Tata Consultancy Services (TCS) share rose over 3% today after a report said Walmart Inc is in talks with Tata Group for an investment of up to $25 billion in the Indian conglomerate's new 'super app', Share of TCS gained 3.57% to Rs 2,512 against previous close of Rs 2,425 on BSE. The IT stock has gained 6.68% in the last 3 days.
TCS share stands higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages. Market cap of the firm stood at Rs 9.33 lakh crore on BSE. TCS share has gained 20.93% in one year and 15.08% since the beginning of this year. In one month, the share has risen 11.18%.
Total 1.92 lakh shares of TCS changed hands amounting to turnover of Rs 47.81 crore on BSE. Later, the stock closed 2.55% higher at Rs 2,487.
The stock hit 52-week low of Rs 1,504 on March 13 this year. The share touched 52-week high of Rs 2254 on September 22 this year.
Tata Group is currently in talks with potential investors to pick up stakes in the online platform and Walmart could pick a large piece of the pie.
According to Livemint, Walmart is also in talks with Tata Group for a stake in its new platform. The proposed 'large' stake could see Walmart pumping in $20-25 billion, overtaking its 66% stake purchase of Flipkart for $16 billion in 2018. If this follows through then the super app could be a joint venture between Tata and Walmart.
In Q1 of current fiscal, the IT firm reported a 14% fall in net profit to Rs 7,008 crore as business was disrupted by coronavirus pandemic. The Mumbai-headquartered company posted consolidated net profit of Rs 8,131 crore in the same quarter of financial year 2019-20.
The firm posted a 0.4 per cent growth in consolidated revenue at Rs 38,322 crore in Q1 FY21 as compared to Rs 38,172 crore in Q1 FY20. Revenue in constant currency terms fell 6.3 per cent YoY.