|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||2,118.00 - 2,183.80|
|52 Week Range||1,784.50 - 2,296.20|
|Beta (3Y Monthly)||0.51|
|PE Ratio (TTM)||25.23|
|Earnings Date||Jan 9, 2020|
|Forward Dividend & Yield||32.00 (1.52%)|
|1y Target Est||2,122.44|
Tata Consultancy Services' Machine-First™ Delivery Model to Drive Enterprise Agility and Competitive Advantage NEW YORK and MUMBAI, India , Nov. 13, 2019 /PRNewswire/ -- Tata Consultancy Services (TCS) ...
Analysts trimmed their 2019 earnings forecasts for Asian companies by a smaller margin over the past month, Refinitiv data showed, as optimism for the Sino-U.S. trade deal soothed some nerves. Over the past 30 days, analysts have lowered earnings outlook for Asia's large and mid-cap firms' by 0.1% due to slowing economic growth in the region, the data showed. "Declining commodity prices and weak consumer sentiment point to earnings revision weakness in Australia," said Goldman Sachs in a report this month, adding that its Asia-ex-Japan economic sentiment index has fallen further, which may indicate lack of confidence in the economy.
Asian stocks saw a rise in valuations in October as equities surged on signs that Washington and Beijing were nearing a truce in their 16-month-long trade war amid upbeat third-quarter earnings by heavyweights. U.S. President Donald Trump announced a "Phase 1" trade agreement on October 11, and has said he hoped to sign the deal with China's President Xi Jinping in November at a summit in Chile. Due to the rise in the P/Es, regional shares are catching up with the valuations of their global peers, Refinitiv data showed.
Tata Consultancy Services Recognized for Deep Technical Finesse and Structured, Mature Approaches to Assessing Processes, Identifying Opportunities and Developing Automation Factories NEW YORK and MUMBAI, ...
Tata Consultancy Services' Platform to Streamline Fragmented Loyalty Programs and Provide a Simple and Frictionless Experience to Customers NEW YORK and LONDON and MUMBAI, India , Oct. 23, 2019 /PRNewswire/ ...
(Bloomberg) -- The dust had barely settled at Infosys Ltd. when Asia’s No. 2 software services firm once more found itself grappling with a potential leadership crisis.For the second time in about as many years, the Indian icon synonymous with the country’s technological ascendancy is being forced to answer accusations of impropriety. In the most recent of a stream of grievances aired anonymously over past years, whistle-blowers accused Chief Executive Officer Salil Parekh of instigating employees to inflate profits, mis-represent the lucrativeness of deals, even of abusing travel privileges. In a memo reproduced in local newspapers, Parekh’s accusers offered emails and recordings to back up their claims.Little evidence of wrong-doing has emerged publicly so far. Infosys pledged a full investigation Tuesday, while Parekh himself has remained silent. Yet investors blind-sided by the sheer volume of the charges wiped more than $7 billion off the company’s market value in a single day. They may still be smarting from 2017, when internal upheaval eventually sparked an ouster of the popular Vishal Sikka, paving the way for Parekh’s ascension and a board reshuffle.“The allegations appear serious and reputation is such a fragile thing,” said Harish Bijoor, a Bangalore-based brand consultant. “It is very unfortunate but this type of thing besmirches a company’s reputation in the eyes of employees, investors and clients.”The Indian government is closely monitoring the issue but it’s too early to initiate a probe of the company, an official told reporters in New Delhi, asking not to be identified citing rules.Read more: Infosys Dives Most in 6 Years as Whistle-Blowers Target CEOThe events unfolding in Infosys’s home-town of Bangalore, the nation’s tech capital, bear a resemblance to those of 2017 that brought down the tech giant’s leadership. Two summers ago, a similar whistle-blower complaint alleged irregularities in a $200 million acquisition, setting off a chain of events that culminated in a vicious face-off with co-founder Narayana Murthy and Sikka’s removal. The accusations against him were never proven.Sikka and Parekh, a former Capgemini SE executive, were the first outside professionals brought in to run the 38-year-old company, after several decades of co-founders taking turns to occupy the CEO’s office. Infosys’s shares have gained 50% since Parekh took the helm in January 2018, versus roughly 20% over Sikka’s three-year term. And the company’s revenue grew about 25% during both their tenures.Yet the number of whistle-blower complaints spiked during Sikka’s and Parekh’s reigns, covering a plethora of topics. None spooked markets quite as much as the latest missive published in the Deccan Herald on Monday. The company is now taking the right steps, auditing the whistle-blowers’ letters and appointing a third-party investigator, said Sanchit Vir Gogia, chief executive officer of Singapore-based Greyhound Research.