India’s 1st $100 billion company

India’s 1st $100 billion company: History created! TCS adds Rs 70,000 crore in market cap in 2 days

India's largest IT company TCS (Tata Consultancy Services) touched the iconic mark on Monday becoming the first Indian company to achieve the $100 billion in market capitalisation, the first ever in the history of Indian capital markets.

India’s largest IT company TCS (Tata Consultancy Services) touched the iconic mark on Monday becoming the first Indian company to achieve the $100 billion in market capitalisation, the first ever in the history of Indian capital markets. Shares of the Tata Group’s cash cow and the IT behemoth TCS has been surging to record-breaking highs since after the company has posted better-than-expected financial results for the quarter ended 31 March 2018. Shares of TCS jumped nearly 3% to hit an all-new record high on Monday extending Friday’s gain.

The stock of market capitalisation leader TCS rocketed as much as 4.42% to an all-time high of Rs 3,557 after opening marginally higher at Rs 3,429 on BSE. Unusually higher trading volumes were been witnessed in the shares of TCS, as at 10 am, more than 16 lakh shares exchanged hands on both NSE and BSE with about 16 lakh shares on NSE alone.

Following the huge surge in the share prices of TCS, the company crossed the market capitalisation of $100 billion on Monday. As per the Reserve Bank of India’s reference rate of Rs 66.0167 against US dollar on Friday last week, TCS achieved a market capitalisation of $103.08 billion. In the Indian rupee terms, TCS raked in a market capitalisation of Rs 6,80,528 crore on BSE on the basis of the all-time high price of Rs 3,551.95. Shares of TCS advanced as much as 4.57% to a lifetime peak of Rs 3,557.9 on NSE.

Over the course of last two days, after TCS has reported its quarterly numbers for the fiscal year 2017-2018, shares of TCS has advanced 11.48% to a record peak of Rs 3,557. Following a steep surge in the share prices, TCS’ market capitalisation has moved to Rs 6,80,528 crore from 6,10,954 crore (at the closing price of Rs 3,190.65 on Thursday, 19 April 2018).

TCS is by far the first company to cross the $100 billion in the market capitalisation. TCS is way ahead of Reliance Industries and the country’s biggest bank by market capitalisation HDFC Bank. The oil-to-telecom conglomerate Mukesh Ambani-controlled Reliance Industries commands a market capitalisation of Rs 5,93,251 crore and Aditya Puri-led HDFC Bank holds a market capitalisation of 5,15,328 crore at the day’s high price of Rs 936.4 and Rs 1,984, respectively.
Earlier on Friday last week, shares of TCS spurted more than 7% observing the first earnings reaction after the IT bellwether TCS posted robust results beating the street expectations.

Among individual stocks, Tata Consultancy Services (TCS) has become the first Indian $100 billion- dollar company in terms of market capitalisation (market-cap), after the stock of the IT bellwether hit a new high on Monday. The stock hit a new high of Rs 3,499, up 2.7% in intra-day trade, extending its Friday’s 6.7% surge, as the company reported better-than-expected March quarter earnings in post market hours on Thursday. TCS also announced 1:1 bonus shares i.e. one bonus shares of Rs 1 face value each for every share held in the company to its investors.

MSCI's broadest index of Asia-Pacific shares outside Japan dipped 0.1%, with South Korea off 0.2%. Japan's Nikkei dithered either side of flat as tech stocks continued to struggle with a warning on waning demand for mobile phones.

On the geopolitical front, US President Donald Trump said on Sunday the North Korean nuclear crisis was a long way from being resolved, striking a cautious note a day after the North pledged to end its nuclear tests. 

Back, home, Reserve Bank of India (RBI) Governor, Urjit Patel, has said the country’s growth is expected to accelerate next fiscal. Although the real GDP growth was moderated to 6.6% from 7.1% a year ago.

Meanwhile, a top Indian official has told the World Bank that India is poised to remain the fastest-growing large economy in the world and its GDP is expected to reach $5 trillion by 2025 as the economic reforms adopted in the last few years have started to bear fruit.

Investors also reacted to HDFC Bank's earnings for the March 2018 quarter, announced on Saturday, April 21,2018. HDFC Bank’s net profit rose 20.3% to about Rs 48 billion for the quarter ended March 31, 2018, compared with Rs 40 billion in the year-ago period.