TCS shares ended at ₹2,077, a slight dip from the flatline, after the firm released its September quarter numbers that matched street forecasts.
48 analysts covering the stock are split: 29 buy, 13 hold, 6 sell. Ratings carry price targets ranging from ₹1,800 to ₹2,630.
JPMorgan keeps an overweight stance, eyeing ₹2,300; Nomura pushes ₹2,630; Goldman Sachs targets ₹2,210, all reflecting a cautious outlook amid muted growth drivers.
Citi and Jefferies maintain sell and underperform ratings, with Citi's target at ₹1,840, the lowest on the street. The firm trimmed FY24 earnings estimates by up to 2% citing low single‑digit revenue growth.
Market sentiment reflects the broader IT sector's softness, with the benchmark Nifty IT falling 0.5% yesterday. TCS's YTD decline of 36% underscores the pressure on the company's valuation.
Looking ahead, TCS plans to lift margins in the second half of the year, but analysts warn that growth will hinge on deal bookings and reinvestment needs. The next earnings call is scheduled for December 14.