TCS set to become first Indian company with $100 billion market cap
Tata Consultancy Services moved closer to the $100 billion mark in market capitalisation as its share price surged nearly seven% on Friday, adding about $6.2 billion to its valuation.
The IT major is set to be the first listed Indian company to achieve this milestone.
Led by the smart rally in the stock, the company’s market cap moved up by Rs 41,300.92 crore to Rs 6,52,082.92 crore ($98.8 billion). This is Rs 7,917.08 crore short of the $100 billion mark.
TCS market valuation had in January 24 this year surged past the Rs 6 lakh crore mark.
The stock jumped 6.76% to settle at Rs 3,406.40 on BSE today. During the day, it soared 7.22% to its 52-week high of Rs 3,421.25.
On NSE, shares of the company rose sharply by 6.62% to close at Rs 3,402.45.The stock was the biggest gainer on both Sensex and Nifty.
In terms of equity volume, 7.72 lakh shares of the company were traded on BSE and over 92 lakh shares changed hands on NSE during the day.
TCS is the leading the chart as the most valued firm followed by Reliance Industries Ltd (Rs 5,87,929.90 crore), HDFC Bank (Rs 5,08,884.23 crore), ITC (Rs 3,36,777.52 crore) and HUL (Rs 3,17,211.69 crore) in the top-five list.
“TCS reported better-than-expected quarterly numbers,” Emkay Global Financial Services said in a report.
Buying was also seen in other IT counters, with Tech Mahindra rising 5.34%, HCL Technologies 4.67%, Infosys 4.02% and Wipro 2.31% on BSE.
Led by the sharp gains in these stocks, the BSE IT index gained 4.80% to end at 13,335.13.
Stating that fiscal 2017-18 has been a “sobering year” on slower revenue growth, the nation’s largest software exporter TCS ca 4.4% rise in March quarter net profit at Rs 6,904 crore.
The Tata group flagship, which contributes around 85% of the group’s profit, reported a revenue growth of 8.2% at Rs 32,075 crore for the three months to March. In dollar terms, the company had its highest revenue growth in 14 quarters at 11.7%.
It also announced a 1:1 bonus of shares and a dividend of Rs 29 a share, taking the total payout to shareholders at Rs 50 for the year. It has given out close to Rs 26,000 crore to the shareholders in dividends and bonuses in the year.