Tata Consultancy Services Limited Buyback 2023
Tata Consultancy Services is an IT services, consulting and business solutions organization that has been partnering with many of the world’s largest businesses in their transformation journeys for over 55 years. Its consulting-led, cognitive powered, portfolio of business, technology and engineering services and solutions is delivered through its unique Location Independent AgileTM delivery model, recognized as a benchmark of excellence in software development.
A part of the Tata group, India’s largest multinational business group, TCS has over 614,000 of the world’s besttrained consultants in 55 countries. The company generated consolidated revenues of US $27.9 billion in the fiscal year ended March 31, 2023 and is listed on the BSE and the NSE in India.
TCS’ proactive stance on climate change and award-winning work with communities across the world have earned it a place in leading sustainability indices such as the MSCI Global Sustainability Index and the FTSE4Good Emerging Index.
Buy Back Offer Deal:
| Buyback Type: | Tender Offer |
| Buyback Record Date: | Nov 25 2023 |
| Buyback Opening Date: | Dec 01 2023 |
| Buyback Closing Date: | Dec 07 2023 |
| Buyback Offer Amount: | ₹ 17,000 Cr |
| Date of Board Meeting approving the proposal: | Oct 11 2023 |
| Date of Public Announcement: | Oct 11 2023 |
| Buyback Offer Size: | 1.12% |
| Buyback Number of Shares: | 4,09,63,855 |
| Price Type: | Tender Offer |
| FV: | 1 |
| Buyback Price: | ₹ 4,150 Per Equity Share |
Details of Buyback:
Salient financial parameters:
| Particulars (In Cr) | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 |
| Sales | 146,463 | 156,949 | 164,177 | 191,754 | 225,458 |
| Expenses | 106,957 | 114,840 | 117,631 | 138,697 | 166,199 |
| Operating Profit | 39,506 | 42,109 | 46,546 | 53,057 | 59,259 |
| OPM % | 27% | 27% | 28% | 28% | 26% |
| Other Income | 4,311 | 4,592 | 1,916 | 4,018 | 3,449 |
| Interest | 198 | 924 | 637 | 784 | 779 |
| Depreciation | 2,056 | 3,529 | 4,065 | 4,604 | 5,022 |
| Profit before tax | 41,563 | 42,248 | 43,760 | 51,687 | 56,907 |
| Tax % | 24% | 23% | 26% | 26% | 26% |
| Net Profit | 31,562 | 32,447 | 32,562 | 38,449 | 42,303 |
| EPS in Rs | 83.87 | 86.19 | 87.67 | 104.75 | 115.19 |
|
Dividend Payout %
|
36% | 85% | 43% | 41% | 100% |
How to Participate in buyback?
Profit from the buyback on the bases of acceptance Ratio:
| Acceptance Ratio | 33% | 50% | 75% | 100% |
| Amount Invested in Buyback | 173424 | 173424 | 173424 | 173424 |
| No. of Shares Buyback | 16 | 24 | 36 | 48 |
| Buyback Profit | 8,592 | 12,888 | 19,332 | 25,776 |
| Profit% | 4.95% | 7.43% | 11.15% | 14.86% |
Recommendation:
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Any big companies buybacks are there in coming days?
Unable to sold today due to indecisive mode. Buy on 12th October on avg 3630. Today closing is 3593
Kindly suggest what to do now.
The proceeds of my buyback has not been credited into the Bank.Has anyone recieved?
Yes received
Any big companies upcoming buybacks are there?
Received In one ac out of 2 acs applied for
Yes, Received in all accounts
Not yet, i am with Zerodha, also unaccepted shares yet to come back into demat account
Received proceeds of 19 shares.
36 shares yet to be credited back in my demat account
Received a little while ago. Thank you all for the response. This one,in the end has been a very good buyback, thanks to the FPI buying in the sector in recent times.
just received
I have tendered 57 shared in buyback but my only 1 share got accepted, anyone know the reason for only 1 share acceptance
I had 45 shares in my demat on the record dt so my buyback Entitlement was 7.
I sold 20 after the record dt and tendered 25 in buyback.
My shares accepted are 11.
Seems addl shares tendered beyond what is entitled is proportionate to all addl shares.
