has been picked from the brokerage report of Nuvama, Choice Broking, and JM Financial. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.