TCS Block Deal: Tata Consultancy Services Shares In Red, Slip 3.76% In 1-Week

Tata Sons divulged plans to sell 2.34 crore shares of IT giant Tata Consultancy Services Ltd at the floor price of Rs 4,001 via block deals to reportedly raise approximately $1.1 billions. Today, TCS shares declined 3.04% till 10:06 am on BSE. Current market price of Tata Consultancy Services shares on BSE is Rs 4018.70 per share. Tata Consultancy Services stock already declined 3.76% in last 1-week span and 1.65% in last 1-month.

The 2.34 crore shares constitute 0.65% equity of IT czar Tata Consultancy Services. The current market capitalisation of Tata Consultancy Services as on March 19, 2024 is Rs 14,53,440 crore. TCS is already India's 2nd most valued listed company after Reliance Industries Ltd (RIL).

As per December 31, 2023 data available, promoters held 72.41% share in TCS, of which Tata Sons held 72.38% stake and remaining stake is held by Tata Investment Corporation. Meanwhile, as per reports available JPMorgan and Citigroup emerged as the joint bookrunners of the proposed share sale.

In last 6-months, TCS shares gained 11.90% and offered rally of 26.89% when Sensex rallied 24.58% and S&P BSE Information Technology rose 28.64%. In last 2-years, Tata Consultancy Services surged over 9% and rallied 32% in last 3-years.

Earlier, according to March 18 BSE filing of the company, "Tata Consultancy Services(TCS) has been ranked the number one IT service provider for customer satisfaction across Europe in Whitelane Research's independent survey of the top IT spending organisations. TCS received the highest ranking in this survey for the 11th consecutive time. TCS also ranks #1 in customer satisfaction in Financial Services (84% vs industry average of 75%) and Manufacturing & Chemicals, Consumer Goods & Pharmaceuticals (81% vs industry average of 76%), according to Whitelane Research."

Earlier this month on March 14, TCS signed an agreement with Nuuday, Denmark's leading digital connectivity and communications provider, to implement a complex cloud transformation. As part of this multi-million-dollar deal, TCS will take full responsibility for Nuuday's IT infrastructure and migrate it to the TCS hybrid cloud, paving the way for future transformations.

Tata Consultancy Services Q3 Results: The company on January 11, 2024 declared its net profit at Rs 11,058 crore for the quarter ended December 31, 2023, up 2% as compared to Rs 10,846 crore in the corresponding quarter of last year. The marginal surge was recorded despite high furloughs BFSI and hi-tech sectors along with continuous slowdown in discretionary spending. On sequential quarter basis, TCS's net profit was down 2.5%. Meanwhile, the consolidated revenue surged 4% YoY to Rs 60,583 for the quarter under consideration from Rs 58,229 crore an year ago, as per the BSE filing of the company.