“The CEO has a difficult task at hand coming after the sudden exit of his predecessor, managing founder and investor expectations and operating in a difficult business environment,” he said. “The world over, companies take a ton of short cuts to look good in front of investors and analysts.”Infosys May Need Some Private Time to Fix Itself: Andy MukherjeeThe brewing crisis around Infosys is far from the only one to hit corporate India of late. State-run lender Punjab National Bank disclosed fraud, for instance, part of a series of scandals to hit the financial industry.Infosys itself can ill-afford the distraction. It’s grappling with fundamental changes in the software outsourcing industry, where younger rivals are snatching away contracts with newer technologies, and clients are moving away from the paid-by-the-hour outsourcing work that Infosys and rival Tata Consultancy Services Ltd. specialized in.At Infosys, revenue growth slowed to single-digit percentages, while operating margins shrank. That marked the end of an era when its co-founders delivered stellar performances quarter after quarter, endearing the stock to investors. Fresh-out-of-college engineers compared a job offer from Infosys to winning the lottery.This month, Infosys posted a 2% fall in quarterly profit after nervous clients held off on spending and growth in traditional service contracts stalled. That underscored the challenge for Parekh, who has pledged to drive growth.Both he and Sikka have stressed investments in innovation, digital services and re-training employees in latest technologies such as automation and artificial intelligence. “To build the future Infosys, we have to make those investments now,” Parekh, who has a reputation for being calm and understated, told Bloomberg in an interview last year.It could be days or weeks before evidence is gathered and the investigation concludes. Until then, the allegations cast a shadow over Infosys’s management. And it’s likely that the urgent task of addressing broader business challenges will take a backseat to the public drama for now.“There’s a lot of emotion around everything that happens at Infosys,” Greyhound’s Gogia said. “While I would wait for the investigation before passing a verdict on the anonymous charges, this episode does make things tougher for Infosys.”(Updates with government official’s comments from the fifth paragraph.)To contact the reporter on this story: Saritha Rai in Bangalore at email@example.comTo contact the editors responsible for this story: Edwin Chan at firstname.lastname@example.org, ;Arijit Ghosh at email@example.com, Colum MurphyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg Opinion) -- India’s best-known software exporter is facing an impossible trinity of sorts: Out of sales, margins and governance, Infosys Ltd. can hit only two goals at a time.Or so it would appear from yet-to-be-proven whistle-blower allegations against Chief Executive Officer Salil Parekh and Chief Financial Officer Nilanjan Roy that they used hyper-aggressive accounting practices to hide from investors the lack of profitability on large deals. The stock tanked as much as 16% in Mumbai after the letter was published by the Deccan Herald. It’s a deja vu moment for co-founder and non-executive Chairman Nandan Nilekani, who returned to the Bangalore-based company two years ago during a previous crisis — sparked by a set of different anonymous charges against Parekh’s predecessor, the former SAP executive Vishal Sikka, who was accused of impropriety in a $200 million acquisition in Israel.That scandal culminated in an unseemly spat between Sikka and the board on one side and N.R. Narayana Murthy, another of the company’s co-founders, on the other. Sikka resigned in August 2017. The new board exonerated him, but by then the damage was done.It’s been a slow road to recovery. At a one-year-forward price-to-earnings multiple of 20 times at the end of September, Infosys’s valuation is now almost 50% higher than at the depth of the last crisis. The risk is of a repeat of that slump.If investors start to believe that the culture at the software services provider, once seen as India’s most transparent company, is beyond redemption, expect a durable deepening of the 10% discount at which Infosys traded against larger rival Tata Consultancy Services Ltd., or TCS, at the end of last month. Since the company’s American depository receipts trade in New York, there’s also the threat of expensive class-action