Tata Consultancy Services Ltd
NSE:TCS
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P/OCF
Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.
Price to Operating Cash Flow (P/OCF) ratio compares a company`s market value to the cash it generates from its core operations.
Valuation Scenarios
If P/OCF returns to its 3-Year Average (29), the stock would be worth ₹4 071.48 (64% upside from current price).
| Scenario | P/OCF Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 17.7 | ₹2 479.8 |
0%
|
| 3-Year Average | 29 | ₹4 071.48 |
+64%
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| 5-Year Average | 29.3 | ₹4 109.42 |
+66%
|
| Industry Average | 25.2 | ₹3 535.15 |
+43%
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| Country Average | 23 | ₹3 224.99 |
+30%
|
Forward P/OCF
Today’s price vs future operating cash flow
Peer Comparison
| Market Cap | P/OCF | P/E | ||||
|---|---|---|---|---|---|---|
| IN |
|
Tata Consultancy Services Ltd
NSE:TCS
|
8.7T INR | 17.7 | 18.7 | |
| US |
|
International Business Machines Corp
NYSE:IBM
|
213.9B USD | 15.3 | 19.9 | |
| JP |
|
BrainPad Inc
TSE:3655
|
20.9T JPY | 69.4 | 551.4 | |
| IE |
|
Accenture PLC
NYSE:ACN
|
108.9B USD | 8.3 | 14.2 | |
| IN |
|
Infosys Ltd
NSE:INFY
|
4.7T INR | 14 | 17.1 | |
| JP |
|
Fujitsu Ltd
TSE:6702
|
6.7T JPY | 17 | 14.1 | |
| JP |
|
NEC Corp
TSE:6701
|
6.2T JPY | 13.4 | 25.1 | |
| JP |
N
|
NTT Data Group Corp
DUS:NT5
|
30.3B EUR | 11.2 | 38.8 | |
| JP |
|
NTT Data Corp
TSE:9613
|
5.6T JPY | 11.3 | 39.1 | |
| IN |
|
HCL Technologies Ltd
NSE:HCLTECH
|
3.3T INR | 17.1 | 20.5 | |
| US |
|
Cognizant Technology Solutions Corp
NASDAQ:CTSH
|
26.2B USD | 9.1 | 11.7 |
Market Distribution
| Min | 0.5 |
| 30th Percentile | 14 |
| Median | 23 |
| 70th Percentile | 39.7 |
| Max | 28 676 |
Other Multiples
Tata Consultancy Services Ltd
Glance View
Tata Consultancy Services Ltd. (TCS) stands as a sterling example of India’s prowess in the global IT services market, a narrative of strategic vision and relentless execution. Born within the renowned Tata Group in 1968, TCS embarked on its journey amidst modest surroundings but with a bold ambition to revolutionize business processes through technology. Over the decades, TCS has morphed into a global leader, occupying a formidable spot in the consulting and IT services arena. The company thrives on its ability to offer a wide array of services that ranges from IT consulting and services integration to business solutions and outsourcing. At its core, TCS helps businesses leverage cutting-edge technology like artificial intelligence, machine learning, and blockchain to streamline operations, elevate customer experience, and foster innovation. The engine of TCS's revenue generation hums with its robust strategy of engaging deeply with diverse industry verticals such as banking, retail, telecommunications, and healthcare. By positioning itself as a partner in technological transformation, TCS secures long-term contracts that ensure recurring revenue streams. Its globally distributed talent model, marked by a blend of onsite and offshore delivery, not only optimizes costs but also allows for round-the-clock project execution, enabling TCS to meet client needs efficiently. Furthermore, TCS invests significantly in research and development to stay ahead of technological trends, ensuring its service offerings continue to align with the evolving marketplace demands. The company’s prowess in navigating large-scale transformations makes it indispensable to clients worldwide looking for strategic guidance in an increasingly digital landscape.