Newgen Software Share Price Target: IT Stock Matches Infosys, Beats TCS In Financial Strength — Should You Buy Now?

Newgen Software Share Price: Newgen Software Technologies saw strong trading activity recently after the company announced it had received and accepted an award worth USD 2.5 million (approximately Rs 21 crore) for supplying its Enterprise Workflow & Content Management System.

The stock opened at Rs 1,260.00 and climbed to an intraday high of Rs 1,335.70, marking a gain of Rs 75.70, or 6.01% from the opening price. Later, it was trading around Rs 1,244.05, still up by 1.59% on the day.

Newgen Software Share Price History

Over the last five years, Newgen’s stock has delivered exceptional returns of 1,548.09%. Even in the last three years, the stock rose 545.56%, and in the last two years, it gained 274.03%. This shows that the company has a consistent history of wealth creation.

In the last one month alone, the stock has rallied 19.55%, showing renewed buying interest. Over one year, it has gained 42.39%, though it is still down 4.95% over the past six months, suggesting recent volatility.

Newgen currently has a market cap of Rs 17,618.88 crore and is part of the BSE 500 index, which includes some of India’s most actively traded companies.

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Newgen Software Share Price Target 2025

Newgen Software Technologies has been in the spotlight recently with strong stock performance and a major new order. But what do analysts think about its future? According to Trendlyne, the overall consensus recommendation from 5 analysts is a BUY, even though the average target price is Rs 1,180.2, which is about 6.1% below the current trading price.

Stronger Than TCS, Matches Infosys

According to Trendlyne, Newgen Software Technologies Ltd. has a Durability Score of 65, which places it fourth among its peers in terms of financial strength. It is tied with Infosys Ltd. and another company, and ranks just below Wipro Ltd. (75) and Tech Mahindra (80).

This score reflects Newgen’s strong and consistent financial performance, including stable revenues, low debt, and healthy cash flows.

Among major IT players like TCS (60), HCL Technologies (65), Wipro (75), LTIMindtree (55), and Tech Mahindra (80), Newgen stands out as a smallcap company holding its own alongside industry giants.

But Valuation Looks Expensive

Despite strong fundamentals, the Valuation Score is just 16, indicating that the stock is expensively priced at current levels. A high valuation score (above 50) suggests a bargain stock—but Newgen's low score shows that most of its strengths may already be reflected in the share price.

Also, Newgen has spent 92.8% of the time below its current P/E ratio of 56.5, placing it in the P/E Strong Sell Zone. This suggests that the stock is currently trading at a much higher valuation than its historical average, and further upside may be limited in the near term.

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