February 6, 2023
New Delhi, India
TCS Hits ₹15 Lakh Crore Market Cap
In a landmark achievement, Tata Consultancy Services (TCS), India’s largest IT firm, has crossed the ₹15 lakh crore mark in market capitalization. This milestone solidifies TCS’s position as one of the most valuable companies in India, second only to another Tata Group entity.
Impressive Stock Performance
TCS shares surged by 4% in today’s trading session, reaching an all-time high of ₹4,135 per share. This marks a significant milestone for the company, surpassing its previous peak of ₹4,043. Notably, this surge comes after a year-long period where the stock has shown a remarkable recovery, up nearly 40% from its low point in October.
New Deals Drive Growth
The positive momentum is further fueled byTCS‘s recent business developments. The company secured a major deal with Europ Assistance, a global assistance and travel insurance company, to revamp its IT operating model. This partnership leverages TCS’s expertise and its AI platform, ignio AIOps, to enhance resilience, scalability, and user experience for Europ Assistance.
Additionally, TCS extended its collaboration with Aviva, the UK’s leading insurance provider, to transform Aviva’s UK Life business. This expansion aims to enhance customer experience by leveraging TCS BaNCS-based platform, showcasing TCS’s commitment to global expansion and innovation.
Despite a slight quarter-on-quarter drop in consolidated net profit to ₹11,097 crore in Q3 FY23, mainly due to a one-time charge for a legal settlement, TCS’s year-on-year performance shows a 2% improvement in net profit. This stability reflects the company’s resilience amidst challenges. TCS’s Total Contract Value (TCV) in Q3 stood at $8.1 billion, slightly below the quarterly guidance range, indicating a mixed performance in deal signings.
Tata Group’s Rising Stars
Notably, TCS’s success is mirrored by other Tata Group companies, such as Tata Motors. With its market capitalization crossing ₹3 lakh crore, Tata Motors reclaims its position as India’s most valued automotive company, marking a significant milestone for the group.
TCS‘s achievement of a ₹15 lakh crore market capitalization underscores its resilience, innovation, and strategic partnerships. With continued focus on expanding its global footprint and delivering cutting-edge solutions, TCS remains poised for sustained growth in the dynamic IT landscape.
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