suits.The allegations are being evaluated by the audit committee and the board. The CEO and the CFO won’t be a part of those deliberations. Whatever the truth of the whistle-blower’s complaints, another protracted governance saga could be just as damaging.It might not be a bad idea for a buyout fund to step in and take Infosys out of the glare of the public markets. As a private company, it could rediscover its moorings and find a new purpose in a digital world where clients increasingly want nimble, cloud-based, on-demand software, rather than clunky, on-premise enterprise solutions.At $12 billion in the fiscal year that ended in March, Infosys revenue is nowhere close to Sikka's 2020 target of $20 billion. An operating margin of less than 23% was lower than the near 26% at TCS, according to data compiled by Bloomberg.After a period of rehabilitation, Infosys should be able to deliver all three targets: sales growth, margins and good governance. Some private time could be just what it needs to get fixed.To contact the author of this story: Andy Mukherjee at firstname.lastname@example.orgTo contact the editor responsible for this story: Matthew Brooker at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Andy Mukherjee is a Bloomberg Opinion columnist covering industrial companies and financial services. He previously was a columnist for Reuters Breakingviews. He has also worked for the Straits Times, ET NOW and Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
(Bloomberg) -- Infosys Ltd.’s shares plunged to a 10-month low after whistle-blowers accused Chief Executive Officer Salil Parekh of leading an effort to shore up profits through irregular accounting, turning up the heat on an IT services giant that endured internal turmoil just two years ago.The stock fell as much as 16% Tuesday, wiping out 2019’s gains via its biggest intraday fall since April 2013. The letter, addressed to the board and published by the Deccan Herald, charged Parekh with “unethical practices” to boost revenues and profit in recent quarters, anonymous whistle-blowers wrote in a memo titled “Disturbing unethical practices.” The whistle-blowers also said recent big deal wins may have come with negligible margins. They asked the board to investigate and take action, offering to provide emails and voice recordings to support their allegations.Chairman and co-founder Nandan Nilekani pledged a full investigation, saying the allegations had gone before the company’s Audit Committee. The memo dated Sept. 20 was the latest in a series of whistle-blower complaints that wrought havoc at Asia’s second most valuable IT services firm, triggering the exit of previous CEO Vishal Sikka after a confrontation with co-founder Narayana Murthy. The company, a symbol of India’s technological boom, had gained more than 15% of market value this year as it stabilized the business with a transition toward automation.The allegations “could severely damage the company’s pristine brand if true, especially in the IT services industry,” Bloomberg Intelligence analyst Anurag Rana wrote. “It could also hurt short-term sales, as clients may look for other providers for newer projects.”Infosys May Need Some Private Time to Fix Itself: Andy MukherjeeRead more: Infosys Profit Slides After Companies Skimped on SpendingNilekani had only just proclaimed last year that Infosys had become “boring again.” The allegations come as Infosys and larger rival Tata Consultancy Services Ltd., which build software and provide services to some of the world’s largest banks and retailers, navigate an increasingly difficult business environment. The industry is grappling with a trend toward automation and rapid technology changes.This month, Infosys posted a 2% fall in quarterly profit after nervous clients held off on spending and growth in traditional service contracts stalled. That underscored the challenge for Parekh, who has pledged to drive growth in digital services, re-energize core offerings, re-skill employees and hire locally in a key U.S. market where a tightening H-1B visa regime is making it more difficult to import labor. Tata Consultancy also posted earnings that lagged projections.