NEW DELHI: Shares of Tata Consultancy Services (TCSNSE -1.39 %) declined nearly 3 per cent in morning trade on Wednesday following IT heavyweight's June quarter results.
The company's revenue for the quarter at Rs 38,172 crore was the highest ever, although, it missed brokerages' expectations. The growth for the quarter tapered.
The year-on-year growth of 11.42 per cent for the quarter was less than 16-20 per cent growth the IT major reported in the past four quarters.
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The numbers attracted mixed reviews and the brokerages have largely maintained their previous views on the stock.
UBS maintained 'neutral' view on TCS with a target price of Rs 2,400. The global brokerage said that the revenue miss is likely to trigger growth concerns for FY20.
It expects some near-term pullback from TCS but added that relative margin resilience should limit the downside.
Citi retained a 'sell' recommendation on the stock with a target price of Rs 1,970 against the previous target price of Rs 1,980, attributing the sell call to Q1 numbers.
Citi thinks the company's Ebit was below expectations. Its earning per share (EPS) estimate are 5 per cent and 10 per cent below consensus for the FY20 and FY21, respectively.
CLSA held a ..
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