The good news from the sector in general and TCS in particular is that attrition is falling, labour market is cooling off, and wage pressure should wane, lifting margin
PRO Only Highlights
- Quarterly performance largely backed by improved realisations
- Medium-term triggers China plus and protectionist measures for tyre industry
- Valuations not inexpensive; but improved medium-term outlook
- Quarterly performance largely backed by improved realisations
- Medium-term triggers China plus and protectionist measures for tyre industry
- Valuations not inexpensive; but improved medium-term outlook
Highlights Revenue performance healthy Margin improves, outlook good Deal flow moderating, Europe remains a pain point Attrition falling, but net headcount addition negative FY24 could be a soft year after two strong years Valuation multiple could veer towards pre-pandemic level Decent dividend yield, should the stock correct TCS (CMP: Rs 3320 Market Cap: Rs 12,14,786 crore) kicked off the earnings season with a very decent revenue performance in a seasonally weak quarter, improvement in operating margin, and a balanced commentary. However, the earnings report and the subsequent...