“The newsflow around this may dominate investor attention in the near term and could continue to support the shift toward TCS,” Emkay analyst Manik Taneja wrote.Read more: Whistle-Blowers Allegations to Shrink Infosys Valuation PremiumThe IT services giant itself has undergone internal upheaval in the recent past. The memo emerged days after the departure of former deputy chief financial officer, Jayesh Sanghrajka.Parekh, a former Capgemini SE executive, was named to the helm in 2017 after a very public battle between his predecessor and the company’s founders, who objected to Sikka’s strategy and compensation. At the time, Sikka quit over what he described as “a continuous drumbeat of allegations” over management and corporate governance. The share price tumbled, wiping out billions of dollars in investor wealth.Read more: ‘Stay Calm, Don’t Panic’ CEO Aims to Steady Troubled InfosysAfter the drama, which Chairman Nilekani had described as reaching “reality TV” like proportions, the more low-key Parekh was regarded as an apt choice to lead the company. He is only the second outsider, after Sikka, to take the top job at the four-decade-old Infosys where its co-founders -- middle-class Indian engineers who started it with 10,000 rupees ($140) -- typically revolved through the CEO’s office.“The whistle-blower complaint has been placed before the Audit Committee as per the company’s practice and will be dealt with in accordance with the company’s whistle-blowers policy,” Infosys said in an emailed statement on Monday.(Updates with shares from the second paragraph)\--With assistance from Debjit Chakraborty, Abhay Singh and Devidutta Tripathy.To contact the reporter on this story: Saritha Rai in Bangalore at firstname.lastname@example.orgTo contact the editors responsible for this story: Edwin Chan at email@example.com, ;Arijit Ghosh at firstname.lastname@example.org, Colum MurphyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg Opinion) -- India’s largest startup is ready to birth its own unicorn. That’d be unusual anywhere, but that it’s happening in India offers some hope for the country’s long-awaited tech renaissance. This is also great news for Walmart Inc. The U.S. retail behemoth paid $16 billion for 77% of India e-commerce company Flipkart Group in May last year. That deal included payments unit PhonePe — an early pioneer in the digital-wallet business — which Flipkart had acquired two years earlier. Now Walmart is engineering a spinoff as part of a $1 billion funding round that could value payment unit at up to $10 billion and give the retailer an 82% stake in PhonePe and Flipkart, India’s Economic Times reported. From one $20.8 billion company 18 months ago, India will get two unicorns at a combined value of up to $30 billion.(1)There are already indications that PhonePe has shed its Flipkart training wheels. From 50% of its transactions three years ago, Flipkart now accounts for just 0.5%, Indian media outlet The Ken reported, citing PhonePe’s head of strategy and planning. During Flipkart’s annual Big Billion Days sale last month, PhonePe’s logo no longer had top billing on the e-commerce website, according to The Ken. Instead it was listed as just one of the many payment options available to online shoppers. That PhonePe is preparing to fly solo is also a sign of India’s maturing digital sector. Not only is the company willing to directly tackle rivals such as Alphabet Inc.’s Google Pay and Facebook Inc.’s forthcoming WhatsApp payments, but it’s also managing to survive in the scary wilderness beyond the gates of Flipkart. (Survive, of course, is a relative term. It’s likely still burning cash and posting losses, though at least it can keep up with well-funded adversaries, a key measure of success at this point in the game.)More broadly, the PhonePe spinoff would strengthen the case that a homegrown hero can hold its own when foreign rivals enter. Paytm, another Indian startup, is on the verge of landing a $2 billion round of funding from investors including Ant Financial, SoftBank Group Corp. and Discovery Capital Management which could give it a $16 billion valuation, Bloomberg News reported this week.Hopefully the momentum at both PhonePe and Paytm will spur more Indian entrepreneurship, feeding a rebirth in India’s tech sector not seen since the IT-outsourcing boom two decades ago. While that gave us Tata Consultancy Services Ltd., Infosys Ltd., Wipro Ltd. and dozens more, most of those businesses focused on serving foreign needs. Now, a crop of stars is emerging to meet the needs of India’s 1.3 billion people. It’s not a big step from this spinoff to an actual IPO, a development that will put India back on the global technology map.(1) This assumes no reduced valuation for Flipkart.To contact the author of this story: Tim Culpan at email@example.comTo contact the editor responsible for this story: Rachel Rosenthal at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tim Culpan is a Bloomberg Opinion columnist covering technology. He previously covered technology for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
- Q2 CC Revenue Growth of 8.4% YoY - UK (+13.3% YoY) and Europe (+16% YoY) Drive Growth - Digital Revenue at 33.2%, Growth of 27.9% YoY - Net Margin at 20.6%; EPS Growth: 3.8% YoY - Special Dividend ...
