Tata Consultancy Services Limited (TCS.NS)

DCF Valuation · Technology · Information Technology Services

Valuation as at 2026-08-04 · refreshed with the NIFTY 500 Most Undervalued screen

About Tata Consultancy Services Limited

Tata Consultancy Services Limited provides information technology (IT) and IT enabled services. It offers TCS ADD, a suite of AI powered life sciences platforms; TCS BaNCS, a financial services platform; TCS BFSI Platforms, a cloud-native, subscription-based as-a-service digital ecosystem for insurers and financial firms; TCS Chroma, a cloud-based AI-led hire-to-retire modular platform; TCS Customer Intelligence & Insights, an AI-powered, real-time customer data analytics solution; TCS ERP on Cloud, SAP transformation with AI-powered smart solutions; ignio, a cognitive automation software product; TCS iON, a learning ecosystem; and TCS HOBS, a cloud-native, catalog-centric platform with composable architecture and insights-led personalization capabilities. It also offers TCS Intelligent Urban Exchange for enterprises and smart cities; TCS OmniStore, a retail commerce platform; TCS Optumera, a strategic intelligence platform; TCS Tap, a platform for intelligent procurement; Quartz, a distributed ledger technology; TCS TwinX, a risk-free experimentation platform; TCS MasterCraft, an AI-driven cognitive automation product; Jile, an enterprise agile planning and delivery tool; TCS DigiBOLT, an end-to-end, organization-wide enterprise platform; and TCS AI WisdomNext, an enterprise grade GenAI platform.

Source: Yahoo Finance company profile · factual description, not KashVector commentary

Tata Consultancy Services Limited TCS.NS

Technology · Information Technology Services

Price
₹2,446.40
Market Cap
₹8851.29B
Free Cash Flow
₹397.17B
Beta
0.60
P/E (TTM)
17.8x
52-Week Range
₹1,976.80–₹3,350.00

TCS.NS's price & financial trends

Quarterly reporting periods — the most granular consistent series Yahoo provides for this market.

Data refreshed 2026-08-04

Share price · last 2 years

₹2,446.40 -46% vs first period
NIFTY 50 ₹4,553.75₹4,112.40₹3,462.00₹3,137.50₹2,473.90₹2,446.40 2024-082025-012025-062025-112026-042026-08

Earnings per share (diluted)

₹36.90 +9% vs first period
₹33.79₹35.27₹29.45₹37.94₹36.90Q1 '25Q2 '25Q4 '25Q1 '26Q2 '26

Free cash flow

₹127.33B +9% vs first period
₹116.56B₹130.06B₹110.61B₹123.32B₹127.33BQ4 '24Q1 '25Q2 '25Q4 '25Q1 '26

Dividend per share

₹57.04 -25% vs first period
₹76.01₹27.03₹11.00₹57.04Q1 '25Q2 '25Q4 '25Q1 '26

Intrinsic value estimate · 5-year forecast

BEAR
₹1,332.06
vs current ₹2,446.40
-45.6% ❌ Overvalued
BASE
₹1,757.52
vs current ₹2,446.40
-28.2% ❌ Overvalued
BULL
₹2,358.43
vs current ₹2,446.40
-3.6% ⚠️ Fairly Valued

Assumptions used in this valuation

Every input below is either fetched live from Yahoo Finance or a documented default — nothing is hidden.

Risk-free rate
7.00% ● LIVE
Live 10-yr govt bond
Beta
0.60
Floored for non-US stocks
Equity risk premium
7.50%
Market-specific seed
Cost of debt
5.00%
Estimated (no debt/interest data)
Tax rate
25.00%
Estimated default
Capital structure
E 99% / D 1%
Market cap vs total debt
Projection horizon
5 years
+ terminal value beyond
BearBaseBull
5-yr FCF growth4.6%9.3%13.9%
Terminal growth2.5%2.5%2.5%
WACC (discount rate)12.40%11.40%10.40%

Cost of Equity = Risk-free rate + Beta × Equity Risk Premium = 7.00% + 0.60 × 7.50% = 11.50% · WACC = weighted by 99%/1% capital structure

These numbers come from running Tata Consultancy Services Limited's cash flows through the mechanical DCF formula and assumptions above — not from any view on the news, management, or TCS.NS's competitive position. What is DCF?

Want to test your own growth or discount-rate assumptions?Open the full interactive calculator, pre-filled with TCS.NS →

More NIFTY 500 Most Undervalued stocks

Not financial advice. DCF valuations are highly sensitive to assumptions — small changes in growth rate or discount rate produce large swings in output. This is a mechanical calculation, not a recommendation to buy, hold, or sell.

About this valuation

Refreshed on the same cycle as the NIFTY 500 Most Undervalued screen. Change any assumption yourself in the full interactive tool.

Frequently asked questions

Is TCS.NS undervalued?

The Base-case DCF estimates intrinsic value at ₹1,757.52 vs a current price of ₹2,446.40 — a -28.2% margin, so the Base case reads overvalued. This is a mechanical output, not advice.