Target: ₹1,401
CMP: ₹1,138.35
Cigniti Technologies Ltd has emerged as a global leader in delivering comprehensive quality assurance and software testing solutions. Within the digital assurance landscape, Cigniti stands among the leading industry players and holds a notable position within the global top three for independent testing.
The company has over 300 clients, spanning industries like BFSI, Retail, Travel, Healthcare, and Energy, across five continents. Cigniti specializes in Digital Assurance, Quality Engineering, and Quality Assurance services, playing a pivotal role in guiding enterprises toward delivering transformative digital experiences.
In a strategic move, the company has extended its footprint into the rapidly growing Digital Engineering segment, capitalizing on synergies with its existing digital assurance business, thereby also facilitating cross-selling opportunities.
We believe that Cigniti’s shift towards moving up the value chain and integrating new offerings along with the strategy of client mining and cross selling can result in significant growth. Therefore, we initiate a coverage on Cigniti, with a Buy rating at 16x PE multiple and estimating a target price of ₹1,401.