Three months after overtaking competitor and incumbent market-cap leader Infosys Technologies, India’s largest software exporter Tata Consultancy Services not only continues its reign but has charted new territory.

In a first for the IT sector, TCS crossed the Rs 2-lakh crore barrier on Friday, a day after posting strong results and its best quarter since Q2FY05. Net profit was Rs 2,169 crore, up 32 per cent year-on-year (yoy) on sales that rose 25 per cent yoy to Rs 9,286 crore, going past analysts estimates and marking the company’s first ever quarter of $2 billion in revenues.

On Friday, the TCS scrip touched a high of Rs 1,049.90 in morning trade and ended at Rs 1,040.10, a gain of 5.72 per cent in a market which fell by 0.47 per cent to 20,165.86.

Its closest rival Infosys rose a marginal 0.66 per cent to Rs 3,053.25 and ended with a market cap of Rs 1,75,267 crore.

Most analysts have now raised their target price for TCS to over Rs 1,100 on back of upgrades in EPS for FY11/12 and have recommended `BUY’ on the stock.

Asked if TCS with its solid performance on the stock market now deserves a valuation premium to Infosys, Rohit Kumar Anand, senior analyst at PINC Research said that TCS was now trading on par with Infosys which is a huge achievement, considering that all this while it was at a discount to the Bangalore-based firm.

Another analyst from an Indian brokerage firm added that time will tell since the growth rates of both companies are more or less in same bracket.