TCS shares under pressure after Tata group IT majors Q4 results; Citi, Nomura, Jefferies reduce targets, heres what other brokerages say
TCS share price, dividend: Tata group IT major Tata Consultancy Services shares succumbed to selling pressure on Thursday, a day after the company reported a slightly weak set of Q4 results and announced a final dividend of Rs 24 per share.
TCS share price, dividend: Tata group IT major Tata Consultancy Services' shares succumbed to selling pressure on Thursday, a day after the company reported a slightly weak set of Q4 results and announced a final dividend of Rs 24 per share. TCS shares dropped by as much as Rs 61.1 or 1.9 per cent to Rs 3,181.1 apiece on BSE.
EDITOR'S TAKE | Anil Singhvi recommends buying on decline, profit booking on rise
Zee Business Managing Editor Anil Singhvi pointed out that the Tata group IT major slightly lagged expectations in terms of profit, revenue and margin, but fared marginally better on the new orders front, though "there was no silver lining in terms of new orders".
The market wizard said the TCS management commentary was neutral, "not too good, not too bad".
Read more on what Anil Singhvi recommends on TCS shares after Tata group IT major's Q4 results
What brokerages make of TCS Q4 results
Brokerage | Rating | Target |
CLSA | Outperform | Rs 3,550 |
Morgan Stanley | Equal-weight | Rs 3,350 |
JPMorgan | Underweight | Reduced to Rs 2,700 from Rs 2,750 |
Jefferies | Hold | Reduced to Rs 3,375 from Rs 3,500 |
Citi | Sell | Reduced to Rs 3,000 from Rs 3,030 |
Nomura | Reduce | Reduced to Rs 2,830 from Rs 2,850 |
HSBC | Hold | Reduced to Rs 3,395 from Rs 3,415 |
Macquarie | Outperform | Rs 4,510 |
CLSA said the quarterly performance of TCS was weak but the company's healthy order book reassured its mid-term outlook. The brokerage maintained an 'outperform' rating on the Tata group IT major with a target price of Rs 3,550.
Morgan Stanley reduced its earnings per share (EPS) estimates for the IT company for the two financial years ending March 2025 by up to one per cent.
JPMorgan lowered its estimate on revenue by one per cent and on margin by 20 basis points.
Catch highlights of TCS Q4 results and latest updates on the Indian share market here. For all other news related to business, politics, tech, sports and auto, visit Zeebiz.com.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.