Thus beyond 7 that I tendered were 18 and out of those addl 18, four shares were bought back.
This the addl shares tendered have been accepted in approx 4:18 ratio
An imp lesson to be learnt in this is that your buyback AR is not determined merely by the holding in your demat account on the record date but solely on the number of shares you tender upto the maximum holding held on the record date
It seems right, 17/52 in my case, entitlement was 8, additional 9/44 get accepted.
TCS BUYBACK 1 SHARE AGAINST 1 SHARE ACCEPTED IN ALL ACCOUNT
*TCS BuyBack Retail Acceptance Ratio 35%*
TCS 19 shares accepted out of 54 shares. Around 35%
_Good Ratio compared to Last BuyBack Acceptance Ratio of 15% 👌👌_
Vinod ji last time AR in retail is around 26%
12 accepted out of 49
How did you check the no. Of shares accepted?
Vinod ji, Did you got any mail regarding acceptance ratio?
Did any one got a confirmation mail on acceptance? I am with Zerodha and yet to get a confirmation
Zerodha.. No intimation!
Tcs buyback AR may be around 32-34% 🙂
GOOD NEWS FOR TCS BUYBACK PARTICIPANTS 🔥
As expected Settlement and Obligation dates are revised.
Revised dates are:
Obligation on 11/12/2023
Settlement on 12/12/2023
TCS BUYBACK ACCEPTANCE PAY OUT WILL BE RELEASE ON DEC. 12 TUESDAY
any news on the acceptance ratio?
17 out of 50 around 35 % confirm
Numbers of Individual Category Participations in 2022 & 2023 !!
2022- Total Shares were Tendered 7,36,31,330 (Both BSE+NSE Figures)
2023- Total Shares were Tendered 4,13,33,029 (Both BSE+NSE Figures)
Looking to the number Hoping that AR will more than 43%
AR would be 35.35 to 41.28 (Minimum)
Where can we find this data? What about AR for general category?
Hello members
Any news about retail AR?
Dec 23 March 22 AR for Retail
Total Bid 9,99,278 11,28,707 –
Total No of Shares Tander 26,86,24,457 30,10,46,131 26.14%
Hope this time AR should be more than 35-40%
Total bid submitted in DEC 23 are 999278 as compare to bid submitted in Marc 22 is 1128707
Total No of Shares Tander in Dec 23 are 26.86 Cr as compare to shares tender in March 22 is 30.10 Cr
AR for Retails in March 22 was 26.14%. AR This time be should be more than 35-40%
Thanks Ankit for analysis. 👍
Thanks Ankit for analysis
My guts feeling is AR will be more than 50%
Exact as per my working 35%
Agreed for 50% acceptance.
Probabilities of AR for TCS Buy back 2023
(1) If same % of retail investors, who did not participated in March 2022, prefer to remain non-particpant this time (2023) also, then expected AR would be above 35.35
(2) Individual Category shares tendered in March 2022: 6,22,21,854 ( 2,53,42,996 shares were considered as Retail shares)
Dec 2023: Shares tendered : 4,13,33,119 (Retail shares will be known only after official release from TCS post buy back)
Thus participation in individual category is reduced by 2,08,88,735 shares in Dec 23 as compared to March 22.
Based on this difference in Individual Category and subsequently Retail participation, I expect Minimum AR to be 41.28
(3)In 2023, number of bidders decreased by 1,29,429 & among them 1,17,951 bidders might be from retail share category and remaining from general category.
(4)
No separate calculation is done based on number of bidders.
Conclusion:
Minimum AR to be between 35.35 to 41.28
If we take other factors into account, then AR of 60 also is possible.
19 shares out of 54 shares Accepted under Retail Category
Forecasted AR : 35.35 to 41.28
Actual AR : 35.18
On personal level, slightly disappointed with Final outcome
Tcs buyback
Retail me 50% ke near about acceptance ratio aayegi
Total share in retail 61
Lac
Apply for buyback 1.25 crore
Tcs buyback
Retail me 50% ke near about acceptance ratio aayegi
Total share in retail 61
Lac
Apply for buyback 1.25 crore…
Latest data more than 50% will be accepted.
