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Shares of Tata Consultancy Services (TCS) Ltd. are trading with gains of over 2% on Wednesday, October 8, a day prior reporting its results for the July-September period.
The stock has gained in two out of the three trading sessions so far this week, and are up 4% during this period. Shares of the largest listed Tata Group entity are rebounding from their 52-week low of ₹2,866, which they fell to on October 1 this year.
According to a CNBC-TV18 poll, TCS is likely report a 2% growth in its US Dollar Revenue when compared to the same quarter last year.
In rupee terms, the growth is likely to be 2.5% when compared to the June quarter.
TCS is likely to report revenue growth of 1.2% sequentially in constant currency terms. On the lower end, BNP Paribas has projected a 0.2% growth, while Morgan Stanley expects this figure to be 1.7% from the June quarter. During the June quarter, TCS had reported a decline of 3.3% in its constant currency revenue.
Kotak Institutional Equities is also anticipating a $55 million boost incrementally from the BSNL deal.
EBIT margins for TCS are expected to see a marginal uptick from the June quarter, according to the CNBC-TV18 poll. Nuvama though, expects margins to fall by 50 basis points from the previous quarter due to the ramp up of the BSNL deal and weakness in developed geographies.
Among other key factors to watch include prospects of deal wins going forward, outlook on Europe, where the outlook remains challenging despite multiple mega deal wins, continued recovery in the BFS segment and trends in discretionary spending.
Shares of TCS are trading 1.9% higher at ₹3,030. The stock has recovered its losses over the last one month.
The stock has gained in two out of the three trading sessions so far this week, and are up 4% during this period. Shares of the largest listed Tata Group entity are rebounding from their 52-week low of ₹2,866, which they fell to on October 1 this year.
According to a CNBC-TV18 poll, TCS is likely report a 2% growth in its US Dollar Revenue when compared to the same quarter last year.
In rupee terms, the growth is likely to be 2.5% when compared to the June quarter.
| Metric | Figure | Growth (QoQ) |
| Revenue ($M) | 7,657 | 2% |
| Revenue (₹ Cr) | 64,160 | 2.5% |
| EBIT (₹ Cr) | 15,950 | Flat |
| EBIT Margin (%) | 25 | 19 basis points |
| Net Profit (₹ Cr) | 12,422 | 3.1% |
TCS is likely to report revenue growth of 1.2% sequentially in constant currency terms. On the lower end, BNP Paribas has projected a 0.2% growth, while Morgan Stanley expects this figure to be 1.7% from the June quarter. During the June quarter, TCS had reported a decline of 3.3% in its constant currency revenue.
Kotak Institutional Equities is also anticipating a $55 million boost incrementally from the BSNL deal.
EBIT margins for TCS are expected to see a marginal uptick from the June quarter, according to the CNBC-TV18 poll. Nuvama though, expects margins to fall by 50 basis points from the previous quarter due to the ramp up of the BSNL deal and weakness in developed geographies.
Among other key factors to watch include prospects of deal wins going forward, outlook on Europe, where the outlook remains challenging despite multiple mega deal wins, continued recovery in the BFS segment and trends in discretionary spending.
Shares of TCS are trading 1.9% higher at ₹3,030. The stock has recovered its losses over the last one month.
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