Obermatt

Tata Consultancy Services

NSI:TCS · INE467B01029
IT ServicesXX-Large

360

74
EV / EBIT59
Price / Owner Earnings52
Owner Earnings Yield54
Dividend Yield89
Price/Sales25
EV / Gross Profit36
Price/Book11
Return on Capital97
Cash Return on Capital94
Return on Equity94
EBIT Margin98
Gross Profitability98
Cash Conversion19
Accruals16
Owner Earnings Margin96
Sales growth33
Profit Growth100
Long-Term EPS Growth47
Owner Earnings Growth33
Reinvestment53
Price momentum9
Debt load64
Refinancing56
Debt Payback100
Liquidity88
Analyst ratings31
Opinion Changes50
Price Target Upside74
Market mood49
Value Creation12/20creating some value
  • Creates more value than its capital costs
  • Owner earnings growing
  • Owner earnings per share growing
  • Reinvests at strong returns
  • Solid earnings base

What this means

Tata Consultancy Services clears its cost of capital, but the record is mixed across the five tests. Real value creation, just not yet consistent.

Profile

CountryIndia
IndustryIT Services
SizeXX-Large
TypePublic Company
ExchangeNSEI
Founded1995
Employees522,178
Websitetcs.com
ISININE467B01029
Last UpdateApr 2, 2026
Themes
Process AutomationCloud InfrastructurePaaSPredictive AnalyticsCloud Data ServicesArtificial IntelligenceMachine LearningSmart CitiesCloud ManagementGovTechConsultingInformation ServicesInformation TechnologyProfessional Services

Description

Tata Consultancy Services Limited provides information technology (IT) and IT enabled services. Business Segments The company operates in several business segments that encompass a broad range of IT services, consulting, and solutions tailored to m…

Analysis

Quality compounder

Tata Consultancy Services Limited earns the quality_compounder label: good underlying economics priced fairly, with no obvious bargain or excess. Worth noting: the cash the business generates has lagged behind what the income statement shows.

On valuation, the picture is attractive. The owner-earnings multiple stands at 14.6×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around 2% a year, against analyst forecasts of 7%. The price, in other words, assumes less than the experts do.

Growth is moderate; the safety picture is sturdy. The company scores 12/20 on our value-creation score: creating some value.

Flags to be aware of: Reported profits have run ahead of actual cash for several periods. As always: this describes the company's numbers; it is not a recommendation.

360° rank · history

1007550250
80
2023202420252026

All-time high

80

Jun 2026

All-time low

8

Oct 2025

Average rank

44

across all years

Detailed & Historical Ranks

Deep dive into 15 detailed ranks and 3 years of history.

Current202520242023
Price/Sales
25
31
30
28
Price/Earnings
65
44
41
46
Price/Book
11
5
8
10
Dividend Yield
89
88
70
71
Value (overall)
49
40
33
34

Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.

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Make Sense of the Ranks

Every rank runs 1–100 against true peers. Higher is always better.

360° View
1 · Watch OutGood· 100
Value
1 · ExpensiveGood Value· 100
Quality
1 · Weak FundamentalsHigh Quality· 100
Growth
1 · Tough TimesHigh Growth· 100
Safety
1 · High LeverageWell-Financed· 100
Sentiment
1 · SkepticismPositive· 100
Learn More →