Last time 2022 6 Crore applicant in buyback (Individual)
This time 2023 – approx 3 Crore applicant in buyback (individual)
if no large promoter come
Vinves individual ka data 4.14 crores h Nse+ bse
Looking at 3 Crore Share submission against 60 Lakh Retail.
20% will be allowed.
https://www.bseindia.com/markets/publicIssues/ACQDisp.aspx?id=532540&type=OTB&idtype=1&status=L&IPONo=6347&startdt=01/12/2023
Hello,
Can anyone send me the Nse link of TCS buyback bid where we see the total no.of shares bidded.?
https://www.nseindia.com/market-data/tender-issue-information?symbol=TCS&type=Active
https://www.bseindia.com/markets/publicIssues/ACQDisp.aspx?id=532540&type=OTB&idtype=1&status=L&IPONo=6347&startdt=01/12/2023
https://www.nseindia.com/market-data/tender-issue-information?symbol=TCS&type=Active
https://www.bseindia.com/markets/publicIssues/ACQDisp.aspx?id=532540&IPONo=6347&type=OTB&idtype=1&status=L&startdt=01/12/2023
Total 258044735 629.93% as of 1 pm today!
I posted the links, but is under moderation.
Current figures are –
Total 267901144 653.99%
Is it both nse and bse?
Possible to get retail and non-retail?
https://www.bseindia.com/markets/publicIssues/BSEDemandSchedule_otb.aspx?Scripcode=6347
https://www.nseindia.com/market-data/tender-issue-information?symbol=TCS&type=Active
BSE – Individual Investors – 2,88,86,990
NSE – Individual Investors – 1,24,46,129
BSE – Individual Investors –
2,88,86,990. Mar 22___6,22,21,854
NSE – Individual Investors – 1,24,46,129
In BSE, no. of shares offered is less than ½ of last time (mar 22). NSE shows only current page for last issue.
So AR likely to be better than last time.
How much share has been applied till date in retail category for buyback of tcs?
TCS Buy Back 2023:
17.04 crore shares tendered against 4.10 crore shares (4.16 times oversubscribed as on 12.30 , 6th December)
Individual category bidded for 2.36 crore shares against 60 lakh
In 2022, Individual Category had bidded for 6.22 crore shares against 60 lakh shares.
This Individual category also includes many General Category (having shares worth more than 2 lakh Rs)
Now, Only 1 & half day remains. I assume that AR should be much more in 2023 than that of 2022
Expecting 50-60% Acceptance Ratio in current buyback. I guess because their holding cost is already more than current price or close to buyback price.
How many number of shares tendered till now can anyone tell
Total 46723635 shares tender ( 382358 Bids) till 4th Dec.
Kindly tell where to check this info ? Thank you.
Can anyone tell expected AR now that final date is over based on data regarding number of shares tendered
Ajeet Saxena TCS buyback offer will close on 7 Dec.
Really relieved to see the share price crossing ₹ 3600 today. Was staring at another heavy loss until last week or two.
ER of 9 out of 54 for me .Better than my expectations. Hope for the AR of twice the ER if not more. Good luck to all.
Hello Kindly help
I have TCS shares in some of my demat since last year. When I checked the ER on Link in time website , they show invalid pan record not found.
When I send dp holding till 25 nov, still link in time said shares not reflecting on ur demat on 25 nov.
i am also holding share on record date but it is saying no record found
I had 44 shares in one demat account, and 11 in another. I have got 2 separate emails, one saying I’m entitled to 7/44, and another saying 1/11.
Should I tender shares from seperate accounts, or from 1 account? (I have transfer set up). Will it make any difference?
ER of 9 out of 54 for me .Better than my expectations. Hope for the AR of twice the ER if not more. Good luck to all.
TCS Buyback Schedule Announced👍
Retail Entitlement Ratio : 09 Shares against 55 Share (16.79%)
Buyback Dates : 01 – 07 December
Date of Receipt of Payment / Settlement of Bids : 14 December
Hello Ankit, where u get that ER figure.
Have u received tcs buyback mail
Mail received from TCS
Hello Ankit
I have tcs shares in my dp since last year but when I enter details in linkintime site for checking ER they showing not valid pan / dpid
What to do
Hope you will receive mail from TCS for buyback. If still not receive any mail then contact with linkintime.
