TCS share price: Why Tata Consultancy Services stocks are skyrocketing?
Stock market today: Tata Consultancy Services or TCS share price has been in continuous bull trend after ushering in September 2023. After closing at ₹3,356 apiece levels on NSE, TCS share price today climbed to a new 52-week high of ₹3,633.75 per share levels on NSE, logging over 8 per cent rise in this month. In fact, in last five trade sessions, this Indian IT major has hit upper circuit on four sessions.
However, stock market experts believe that the stock has more stem left and it may go up to ₹4,000 apiece levels in short to medium term. They said that investors are relocating their money from small-cap and mid-cap segment to large-cap stocks that are available at discounted price and their fundamentals are healthy.
Reason for rally in TCS shares
On why TCS share price is skyrocketing, Saurabh Jain, Vice President — REsearch at SMC Gloal Securities said, “TCS shares are getting benefit of being available at discounted price. In current stock market correction, investors are shifting their money from small-cap and mid-cap stocks to quality large-cap stocks that are available at discounted price. Since, order inflow in TCS has gained momentum recently and the fundamentals of the Indian It giant are still healthy. People are pumping money in this stock.”
TCS share price chart
Expectign bull trend in TCS shares to further continue, Sumeet Bagadia, Executive Director at Choice Broking said, “TCS shares are in bull trend on chart pattern. The IT stock has given multiple resistance breakout at ₹3,550 levels.”
TCS share price target
Sumeet Bagadia of Choice Broking advised TCS shareholders to hold the scrip for immediate short term target of ₹3,800 whereas he expected the stock to touch ₹4,000 levels in mid term. However, he strictly advised TCS shareholders to maintain stop loss at ₹3,490 per share levels.
TCS Q2FY24 results in focus
On trigger that TCS shareholders should remain vigilant about, Saurabh Jain of SMC Global Securities said, “Q2FY24 results of TCS will be importanat. If the company manages to report improvement on attretion, margins and order inflows, then one can expect to hold the stock further otherwise the current rally may get pared as profit booking may trigger in case of disappointing Q2 results 2023 by the Tata group company.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.
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Updated: 22 Sep 2023, 03:10 PM IST
