Dec 06, 2012, 12.25 PM IST
Indian technology shares fall for a second day, with Cognizant's SEC filing clouding revenue outlook for the sector.
Cognizant Technology Solutions Corp
The filing implies that CY13 growth would be lower than the company's outlook for CY12.
"Based on historical trends, Cognizant's annual guidance corresponds with revenue growth corresponding to 100 percent of performance units," IDFC said in a note.
Barclays Capital, however, feels that while Cognizant may see a slowdown, it does not pose an incremental risk to Barclays' FY14 growth forecasts of 15 percent for TCS and 13 percent for HCL Tech.
"Cognizant's growth premium to Indian IT vendors has diminished in the past two years due to its larger revenue and growth base," Barclays Capital said in a note.
An additional negative may come from the rupee. Credit Agricole believes the government winning the vote on foreign direct investment in multi-brand retail will continue to help rupee. It expects the rupee could rise to 52 per dollar by end 2013.
TCS stock price
On December 06, 2013, Tata Consultancy Services closed at Rs 1999.95, up Rs 9.80, or 0.49 percent. The 52-week high of the share was Rs 2258.05 and the 52-week low was Rs 1197.60.
The company's trailing 12-month (TTM) EPS was at Rs 77.28 per share as per the quarter ended September 2013. The stock's price-to-earnings (P/E) ratio was 25.88. The latest book value of the company is Rs 165.73 per share. At current value, the price-to-book value of the company is 12.07.
Action in Tata Consultancy Services
Video of the day
Dec 6 2013, 15:02
- in MARKET OUTLOOK
Dec 4 2013, 11:08
- in FII View
We notice that this Email ID is already verified against Moneycontrol User ID. Just enter your password and login to Set Alert.
Copyright © e-Eighteen.com Ltd. All rights reserved. Reproduction of news articles, photos, videos or any other content in whole or in part in any form or medium without express written permission of moneycontrol.com is prohibited.