TCS rose 0.14% to Rs 843 at 13:36 IST on BSE on reports the company is close to acquiring Citigroup's captive backoffice unit in India for about $500-$550 million.
Meanwhile, the BSE was down 201.63 points, or 1.38%, at 14441.79 on weak global cues. US stocks sank on Monday, 18 August 2008, as the prospect of more losses from the mortgage crisis hurt the shares of banks and the two biggest home finance providers, pushing all three major indexes down about 1.5%.
On BSE, 83,163 shares were traded in the counter. The scrip had an average daily volume of 3.27 lakh shares in the past one quarter.
The stock hit a high of Rs 850 and a low of Rs 840 so far during the day. The stock had a 52-week high of Rs 1151 on 19 October 2007 and a 52-week low of Rs 719.10 on 16 July 2008.
The scrip had underperformed the market over the past one month till 18 August 2008, rising 5.89% compared to the Sensex’s 7.41% gain. It had also underperformed the market in the past one quarter, falling 11.65% compared to Sensex’s 16% fall.
India’s largest software exporter by sales has an equity capital of Rs 97.86 crore. Face value per share is Rs 1.
The current price of Rs 843 discounts its Q1 June 2008 annualised EPS of Rs 49.21, by a PE multiple of 17.13.
According to reports, an announcement to this effect is expected within three weeks. TCS has edged IBM in the race for the Citi unit and the deal would guarantee TCS business for the unit from Citigroup for five years.
The net profit of TCS rose 8.58% to Rs 1204.01 crore on a 5.45% rise in sales to Rs 5212 crore in Q1 June 2008 over Q4 March 2008.
TCS provides IT and business process outsourcing services. The group provides services to industries such as banking and financial services, insurance, manufacturing, telecommunications, retail and transportation.