TATA CONSULTANCY SERVICES
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The Current P/E Ratio of TATA CONSULTANCY SERVICES is 30.66.
Share Price | ₹4,039.3 | Nov 19,2024 |
Market Cap | ₹1,461,459.1 Cr | |
Earnings-TTM | ₹47,659.0 Cr | TTM-Consolidated Results |
Price/Earnings | 30.66x | Calculated as Market Cap/Earnings |
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Explore Stock Analytics |
Definition & Calculation of PE (Price/Earnings) ratio of TATA CONSULTANCY SERVICES
P/E =
Market Capitalization
/ Net Income
or, using per-share numbers:
P/E = Stock Price /
Earnings Per Share (EPS)
Current Market Cap [ ₹1,461,459.1 Cr] as on Nov 19,2024
(/) Earnings [ ₹47,659.0 Cr] based on TTM-Consolidated Results
(=) P/E Ratio [ 30.66x ]
Thus, for TATA CONSULTANCY SERVICES , the investors are currently willing to pay 30.66 times earnings to own 1 share of the company.
PE Multiples are the most widely used valuation multiple in practice.
Since P/E ratio uses Net Income in the calculation, P/E multiples are not always reliable for valuing companies with negative earnings.
In such cases, you may consider using Price to Book ratio or Price to Sales ratio of TATA CONSULTANCY SERVICES !
P/E ratios, also, would not adjust for differences in the capital structure between companies.
The chart below summarizes the trend in P/E Ratio of TATA CONSULTANCY SERVICES over the last five years.
Historical PE (Price/Earnings) ratio chart of TATA CONSULTANCY SERVICES
PE Ratio Performance Analysis for TATA CONSULTANCY SERVICES
- TATA CONSULTANCY SERVICES 's p/e ratio for fiscal years ending Mar2024 to Mar2020 averaged 30.31x.
- TATA CONSULTANCY SERVICES 's operated at median p/e ratio of 30.62x from fiscal years ending March 2018 to 2022.
- Looking back at the last 5 fiscal years, TATA CONSULTANCY SERVICES 's p/e ratio peaked in Mar2021 at 36.25x.
- TATA CONSULTANCY SERVICES 's p/e ratio hit its five-year low in Mar2020 of 21.14x.
How does TATA CONSULTANCY SERVICES 's P/E Ratio benchmark against top 10 peers in IT - Software Industry?
Peer Comparison (IT - Software Industry) | Earnings-TTM (Cr) | PE Ratio | Market Cap |
---|---|---|---|
TATA CONSULTANCY SERVICES | 47,659.00 | 30.66 | 1,461,459.1 |
INFOSYS LTD | 26,978.00 | 28.10 | 758,013.0 |
HCL TECHNOLOGIES LTD | 16,842.00 | 29.33 | 493,941.0 |
WIPRO LTD | 11,846.80 | 24.80 | 293,842.0 |
LTIMINDTREE LTD | 4,656.70 | 37.38 | 174,055.0 |
TECH MAHINDRA LTD | 3,295.80 | 50.45 | 166,287.0 |
ORACLE FINANCIAL SERVICES SOFTWARE LTD | 2,495.33 | 38.81 | 96,841.7 |
PERSISTENT SYSTEMS LTD | 1,232.87 | 71.27 | 87,870.1 |
L&T TECHNOLOGY SERVICES LTD | 1,312.10 | 41.40 | 54,325.2 |
TATA ELXSI LTD | 816.88 | 49.93 | 40,788.1 |
MPHASIS LTD | 1,594.66 | 33.13 | 52,826.1 |
IT - Software Industry Benchmark (Top 10) PE Analysis vs TATA CONSULTANCY SERVICES 's P/E Ratio
Top 10 Industry Peers | PE Ratio |
---|---|
Min industry PE | 24.80x |
Max industry PE | 71.27x |
Median industry PE | 37.38x |
Average industry PE | 39.57x |
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