I have not received entitlement email!
SHARES AS ON RECORD DATE : 48
SHARES ENTITLED : 8
APPROX : 16-17% ENTITLEMETN RATIO.
When is the email confirming entitlement going to be sent ? Buyback is opening on Dec 1,so it is about time.
Entitlement
Retail – 16.79%
General – 0.95%
TCS BuyBack
Expected Entitlement for Small Shareholder : around 17-18%
Expected Acceptance for Small Shareholder : around 38-40%
* 𝙰𝚕𝚕 𝚌𝚊𝚕𝚌𝚞𝚕𝚊𝚝𝚒𝚘𝚗𝚜 𝚊𝚛𝚎 𝚝𝚎𝚗𝚝𝚊𝚝𝚒𝚟𝚎, 𝚋𝚊𝚜𝚎𝚍 𝚘𝚗 𝚙𝚛𝚎𝚜𝚎𝚗𝚝 𝚖𝚊𝚛𝚔𝚎𝚝 𝚜𝚌𝚎𝚗𝚊𝚛𝚒𝚘 & 𝙲𝙼𝙿.
TCS BuyBack
Expected Entitlement for Small Shareholder : around 17.25%
Expected Acceptance for Small Shareholder : around 38.5%
* 𝙰𝚕𝚕 𝚌𝚊𝚕𝚌𝚞𝚕𝚊𝚝𝚒𝚘𝚗𝚜 𝚊𝚛𝚎 𝚝𝚎𝚗𝚝𝚊𝚝𝚒𝚟𝚎, 𝚋𝚊𝚜𝚎𝚍 𝚘𝚗 𝚙𝚛𝚎𝚜𝚎𝚗𝚝 𝚖𝚊𝚛𝚔𝚎𝚝 𝚜𝚌𝚎𝚗𝚊𝚛𝚒𝚘 & 𝙲𝙼𝙿.
I missed the train of selling some shares to be elligible for Retail. Now I am in HNI catagory. What could be the ER/AR fir my catagoey? Can be 1%/3to4?
AR would be Around 2% for General Category in ur case.
Is anyone here have idea about Expected ER ?
Expected ER is 17%
Expected AR is 38%
This is as per reliable source on X and depends on TCS share performance.
Due to heavily flooded with good ipos money is diverted and a fresh enterants may be reduced considerably, so AR can be around 42-44%
Good luck.
Let us hope for the best and be prepared for the worst in the near term. Also keep in mind that form is temporary and quality is what matters in the end.
Zerodha shows 24 Nov as the ex-date and the same on the Bse and Nse websites. But the record date is 25 Nov 23. Can some one help?
What is the confusion here. Record Date is 25th and Ex Date is 24th is correct because 25th is Saturday which is Trading Holiday. People Buying on 24th will get delivery on 27th Only and hence buyers on 24th will not be entitled for buyback.
My bad! Sorry!
I think 24 November is the ex date. 25th is Saturday and hence, market holiday .
Mr.Rohit, Mr.Gopi and Mr.Sivaramakrishna, Can you guys give your opinion on the entitlement ratio and acceptance ratio?
I think we will have a considerable difference in the ER and AR ratio due to various IPOs. I have not calculated the ER and AR for this. I have sold 80% of the record date holding. Will buy again if I think the price is favorable (after releasing of actual AR). So, in other words, I am hoping for a 15-20% ER.
Due to so many IPOs lined up, this buyback will see less subscription and ar can be more than 35%
Request knowledgeable members to suggest whether HNI or Retail category invester/ applicant has a better chance to get allotment in the much hipped Tata Technology IPO .
Hey , I can do 1 share thing and apply for buyback ? in previous buybacks too , 1 share was gone from everybody’s acc even after low AR . Only applying with 1 share will give me guaranteed profit , right ?
Good to know that the Schedule has been fixed without any delay.
25 Nov 2023
Can someone tell me invested value or current value should be < 2lakh for retail participation?
Intact the value on the closing price on NSE or BSE which ever is higher on the record date .
For TCS buy back, to remain as a retail investor ie below 2 lakhs total, how many shares can one hold as on 23rd November
Can anyone reply? To become a retail investor the maximum number of shares one can hold,is it 48 or 55
57 shares as arrived at on the basis of the following calculations.
