Tata Consultancy Services Ltd
NSE:TCS

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Tata Consultancy Services Ltd
NSE:TCS
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Price: 4 158.3 INR -0.29% Market Closed
Market Cap: 15T INR
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Relative Value

The Relative Value of one TCS stock under the Base Case scenario is 4 512.46 INR. Compared to the current market price of 4 158.3 INR, Tata Consultancy Services Ltd is Undervalued by 8%.

Relative Value is the estimated value of a stock based on various valuation multiples like P/E and EV/EBIT ratios. It offers a quick snapshot of a stock's valuation in relation to its peers and historical norms.

TCS Relative Value
Base Case
4 512.46 INR
Undervaluation 8%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

6
P/S
P/S
Price to Sales
6
vs History
38
vs Industry
18
Median 3Y
5.8
Median 5Y
5.8
Industry
2.4
Forward
5.8
More Details
31.7
P/E
P/E
Price to Earnings
31.7
vs History
36
vs Industry
19
Median 3Y
30.7
Median 5Y
30.7
Industry
23.2
Forward
30
More Details
33.9
P/OCF
P/OCF
Price to OCF
33.9
vs History
11
vs Industry
16
Median 3Y
30.3
Median 5Y
29.2
Industry
17.4
More Details
38.9
P/FCFE
P/FCFE
Price to FCFE
38.9
vs History
9
vs Industry
17
Median 3Y
34.6
Median 5Y
33.2
Industry
21.3
More Details
14.8
P/B
P/B
Price to Book Value
14.8
vs History
17
vs Industry
5
Median 3Y
13.2
Median 5Y
13
Industry
2.9
More Details
5.9
EV/S
EV/S
Enterprise Value to Sales
5.9
vs History
38
vs Industry
18
Median 3Y
5.7
Median 5Y
5.7
Industry
2.4
Forward
5.6
More Details
6.1
EV/GP
EV/GP
Enterprise Value to Gross Profit
6.1
vs History
38
vs Industry
33
Median 3Y
5.8
Median 5Y
5.8
Industry
4.9
More Details
21.8
EV/EBITDA
EV/EBITDA
Enterprise Value to EBITDA
21.8
vs History
34
vs Industry
18
Median 3Y
21.3
Median 5Y
21.2
Industry
12.9
Forward
21
More Details
23.6
EV/EBIT
EV/EBIT
Enterprise Value to EBIT
23.6
vs History
39
vs Industry
20
Median 3Y
23.2
Median 5Y
23.1
Industry
16.5
Forward
23.1
More Details
32.9
EV/OCF
EV/OCF
Enterprise Value to OCF
32.9
vs History
11
vs Industry
16
Median 3Y
29.2
Median 5Y
28.2
Industry
16.3
More Details
35.8
EV/FCFF
EV/FCFF
Enterprise Value to FCFF
35.8
vs History
9
vs Industry
16
Median 3Y
31.6
Median 5Y
30.5
Industry
19
More Details
15
EV/IC
EV/IC
Enterprise Value to IC
15
vs History
17
vs Industry
5
Median 3Y
14.2
Median 5Y
13.4
Industry
2.5
More Details

Multiples Across Competitors

TCS Competitors Multiples
Tata Consultancy Services Ltd Competitors

All Multiples
P/S
P/E
EV/EBITDA
EV/EBIT
All Countries
All Countries
Close
Market Cap P/S P/E EV/EBITDA EV/EBIT
IN
Tata Consultancy Services Ltd
NSE:TCS
15T INR 6 31.7 21.8 23.6
IE
Accenture PLC
NYSE:ACN
229.1B USD 3.5 30.3 18.1 22
US
International Business Machines Corp
NYSE:IBM
206.5B USD 3.3 32.3 17.9 27.1
IN
Infosys Ltd
NSE:INFY
8T INR 5.1 29.6 20.8 23.8
IN
HCL Technologies Ltd
NSE:HCLTECH
5.2T INR 4.5 30.7 20 24.1
US
Cognizant Technology Solutions Corp
NASDAQ:CTSH
39.3B USD 2 17.5 12.9 12.9
US
Gartner Inc
NYSE:IT
38.1B USD 6.2 35.8 28.8 33.8
IN
Wipro Ltd
NSE:WIPRO
3.2T INR 3.6 27.4 16.3 20
JP
Fujitsu Ltd
TSE:6702
5.1T JPY 1.4 20.4 13.8 28.4
FR
Capgemini SE
PAR:CAP
26.8B EUR 1.2 15.9 8.9 11.3
JP
NTT Data Corp
TSE:9613
4.2T JPY 0.9 30.5 7.5 15.4
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
IN
Tata Consultancy Services Ltd
NSE:TCS
Average EV/EBITDA: 17
21.8
33%
0.7
IE
Accenture PLC
NYSE:ACN
18.1
28%
0.6
US
International Business Machines Corp
NYSE:IBM
17.9
36%
0.5
IN
Infosys Ltd
NSE:INFY
20.8
34%
0.6
IN
HCL Technologies Ltd
NSE:HCLTECH
20
32%
0.6
US
Cognizant Technology Solutions Corp
NASDAQ:CTSH
12.9
18%
0.7
US
Gartner Inc
NYSE:IT
28.8
42%
0.7
IN
Wipro Ltd
NSE:WIPRO
16.3
24%
0.7
JP
Fujitsu Ltd
TSE:6702
13.8
27%
0.5
FR
Capgemini SE
PAR:CAP
8.9
17%
0.5
JP
NTT Data Corp
TSE:9613
7.5
26%
0.3

See Also

Summary
TCS intrinsic value, competitors valuation, and company profile.
DCF Valuation
TCS stock valuation using Discount Cash Flow valuation method.
Relative Valuation
TCS stock valuation using valuation multiples.
Wall Street Estimates
TCS price targets and financial estimates made by Wall st analysts.
Profitability Analysis
Detailed analysis of the company's profitability.
Solvency Analysis
Analysis of the financial position and solvency of the company.
Financials
Income Statement, Balance Sheet, Cash Flow Statement.
Discount Rate
TCS stock discount rate: cost of equity and WACC.
Summary
DCF Valuation
Relative Valuation
Wall Street Estimates
Profitability Analysis
Solvency Analysis
Financials
Discount Rate
Discover More
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