Macquarie on TCS
O-P, TP Rs 4150
2Q beat on EBIT margin, PAT; revenue misses
Puts to bed concerns that margin issue could become structural
Continue to prefer TCS to Infosys (both OP)
Bernstein on TCS
O-P, TP Rs 3850
Delivered with Rev beat & inline margins
Commentary on deal closure/pipeline was constructive while remaining watchful on macro risks
Jefferies on TCS
Hold, TP Raised to Rs 3180
2Q ahead with revenues, margins & profits beating est.
Deal wins at US$8.1bn steady YoY
Raise FY23-25 est by 2-5%
Expect TCS to deliver 12% EPS CAGR over FY22-24
TCS' premium valuations may limit upside
CLSA on TCS
O-P, TP Rs 3450
2QFY23 in-line with est.
Near-term revenue outlook intact and supply pressure abating
Long-term demand outlook: softness, yes, but no alarms
Increased confidence in margin management
CS on TCS
Neutral, TP Rs 3300
2Q: Strong revenue growth & margin improvement, but FY24 demand scenario still uncertain
Margins benefitted from operational efficiencies & currency
Increase FY23-FY25E EPS by 2-4% to a/c for better margins in 2Q & currency benefits
CITI on TCS
Sell, TP raised to Rs 2900
Good 2Q - UK/India drives beat
Deal TCV at $8.1b (vs past 4 quarter avg: $8.7b; +7% yoy).
Demand sustainability key – management commentary was mixed; not surprising given backdrop
Kotak Inst Eqt on TCS
Add, TP Rs 3450
Strong 4% rev growth in c/c, 90 bps higher than est
EBIT margin increased 90 bps qoq to 24%, impressive
Margins will improve further & settle in 25% range
Signs of slowdown visible in moderate hiring & weak TCVs though not a surprise
CLSA on Kotak Bank
Outperform Call
Target Rs 2,100
Management Focussed On Growth & Strengthening ESG Practices
Kotak Ahead In Branch/Liability Efficiency But Lags Peers On Granularity Metrics
Significant Improvement Seen In PSL Compliance; Kotak Is PSL Surplus
Citi On Infosys
Buy Call
Target Rs 1,625
To Consider Share Buyback On Oct 13
The past 2 Buybacks, Were Of An Aggregate Amount Of Rs 9,200 Cr/ Rs 8,260 Cr Respectively
Open Market Buyback May Provide Support To Stock
By: via Allies Fin Serve Stock Market
