Robust Call Option Activity Highlights Investor Optimism
The most active call option for Coforge Ltd is the 1400 strike price expiring on 24 February 2026, with a substantial 8,052 contracts traded. This activity generated a turnover of ₹736.15 lakhs, reflecting significant investor interest in leveraged bullish positions. Open interest stands at 3,907 contracts, indicating sustained commitment to this strike price as the expiry approaches.
The underlying stock price closed near ₹1,384.10, just shy of the 1400 strike, suggesting that traders are positioning for a potential upside breakout in the near term. The volume and turnover in call options at this strike price are among the highest in the sector, underscoring Coforge’s prominence in current market speculation.
Price Action and Technical Context
On 19 February 2026, Coforge Ltd opened with a gap up of 2.49%, reaching an intraday high of ₹1,418, a 3.29% increase from the previous close. This rebound follows two consecutive days of decline, signalling a possible trend reversal. However, the stock remains trading below its key moving averages – 5-day, 20-day, 50-day, 100-day, and 200-day – which may temper enthusiasm among technical traders.
Delivery volume on 18 February was 12.28 lakhs shares, but this figure has dropped sharply by 60.31% compared to the five-day average, indicating a decline in investor participation despite the price uptick. Liquidity remains adequate, with the stock supporting trade sizes up to ₹16.67 crores based on 2% of the five-day average traded value.
Fundamental and Market Positioning
Coforge Ltd holds a market capitalisation of approximately ₹46,096 crores, categorising it as a mid-cap stock within the Computers - Software & Consulting industry. The company’s Mojo Score currently stands at 50.0, with a Mojo Grade of Hold, downgraded from Buy on 6 February 2026. This adjustment reflects a more cautious outlook amid mixed technical signals and sectoral pressures.
Despite the downgrade, the stock’s one-day return of 0.93% outperformed the sector’s 0.71% gain and the Sensex’s marginal decline of 0.13%, suggesting relative resilience. Investors appear to be weighing the company’s medium-term prospects against near-term volatility, as evidenced by the active call option positioning.
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Expiry Patterns and Investor Positioning
The 24 February expiry date is a focal point for options traders, with the 1400 strike call option attracting the bulk of activity. This expiry is less than a week away, intensifying speculative positioning as investors anticipate a potential price move above this level. The high open interest suggests that many traders are either holding onto bullish bets or preparing to roll positions forward depending on price action.
Such concentrated activity in call options often precedes significant stock moves, as traders leverage options to capitalise on expected volatility. The strike price being close to the current market price indicates a moderately optimistic outlook, with investors expecting the stock to breach this level to realise gains.
Sectoral and Market Context
The Computers - Software & Consulting sector has shown steady performance, with Coforge’s price action largely in line with sector trends. The company’s recent performance, including the slight outperformance relative to the Sensex, reflects investor confidence in its business model and growth prospects despite broader market uncertainties.
However, the stock’s trading below all major moving averages signals caution, as it suggests the stock has yet to establish a sustained upward momentum. Investors should monitor volume trends and delivery participation closely, as these will provide clues on the sustainability of the current rebound.
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Investor Takeaway and Outlook
For investors tracking Coforge Ltd, the surge in call option activity at the 1400 strike price ahead of the 24 February expiry is a clear indicator of bullish positioning. While the stock’s technical indicators remain mixed, the market’s optimism is evident in the volume and turnover of call contracts.
Given the stock’s current trading below key moving averages and the recent dip in delivery volumes, cautious investors may prefer to wait for confirmation of a sustained uptrend before increasing exposure. Conversely, traders with a higher risk appetite might view the active call option interest as an opportunity to capitalise on potential short-term gains if the stock breaches the 1400 level.
Overall, Coforge Ltd remains a stock to watch closely in the coming days, with option market dynamics providing valuable insight into investor sentiment and potential price trajectories.
Summary of Key Metrics:
- Market Cap: ₹46,096 crores (Mid Cap)
- Mojo Score: 50.0 (Hold, downgraded from Buy on 6 Feb 2026)
- Most Active Call Option: Strike ₹1400, Expiry 24 Feb 2026
- Contracts Traded: 8,052
- Turnover: ₹736.15 lakhs
- Open Interest: 3,907 contracts
- Underlying Price: ₹1,384.10
- Day’s High: ₹1,418 (3.29% gain)
- Delivery Volume (18 Feb): 12.28 lakhs (-60.31% vs 5-day avg)
Investors should continue to monitor both the stock’s price action and option market activity for further clues on Coforge’s near-term direction.
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