TCS share price in focus after TCS Q4 results, wage hike delay announcement. Is it a stock to buy today?

TCS share price will be in focus on Friday after the IT major announced its Q4 results. TCS announced its financial results for the fourth quarter of FY25, and full financial year 2025, on Thursday, when the Indian stock market was closed on account of holiday. The Tata Group’s IT giant, Tata Consultancy Services (TCS) reported a net profit of ₹ 12,224 crore in the March quarter, recording a fall of 1.

3% from ₹ 12,380 crore, in the previous quarter. The company’s revenue in Q4FY25 rose 0.8% to ₹ 64,479 crore from ₹ 63,973 crore, quarter-on-quarter (QoQ).



Revenue in USD terms fell 1% sequentially to $7,465 million. At the operational level, EBIT during the quarter decreased 0.6% to ₹ 15,601, while EBIT margin fell to 24.

2% from 24.5%, QoQ. Amid the growing macroeconomic uncertainty due to the ongoing tariff war between the US and other countries, the largest IT services company in India, TCS said it was deferring salary hikes for employees starting April.

The hikes will be implemented later in the financial year, once there is greater clarity and the outlook improves, TCS executives said. The Tata Group company also announced a final dividend for the financial year 2025. TCS board declared a dividend of ₹ 30 per share for its shareholders.

Is TCS a stock to buy today? TCS’s Q4FY25 operating performance was weaker than estimates, analysts at Emkay Global Financial Services said. “TCS has seen instances of delays in decision-making and discretionary spend come under heightened scrutiny and pressure recently. We trim our estimates by 1.

8-3%, factoring in the Q4 miss and tariff uncertainty. TCS is well positioned to benefit from its investments in AI and digital capabilities, along with scale and customer contextual knowledge over the medium term; however, macro uncertainties are likely to weigh on near-term growth predictability,” said Dipeshkumar Mehta, Senior Research Analyst at Emkay Global Financial Services Ltd. Emkay Global retains ‘Add’ rating on TCS shares and cut the target price by 10% to ₹ 3,500 apiece at 23x March 2027E EPS as against 25x earlier.

Choice Broking analysts believe there are mixed signals surrounding TCS’ future performance. “While FY26 performance is expected to be better than FY25, ongoing macroeconomic challenges may introduce delays in client decision-making and discretionary spending, which could impact topline growth. Considering these factors, we expect Revenue, EBIT and PAT to grow at a CAGR of 7.

2%, 10.7% and 10.8%, respectively, over FY25-FY27E,” Choice Broking said.

It maintained its ‘Buy’ rating on TCS share price and cut target price to ₹ 3,950 apiece, which implies a PE multiple of 24x (maintained) based on the FY27E EPS of 164.6. TCS share price has dropped 10% in one month, and 20% in three months.

The Tata Group stock has declined 24% in the past six months and fallen 18% in one year. However, TCS shares have rallied 84% in the past five years. On Wednesday, TCS shares ended 1.

44% lower at ₹ 3,246.10 apiece on the BSE . Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.

We advise investors to check with certified experts before making any investment decisions..