Tata Consultancy Services (TCS) has become the first Indian $100 billion- dollar company in terms of market capitalisation after the stock of India's information technology leader hit a new high on Monday.
"It is a very proud moment for all of us", Tata Sons Chairman N Chandrasekaran said in a statement. Today's performance at the stock exchanges made the TCS as the most valuable tech company of India as the first corporation to touch Dollars 100 billion mark in a decade. Reliance Industries had breached the $100 billion m-cap mark on October 18, 2007. The stock is now trading flat at Rs 3,395.
TCS is the country's most valued firm followed by Reliance Industries Ltd with a m-cap of Rs 5,92,427.82 crore, HDFC Bank (Rs 5,01,643.92 crore), ITC (Rs 3,35,801.17 crore) and Hindustan Unilever Ltd (Rs 3,14,938.94 crore) in the top-five list.
"I would like to thank our shareholders for their continued support", he said. It touched a 52-week high of Rs 3,557.00 during the session.
TCS does not give quarterly or annual forecasts but the management reaffirmed its optimism (first outlined in January) of the company clocking double-digit growth in the current financial year. Among its peers, IBM's (International Busines Machines) market cap stands at $133.48 billion.
The stock hit a new high of Rs3,499, up 2.7 per cent in intra-day trade, extending its Friday's 6.7 per cent surge, as the company reported better-than-expected March quarter earnings in post market hours on Thursday.
In March 2009, TCS was 1.5 times smaller than Infosys in terms of market value. TCS forms close to 4.5 per cent of the Bombay Stock Exchange's total market cap of ₹151 lakh crore. "TCS, part of the salt-to-software conglomerate Tata group, reported Rs 32,075 crore as income from operations - a rise of 8.2 per cent from a year ago", said Dhruv Desai, Director and Chief Operating Officer of Tradebulls.
"Organisations are transforming into real-time enterprises driven by data, analytics and automation irrespective of business and TCS is well-positioned to make an impact and continue to deliver value", he added.
"Rs 26,800 crore of cash has been returned to shareholders in dividends and buyback during the fiscal", added the company in the filing. The company also announced a 1:1 bonus and a Rs 29 final dividend that improved sentiments among investors.
"The digital era is going to be a large opportunity for TCS".