Citi has maintained its “Sell” rating on Tata Consultancy Services (TCS), lowering the target price to ₹3,935 from ₹4,010. With the current market price at ₹4,227.90, this suggests a potential downside of approximately 6.9%.
The brokerage highlighted TCS’s weak Q2 performance and suggested that earnings per share (EPS) downgrades are likely. Management commentary reflected a cautious demand environment, and Citi expects only a modest and gradual recovery in IT services.
Additionally, the brokerage continues to favor Infosys (rated Neutral) over TCS due to the current market conditions.
Disclaimer: The information provided is for informational purposes only and should not be construed as investment advice. Please consult with a qualified financial advisor before making any investment decisions.
