Buy Tata Consultancy Services; target of Rs 4395: YES Securities

YES Securities' research report on Tata Consultancy Services

Overall, we remain positive on the stock as the robust demand environment would help it to report double digit revenue growth for FY22/FY23. Deal booking remains strong and would help to sustain growth momentum. There are near term margin headwind in this supply constrained environment. However, we expect it to maintain stable margin of ~26% aided by positive operating leverage.

Outlook

We maintain BUY Rating in the stock with revised target price of Rs 4,395.