NEW DELHI: Shares of IT giant Tata Consultancy Services hit a fresh lifetime high of Rs 1,919 on Friday.
The company is slated to declare its June quarter results on Tuesday.Last month, the board of IT major approved a Rs 16,000-crore share buyback plan, in an attempt to distribute available cash among its shareholders.
The company will buy back some 7.6 crore shares under the scheme at a price of Rs 2,100 per share.The company later informed that its parent Tata Sons would be participating in the buyback.In April, the company achieved the coveted feat of becoming the first listed Indian IT company to hit the $100 billion m-cap figure.The Rajesh Gopinathan-led company came out with flying colours in March quarter results.
TCS had reported a 4.48 per cent year-on-year (yoy) rise in consolidated net profit at Rs 6,904 crore for the March quarter.Brokerages appear bullish on TCS Q1 results.
The company is likely to post a 16 per cent YoY rise in profit at Rs 6,870.60 crore."We have seen a sharp run-up in the sector with IT index outperforming Nifty by 6 per cent this quarter.
We think that midcap valuations are expensive, and continue to prefer diversified largecaps.
We maintain our preference for players leveraged to this cyclical spending uptick (TCS and Infosys)," said IDFC Securities in its earnings preview.At 2:12 pm, shares of the company were trading at Rs 1,912.80, up 1.65 per cent.