Nomura has maintained its buy rating on Coforge with a target price of ₹1,900 per share following an in-line Q2FY26 performance that showed steady revenue growth and better-than-expected EBIT margin expansion.
The brokerage said the company’s robust, executable order book provides strong visibility on near- to medium-term revenue growth. It added that EBIT margin normalisation and positive free cash flow generation should alleviate investor concerns after recent volatility.
Nomura raised its FY26–28 EPS estimates by 1–2% and reiterated Coforge as its top pick in the midcap IT space, citing consistent performance, healthy pipeline, and improving profitability profile. The brokerage said the company’s diversified client portfolio, stable attrition, and steady execution make it well-positioned for sustained double-digit growth.
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