200000/3457.10= 57.85 ( Not more than 57 shares)
3457.10 is the closing price on the Record Date at the stock exchange where the number of transactions are relatively more.
Hope the doubt is cleared.
Dear SIVARAMAKRISHNA Sir,
Thanks. It is correct in my View also.
What is MTF shares? Is it different from ordinary share or something like preference share?
Mtf shares means you have paid part payment and part amount by broker on which you have to pay interest.your shares get mortgage during this period. Not entitled for buyback
Angel one broker confirm that MTF shares are eligible to get entitlement
Yes. Not really sure why the guy is misleading investors. What is he hoping to gain?
Can I apply for buyback if my shares are pledged?
If your shares are currently pledged, you should settle any outstanding debit and request the release of the pledge. Once the debit balance is cleared and the shares are no longer pledged, they will be transferred directly to your Demat account. Only after this transfer has occurred, you will be eligible to apply for the buyback.
FROM 5 PAISA DOT COM
For TCS buy back, to remain as a retail investor ie below 2 lakhs total, how many shares can one hold as on 23rd November
Record date Announced
25 NOV 2023 IS RECORD DATE FOR BUYBACK. ALL THE BEST FOR ALL MEMBERS 🙏
Will MTF shares eligible to get entitlement in buyback? Please answer
Mtf shares are not entitled for buyback .CTD so many times takes t+2 so be careful
Not sure why you’re trying to mislead investors.
It’s sure It’s documented
Don’t get confused.
Mtf shares are not entitled for BUYBACK
You may not be sure but fact is fact.
Saying fact is not misleading.
Keeping in dark is misleading.
Please show where it is documented. Please do not invent facts. Not sure why you’re doing this.
Would I be eligible for buyback for the MTF position I hold?
MTF positions are partially funded by Upstox and the funding is offered after pledging the shares with CDSL. Unfortunately the option to buyback shares is applicable only on shares which are free (not pledged). Hence buyback is not available on MTF positions.
Ref upstox
Even book on buyback also mentioned same .
Buy share in mtf and practically confirm it .
I had tested practically also .
I am closing issue here
Do not want to waste time and energy
“Closing the issue” does not absolve you from spreading misinformation and misleading investors or excuse your poor comprehension skills.
The OP is asking whether MTF shares get ENTITLEMENT. And the answer is yes, it contributes to/increases your ENTITLEMENT.
What you have said is true, but it applies to TENDERING and has NOTHING to do with the question asked.
Why this accusations and arguments. Nothing prevents the holder of shares to tender his holdings for buyback whether pledged or not. Please tender your shares and let us know whether these are accepted or not after the buyback is over.
Long discussion is done by me with icici direct on same issue long back after finalisationof AR .pleaded shares they are not considering for er or ar .Its very clear .
SIR U HAVE TO BUY THIS SHARES IN MARGIN NOT IN CUSA PLEDGE, MTF PLEDGE IS ELEGIBLE BUT CUSA SHARES WILL GET SOLD IN 7 DAYS, PLS CORRECT ME IF I M WRONG….
I request you to please keep 2 or 3 or more shares of TCS in mtf and after rd study the entitlement ratio that will update you .for your information I want to inform you that I am receiving message from icici that please convert your all mtf shares of tcs to ctd to avail benefits of buyback before ex date
I think this is well explained.Yes correct.To become eligible for buyback one has to cancel the pledging well before the record date
Can anyone reply? To become a retail investor the maximum number of shares one can hold,is it 48 or 55
Any idea when the record dates will be announced? I think the share will move upwards once the record dates are announced.
15 – 19 November they announce i think
Most probable record date may be Nov 25th 2023.
After voting results on 17.11.2023
You are absolutely right about the share price movement. The higher it reaches, the better the AR.
My average is 3450 rs, Can we accumulate further, pls guide.
Yes. Your holdings upto 50 shares will be considered under the Retail Category. As per your previous post , you are holding 17 shares only. Hence, it is suggested to purchase 33 shares in instalments at your convenience taking into consideration the price movement. It is also suggested to tender all the 50 shares to be held on the Record Date for the buyback to get the maximum benefit.
Thank you, Sivaramakrishna ji.
