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TCS: Future AI Data Center Expansion And Partnerships Will Shape Upside Potential

Update shared on 28 Nov 2025

Fair value Decreased 0.093%
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AnalystConsensusTarget's Fair Value
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1Y
-26.7%
7D
-0.2%

Analysts have adjusted their price target for Tata Consultancy Services slightly downward by ₹3.24 to ₹3466.76. This revision is based on updated projections for discount rate, revenue growth, and profitability.

What's in the News

  • Tata Consultancy Services and Box, Inc. have launched a strategic partnership to deliver integrated, AI-driven content management solutions for clients across multiple industries (Client Announcements).
  • Tata Consultancy Services has incorporated HyperVault AI Data Center Limited as a wholly owned subsidiary to establish multiple AI and Sovereign Data Centers focused on infrastructure and technology-enabled services (Business Expansions).
  • Resulticks has moved into full-scale execution of its extended partnership with Tata Consultancy Services, which is enabling the onboarding of over 2,500 brands onto the RESUL platform and accelerating the deployment of AI-powered, omnichannel engagement solutions (Client Announcements).
  • The Board of Directors of Tata Consultancy Services approved the incorporation of a wholly owned subsidiary in India dedicated to AI and Sovereign Data Centers (Business Expansions).
  • The upcoming Board Meeting of Tata Consultancy Services is scheduled for November 20, 2025 (Board Meeting).

Valuation Changes

  • Fair Value: The consensus analyst price target has decreased slightly from ₹3,470 to ₹3,466.76.
  • Discount Rate: The discount rate has risen marginally from 15.86% to 15.98%.
  • Revenue Growth: Projected revenue growth has increased slightly from 5.91% to 5.93%.
  • Net Profit Margin: The net profit margin has remained nearly unchanged, moving from 19.79% to 19.79%.
  • Future P/E: The future price-to-earnings ratio has risen slightly from 32.24x to 32.28x.

Disclaimer

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