The shares of software giant Tata Consultancy Services touched a new 52-week high and closed with 5.47 per cent gain as investors cheered faster revenue growth in the first quarter and earnings beat.
The stock closed at Rs 1,979.60, up Rs 102.60, on the BSE and its market cap rose above Rs 7.50 lakh crore for the first time to Rs 757,904.45 crore, making it far bigger than any other listed Indian company. TCS added Rs 39,281 crore to its market cap on Wednesday.
The company achieved the new milestone in less than a month of becoming the first Indian company to cross the Rs 7 lakh crore m-cap on June 15.
TCS had, after the market hours on Tuesday, announced the fastest quarter-on-quarter revenue growth at 4.1 per cent in the last 15 quarters and a year-on-year revenue growth of 9.4 per cent and said that it would achieve double-digit revenue growth for the full year.
The company had also announced an interim dividend of Rs 4 per share payable on July 25.
Obviously, the April-June quarter results cheered the market and in intra-day trade, the stock touched a new 52-week high of Rs 1995.
Hefty gains for this index heavyweight also helped the BSE IT Index close with gains of 2.38 per cent and the NSE Nifty IT Index was up 2.21 per cent.
Other top gainers among the IT stocks were Infosys (1.35 per cent), HCL Technologies (1.07 per cent), Wipro (0.50 per cent), Tech Mahindra (0.56 per cent), Mindtree (0.65 per cent) and KPIT (1.80 per cent).
Analysts from Motilal Oswal, in a short review of TCS earnings, said, “Recovery in banking, financial services and insurance (BFSI) at 3.7 per cent QoQ in constant currency terms drove both revenues and margin. With strong visibility over the near-to-medium term, TCS remains on track to inch up towards double digit revenue growth and also towards its aspired minimum margin 26 per cent.”