How is Morgan Stanley project in TCS

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The largest Indian software exporter Tata Consultancy Services (TCS) has reached a market capitalization of 10.2 billion dollars after its first day of trading on the Bombay Stock Exchange (BSE). The IT service subsidiary of the conglomerate Tata rose to become the third largest Indian company in terms of market value and ranked well ahead of its competitors Infosys ($ 8.8 billion) and Wipro ($ 8.5 billion).

After the offer of 63.8 million shares was already oversubscribed more than seven times at the first issue two weeks ago (Computerwoche.de reported), apparently many interested parties covered their need for shares via the IPO (Initial Public Offering) on ​​Wednesday yesterday. As a result, the price of the TCS share on its market debut was at times more than 27 percent above the issue price. At the time of fixing, the share closed at 987.50 rupees, an increase of 16 percent.

From the perspective of stock market traders, the stock's soaring will continue for the time being as TCS is likely to be included in the Morgan Stanley Capital International Index (MSCI) and the BSE 30 Sensitive Index. For investment funds whose portfolio represents one of the two benchmark indices, the share is therefore a "must". A further rise in prices from TCS and other Indian IT service providers is expected in October when the companies announce their next quarterly results. Critical voices indicate, however, that the TCS share after the first increase is already as expensive as the paper from competitor Infosys. However, this shows stronger growth and a higher profit margin. (mb)