Tata Consultancy Services on Friday said it will consider a share buyback when its board meets next Wednesday to approve second-quarter financial results.
TCS, India’s largest information technology (IT) services firm, did not disclose the quantum of the buyback it was considering.
It had last bought back shares worth ₹16,000 crore in 2020.
The buyback comes at a time Indian IT services companies are grappling with an uncertain demand environment, especially in the US, a key market for the sector.
Investors are likely to parse results and commentary of IT firms for signs of recovery in deal signings in fiscal 2025 following a “washout” year, J.P.Morgan analysts said on Wednesday.
Shares of TCS, which ended up 0.9% on Friday, are up 13.5% so far this year against 8.5% gains in the benchmark Nifty 50 index and 13% in the IT sector.
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Published on October 6, 2023
