TCS Share Price: Should You Buy The IT Stock Before Q1 Earnings And Dividend? | Markets News

Last Updated:July 10, 2025, 11:28 IST

TCS share price will remain in focus during the Thursday session; Here’s how to trade in the IT stock before the Q1FY26 results and dividend

TCS will announce it’s Q1 results today

TCS Share Price Today: The board of directors of Tata Consultancy Services (TCS) consider and approve Q1 results 2025 on 10 July 2025. The IT giants’ board members will also consider the proposal for the first interim dividend for its shareholders, which will be payable during the financial year 2025-26. So, the TCS share price will remain in focus during the Thursday session.

The shares of the IT major were trading with minor gains and losses in the morning. At 11.30 am, the stock was up 0.02 percent to hover around Rs 3,384 apiece.

TCS Q1: Modest Performance Expected Amid Global Headwinds

Indian IT major Tata Consultancy Services (TCS) is likely to deliver a modest performance in its Q1 FY26 results, amid geopolitical uncertainties and tariff-related concerns, according to market experts. Analysts believe that revenue growth will likely be supported by the BFSI and energy sectors, while verticals like healthcare may underperform due to cautious client spending.

Also Read: TCS Q1 Results Today: Date, Time, Dividend News, Other Key Updates To Watch Out For 

TCS shares have remained range-bound, trading between Rs 3,150 and Rs 3,600 apiece. Experts say a decisive breakout above or below this range will determine the next directional move for the stock.

Muted Outlook for IT Sector?

Brokerages expect the IT sector to see a soft earnings season, with global tensions and uncertainty weighing on corporate spending. “If the final U.S. tariffs are passed on to consumers, U.S. inflation may rise, creating further uncertainty for global companies and likely dragging IT growth,” said Girish Pai, analyst at BOBCAPS.

Equirus Capital estimates TCS’s US revenue to decline 0.4 percent sequentially in constant currency (CC) terms. The firm attributes the tepid performance to the expected ramp-down in the BSNL deal and a slowdown in international markets. However, it expects a slight improvement in EBIT margins due to lower operating costs from soft demand. It also foresees a notable dip in total contract value (TCV) on a quarter-on-quarter basis due to seasonal weakness.

ICICI Securities projects a 3.4 percent decline in CC revenue for TCS, primarily led by the Rs 300 million quarterly ramp-down of the BSNL contract. This is expected to be partially offset by resilient BFSI-led growth in global markets.

Similarly, Axis Securities predicts a 0.3 percent sequential fall in revenue for Q1, again pointing to the BSNL impact. EBIT margins are expected to remain largely flat, with a 60 basis point movement during the quarter.

Ashika Institutional Equity Research also anticipates a 0.5 percent sequential decline in TCS’s USD revenue due to the BSNL tapering.

Technical View

Commenting on the stock’s technical trend, Ganesh Dongre, Senior Manager – Technical Research at Anand Rathi, said, “On the daily chart, TCS remains under selling pressure and is currently trading below its 200-day Exponential Moving Average (EMA), which stands at Rs 3,700—a significant resistance level. The stock continues to consolidate between Rs 3,150 and Rs 3,600. A breakout on either side will be key in defining the stock’s future trend.”

Q4FY25 Recap and Dividend History

In the previous quarter (Q4FY25), TCS reported a marginal decline in net profit and modest revenue growth, while also declaring a final dividend for FY25. Notably, the company crossed the $30 billion revenue mark, reflecting strong long-term potential supported by a robust order book.

As per exchange filings, TCS reported a consolidated profit after tax (PAT) of Rs 12,224 crore in Q4FY25, down 1.7 percent from Rs 12,434 crore in the same quarter last year. Revenue from operations stood at Rs 64,479 crore, marking a 5.3 percent year-on-year increase from Rs 61,237 crore in Q4FY24.

Aparna Deb

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More

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