Tata Group’s IT flagship, Tata Consultancy Services Ltd. (TCS) has zoomed past Accenture in a bid to secure top spot once again as TCS’s shares closed at ₹3290.20 on the Sensex today, down 0.40% from it’s last close. Monday’s close of trade saw TCS’s valuation standing at $169.25 Billion compared to Accenture’s market cap at $168.68 Billion as data released by Bloomberg suggests.
TCS’s position in the domestic market has had a strong growth factor as well, surpassing Reliance Industries Ltd. in terms of market capitalisation TCS became the most-valued firm in the country. As of today’s close, TCS’s market capitalisation was hovering at ₹12,34,609.62 Cr. compared to Reliance Industries Ltd. (RIL)’s reporting of ₹12,29,661.32 Cr as per BSE data.
As indicated in TCS’s annual statement as well, 2020 was saw one of TCS’s strongest Q3 reporting a 7% Year-on-Year growth for it’s consolidated net profit of ₹8,701 Cr. for Q3 FY2020 contrasting with the consolidated net profit recorded at ₹8,118 Cr. for Q3 FY 2019. Significant growth was also observed in terms of revenue where Q3 revenues rose 5.42% Year-on-Year to ₹42,015 Cr. compared to ₹39,854 Cr. in 2019.
The company has returned to positive growth zone on Yoy basis and management is confident of regaining double-digit growth trajectory
This however would not be the first time TCS has grossly outperformed it’s competition. Back in April 2018 TCS attained the $100 Billion valuation mark overtaking Accenture’s top spot in the market. TCS bore the brunt of losses in the earlier quarters of 2020 as the unprecedented lockdown was coming into effect. However, to the due credit of management the company managed to secure large deals in the emerging field of Cloud Computing, Artificial Intelligence, and I.O.T. as more and more businesses were forced to move their operations online. This sector wide rebound was successfully capitalised by TCS as signified by it’s reported $6.8 billion worth of deal wins quarter ending December 2020.