TCS: Analyzing India’s Flagship IT Services Company

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TCS Share Price Analysis

Tata Consultancy Services Limited is an Indian IT services company. The firm is the face of technological advancements and IT consulting in the country. TCS, a service-based company fulfills software requirements and includes outsourcing in its business portfolio.

A subsidiary of Tata Sons, the company has grown exponentially over the years in the information technology sector. In this article, we will discuss everything related to TCS to help you make an informed decision.

TCS Financial Analysis

Under the leadership of CEO Rajesh Gopinathan, TCS has 10.09% ownership and 12.47% ownership by Domestic Institutional Investors (DIIs) and Foreign Institutional Investors (FIIs), respectively.

As of 2023, the brand value of the company is at $19.2 billion on a global level following Accenture. The company reported the following results of earnings for the quarter of June 2023. The table also shows the exponential growth in 1 year.

CategoryJune 2023June 2022
Total Income From Operations59,381 crore52,758 crore
Net Profit (Quarterly)11,074 crore9,478 crore
Basic Earnings Per ShareRs 30.26Rs 25.90

TCS Share Analysis

As compared to the last closing price, the TCS share price is trading around Rs 4200+. The stock has a 52-week low of Rs 3056.09 and a high of Rs 4184.75 as of March 2024.

The TTM EPS of TCS is 124 which has increased at a rate of 11.56% whereas the average PE is 33.10. 10 out of 40 analysts recommend buying TCS stocks, 10 recommend holding and only 2 suggest selling the stock.

Also Read: Beginners’ Guide to Online Share Trading in India

Further, TCS has a 5.0% public holding, 72.41% promoter holding and 3.51% Mutual Funds holding as of December 2023.

Moreover, analysts also recommended keeping track of the TCS share price chart, and understanding the regulatory compliances and performance of competitive firms.

Should You Invest in TCS Stocks?

The subsidiary of Tata Sons, TCS has adopted a sustainable approach and adapted to rapid changes in the IT sector. TCS has made consistent profits and can help diversify its portfolio.

Things are looking up for TCS shares as UBS has upgraded its rating from ‘neutral’ to ‘buy’ category. TCS may have the potential to achieve target prices of Rs 4,400 and Rs 4600 in the near future. Therefore, investing in TCS can be beneficial if it matches your investment goals and preferences.

Before investing in any company, it is vital to evaluate factors like your financial health and the company’s as well as the industry position of the company. Understanding the global economic market is crucial to make an informed investment decision.

Bottom Line

TCS is one of the best IT companies in India and is known globally for its services. You should research more about the company before investing in it. If you are looking for a suitable platform, Dhan can be your partner with a wide range of instruments available for trading and investing including stocks, ETFs, Mutual Funds and more.

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