TCS second firm in India after RIL to cross Rs 10-trn market capitalisation

The software major Tata Consultancy Services (TCS) on Monday became the first company after Reliance Industries (RIL) in India to cross the market capitalisation (m-cap) of Rs 10 trillion.

The Tata group cash cow and crown jewel closed Monday with a record m-cap of Rs 10.16 trillion, up 7.3 per cent for the day. In comparison, the benchmark BSE Sensex closed the day with gains of 0.7 per cent.

Most importantly, TCS’ valuation is now at its highest level in 15 years. At Monday’s close, the information technology (IT) major was at a price-to-earnings (P/E) multiple of 32.6x — the highest since March 2005, when it was valued at around 35x its earnings.