TCS shares hit fresh all-time high; rise 11% in 2024

Shares of Tata Consultancy Services (TCS), the country’s largest software exporter, touched a fresh all-time high on Tuesday amid sustained rally for the last four sessions. The share price of the country’s most valued IT stock has risen 11% in the calendar year 2024, outperforming the BSE benchmark Sensex and BSE IT index. The BSE Sensex has climbed 2% year-to-date (YTD), while the BSE IT index has added nearly 5% since the beginning of the calendar year 2024.

Extending its gaining streak, TCS shares rose as much as 2.6% to scale a new peak of ₹4,229.30 on the BSE today. The IT heavyweight has risen 38% against its 52-week low of ₹3,070.30 touched on April 17, 2023.

Early today, the IT major opened marginally lower at ₹4,117.30 against the previous closing price of ₹4,121.50. At the time of reporting, TCS share price was quoting at ₹4,191.60, up 1.7%, with a market capitalisation of ₹15.16 lakh crore.

Most analysts remain bullish on the stock owing to its resilient business model, strong order book and multiple long-term contracts with the world’s leading brands, as well as its robust capabilities. However, prevailing uncertainties in large economies continue to pose short-term headwinds to the company’s growth prospects.

In an exchange filing on March 7, TCS said it has been recognised as a global top employer by the Top Employers Institute, a global authority that honours excellence in people practices. Employee-centricity is a core value for TCS, which employs a diverse workforce of 603,305 employees in 55 countries representing 153 nationalities (as of December 31, 2023). Women make up 35.7% of its workforce, as per the company.

The global certification follows a series of localised certifications with TCS being named a top employer in 32 countries and regions, including Europe, the U.K., the Middle East, North America, Latin America, and SouthEast Asia.

As per the company, TCS has made significant investments in upskilling initiatives for employees in next-gen competencies. “Over 205,000 TCS associates have been trained in basic competencies of generative artificial intelligence (Gen AI) in the past year. More than 72,000 TCS employees have graduated from the Contextual Masters program, which encourages experienced employees with deep knowledge about the technology landscape and their customer’s businesses to deliver value,” it added.

In the December quarter of FY24, TCS reported 2% year-on-year rise in its net profit to ₹11,058 crore, compared with ₹10,846 crore in the year-ago period. Consolidated revenue increased 4% year-on-year to ₹60,583 crore in the third quarter as against ₹58,229 crore in the corresponding quarter last fiscal. The board of the company also approved a dividend of ₹27 per share, including a special dividend of ₹18 for the financial year 2023-2024. The Bengaluru-based IT company reported a net attrition of 13.3%.

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