Coforge Earnings Preview: SEBI RA Sees Buying Opportunity Even As Near-Term Charts Flash Caution

Coforge is expected to report a significant increase in top and bottom-line quarterly figures on Wednesday.  According to reports, the IT services company’s net profit is estimated to more than double in Q1FY26, while sales are expected to grow between 40% and 55% on an annual basis.

Ahead of the results, the stock was trading marginally lower at ₹1,853.30.

From a technical standpoint, Coforge is showing signs of short-term weakness, struggling to clear a minor resistance zone on the hourly chart, said SEBI-registered analyst Deepak Pal.

The stock remains below its 20-day and 50-day exponential moving averages (EMA), while the 100 EMA acts as a key resistance, reinforcing the lack of bullish momentum. On the daily timeframe, it faces pressure near the 14-day EMA around ₹1,900, Pal added.

The analyst believes that a decisive breakout above the ₹1,875 ₹1,885 range is essential for any sustained upward move. On the downside, the ₹1825 - ₹1830 zone serves as immediate support.

If Coforge stock dips toward the ₹1,820-₹1,825 range, it could present a buying opportunity; however, a strict stop-loss at ₹1,790 should be placed, the analyst recommended.

However, technical indicators, including the Parabolic SAR, moving average convergence/divergence (MACD), and the relative strength index (RSI), suggest caution, with bearish bias and limited upside strength unless a breakout occurs, Pal said.

Coforge operates globally across key verticals like BFSI, healthcare, and the public sector, with a growing focus on digital transformation, cloud, automation, and AI-based solutions.

Its operational figures are promising. Coforge has consistently posted revenue growth and healthy operating margins of 15 - 18%, supported by strong client retention and a robust order book.

While near-term risks include macroeconomic uncertainties and currency volatility, Coforge’s solid financials, stable promoter holding, and long-term digital demand position it well for sustained growth, the analyst said.

Retail sentiment on Stocktwits remained ‘bearish’, tracking the stock’s weak outlook in the short term.

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