20 hours Ago
Tata Consultancy Services (TCS), India's largest IT firm, saw its share price take a significant fall today, reflecting overall market volatility and sectoral headwinds. At 11:41 AM IST, TCS share price reached ₹3,416.90, down 3.
58% from its last close of ₹3,543.95. As of 11.
48 am, the TCS shares today were trading at ₹3,421.80 with a 3.45% decline: Other key indicators are as follows: Opening Price: ₹3,491.
00 Day's High: ₹3,502.00 Day's Low: ₹3,416.00 (52-week low) 52-Week High: ₹4,592.
25 Trading Volume: 1,564,685 shares Value Traded: ₹53,537.26 lakhs TCS stock fall today is a major development as it reached its lowest price in a year. Macroeconomic factors, sector-wide declines, and investor sentiment moving toward safer assets due to the latest Trump tariffs have also contributed to the fall.
Many factors are driving the fall in TCS's stock price today: The US government recently imposed retaliatory tariffs, creating uncertainty over Indian IT companies. Although IT services were not specifically targeted, nervousness about the higher cost of conducting business and disruption to outsourcing agreements have taken a toll on investor confidence. As TCS gets a large share of its revenues from the US market, the trade tensions have resulted in the sale of its shares.
The Nifty IT index dipped by 3.35% today, showing broader weakness in the industry. Investors fear that global tech spending is declining, especially from US and European clients.
Many companies are slashing IT budgets, putting contract renewals on hold, and trimming discretionary expenditures, and this has reduced demand for TCS's services. Other big IT players such as Infosys, Wipro, and HCL Technologies also experienced falls in their shares. The fall in Nasdaq futures (lower by more than 3%) has revealed inherent weakness in global stocks, particularly those related to the technology sector.
As the Indian IT industry has a high export dependency, negative international market sentiments further lowered investors' confidence in TCS. Though it posted a 6.22% year-on-year (YoY) rise in earnings per share (EPS) to ₹134.
78, TCS is under pressure with regards to its immediate revenue outlook. The BFSI (Banking, Financial Services, and Insurance) as well as the retail segment, which are major contributors to TCS's revenue, are witnessing weak growth. This has prompted concerns that the company's strong earnings momentum would be unsustainable over the next few quarters.
Brokerage firms like Motilal Oswal Financial Services have recently downgraded the sector on tech stocks , including TCS. Uncertain growth opportunities and overvaluation were the reasons according to analysts, which led to a negative sentiment among investors. Although expert sentiments are mixed with about 38% suggesting a BUY rating the other 50% are divided between OUTPERFORM and HOLD ratings.
Ultimately, it all depends upon the investor’s risk appetite. TTM EPS (Trailing Twelve Months Earnings Per Share): ₹134.78 (+6.
22% YoY growth) TTM PE Ratio: 25.39 (Below the sector average of 31.28) P/B Ratio: 12.
20 (Reflects premium valuation) Dividend Yield: 2.13% (Greed for long-term investors) Market Cap: ₹1,237,964 crores Although TCS is selling at a lower price-to-earnings (PE) ratio than its peers in the industry, its price-to-book (P/B) ratio of 12.20 indicates that it is still overvalued compared to its book value.
Despite the fall on the day of writing, TCS remains a good dividend-paying stock, and thus it is attractive to investors interested in long-term gains. TCS's 3.58% fall today, a 52-week low of ₹3,416.
00, shows broader market issues, not company-specific problems. With increasing US tariffs, soft global IT demand, and sector downgrades, volatility in the short term can be expected. The good fundamentals and decent valuations of TCS, however, mean that the current drop can be a point of strategic entry for long-term investors.
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