MUMBAI/BENGALURU (Reuters) - Tata Consultancy Services Ltd warned of a challenging second half after India's No. 1 IT services exporter missed September-quarter profit on Thursday, as a slowing global economy forced many of its clients to cut back spending. TCS kicks off India's corporate earnings season, and in the quarter ended September company profits were expected to be muted, given a slowdown in the domestic economy. Ratings agency Crisil warned in a note on Thursday that India Inc's revenue likely fell to a 14-quarter low in the three months ended September due to a sharp fall in demand across consumption segments.
Tata Consultancy Services' Credible Digital Transformation Capabilities and Focus on Next-generation Digital Solutions such as the Advanced Drug Development and Connected Clinical Trials platforms were ...
Analysts have cut their earnings forecasts for Asian firms over the past month due to concerns over U.S-China trade tariffs and slowing global economic growth, Refinitiv data shows. Over the past 30 days, analysts have cut 2019 net income forecasts for Asian firms by an average of 0.4%, the data shows. Japan has led the earnings downgrades in the region, with a 1.4% cut, followed by Australia and Vietnam.
India and Malaysian equities were the most expensive in Asia on Oct. 2, based on their price-to-earnings valuation metrics, according to Refinitiv. Most other regional markets saw a rise in valuations over the past month, thanks to some easing U.S-China trade tensions and rate cuts by major central banks. A corporate tax cut announced by India's finance minister last month to boost manufacturing and revive its weakening economy propelled Indian shares higher.
Asian shares posted their first monthly gain in three months in September as a softening of U.S.-China trade tensions and major central banks' monetary easing measures averted fears about a global recession and lifted riskier assets such as Asian shares. Last month, the United States and China agreed to hold high-level trade talks in early October, raising hopes that the two top global economies can de-escalate the tariff spat before it inflicts further damage on the global economy.
LARAMIE, Wyo. and NEW YORK, Sept. 23, 2019 /PRNewswire/ -- Tata Consultancy Services (TCS) (BSE: 532540, NSE: TCS), a leading global IT services, consulting and business solutions organization, and Discovery Education, the leading provider of digital education content and professional development for K-12 classrooms, have launched Ignite My Future in School within the Albany County School District. This free professional training event will connect more than 100 local educators with education experts to learn about Ignite My Future in School, understand its purpose and receive hands-on curriculum training.
Report Cites Tata Consultancy Services' Market-recognized Domain Knowhow and Credible and Structured Approach to Develop IP / Assets around Emerging Themes, as Strengths NEW YORK and MUMBAI, India , Sept. ...
Tata Consultancy Services' goIT, North America's Largest Industry Engagement Program for Computer Science Education, will also Add AI and IoT Offerings for Students NEW YORK and MUMBAI, India , Sept. 19, ...
Tata Consultancy Services' New Cisco DNA Center of Excellence Will Build Network-Optimized Transformational Solutions that Reduce Risk and Enhance Customer Experience NEW YORK and MUMBAI, India , Sept. ...
India led Asia's earnings downgrades over the past month with analysts expecting more troubles this year due to a consumption slowdown and liquidity crunch in the financial sector. Over the past 30 days, analysts have slashed Indian firms' 2019 earnings forecasts by 4.3% - the highest cut in Asia, Refinitiv data shows. The cut comes as more than 60% of Indian firms missed their consensus earnings estimates in the June quarter, underscoring a lacklustre earnings performance.
Valuations of Asian shares took a hit in August after a sharp sell-off due to an escalation of the United-States-China trade war. A lackluster earnings performance for Asian firms in the second quarter - in which 55% of companies in the region missed their consensus earnings estimates - also affected price valuations last month. In a report last week, Goldman Sachs said its fresh 12-month target for MSCI Asia-Pacific ex-Japan is 515, or 1% below the previous 520 expectation.