Siva ji
50 if price touches 4000
Most like scenario is price hovering around 3500
So 55-56 is safe
I have 56 shares each in my 2 accounts
If it crosses 3550 will sell 1 share on the last day
If we need to sell shares then on which date we need to place the order as 25th Nov is the Record Date. Will it be 23rd Nov or 22nd Nov?
Latest by 23 November as 25th is Saturday and hence market holiday.
Good to buy now
Averaged to 3450 rs. If price drops further need to add few more quantities. I have 17 shares as of now.
Hi, Could someone please explain to me if I can tender my shares in the upcoming TCS buyback. I’m an individual investor, but I don’t qualify as a non-retail investor, because I’m holding 900 shares of TCS. So my doubt is ‘ Can I tender all 900 TCS shares ?’. If so will all 900 shares be bought by the company in the buyback? Please explain the process. Thanks.
As per previous acceptance ratio is 20 percent. In this time I think Max expectation ratio will be less than 20 percent. I think Max 180 shares will be acceptable.
If you have 900
You will be non retail
Acceptance ratio will be very low
Best strategy would be to sell shares from this account and buy in family members demat account
Price movements is not as per expectations Inspite of buybacks declaration, no support zone is visible
Yes. Look like this buyback is going to be below average.
What are the chances of revising buy back price as in case of L&T?
Tarun Davda ji,
I don’t find any valid reason for the revision of the Buyback Price in the near future.
Next to nothing. But anything is possible in the corporate world.
Mr.Sumit, Mr.SRK, Mr.Gopi, Mr.Rohit and other experts do you guys have any idea about the record date, when could it be? Will there be another BOD (Board of Directors) meeting to finalise the record date for this buyback? Also does this buyback will be a lot similar to 2022 or the other buybacks in TCS history.
Rahul bhai….
They announce Record date around 15-18 November after postal ballot period over.
The right to revise the buyback price is mentioned in the disclosure mentioning the buyback price as well as in the letter of offer. If it is not mentioned then the buyback committee does not have the right to revise the price any time.
I have a doubt please anyone clarify it.
If I have 2 demat account With two different broker application. I have 1 tcs share both in the 2 demat account. I tender the both shares for 2 demat account for tcs buyback. Only one demat account tender will accept or both are accept.
Please provide your valuable information
You can tender from one Demat account only.
1 share for one PAN NUMBER
I have total shares of 2.65lac rupees, am I eligible to participate in Buyback?
Yes. But, your holdings will be considered under Non Retail Category in case all your holdings are covered under one PAN . If they are spreading over the different accounts of your family members and the value of each holding is worth not more than two lakhs, they will be considered under the Retail Category. All the best.
I have averaged to 3450, can I still accumulate for the buyback… day by day price drops. Pls guide.
Transfer 75 k shares in your spouse account before record date which is still not declared. Then only you will get retail benefit
TCS seems to be going defensive. Specifically due to reduction in revenue on dollar basis. I have large quantity as same has been accumulated while averaging from 3800 to 2800. I believe may be some more retail holder would dispose shares to remain in retail category with 50 or 51 shares.
Still, if some one has lesser share than 51, buying for buyback can be definitely looked, while 3520 could be possible.
I would try to reduce at a rate of 3640-3670, if it is achieved, as rate may increase due to buying by DI / FII with Nasdaq going strong.
Wish all the best , Specifically thanks to SRK ji.
Sumit ji,
Thank you very much for your kind inputs. God blesses you with all the best throughout.
I felt 3570 is a good rate to buy TCS which gives around 16% premium to buy back price. I started doing buybacks a few months ago so not have any previous experience in TCS but overall I think this buyback will give a decent return in 1-2 months time period.
buyback price at Rs. 4150.00 seems to be on conservative side, probably fixed by the company keeping in view the movement of share not taken place as per anticipation after last buyback offer at Rs 4500, it’s probably first company in buyback history, which has offered subsequent buyback offer at lower price than the preceding one. However buyback price even at Rs. 4150, which added with tax component works out to above Rs, 4800 as cost to company, can be considered as an indication for northward movement of the share in near to mid term future, hence its buying at present cmp of around Rs 3560 can be considered a good proposition for tendering in buyback or otherwise.
TCS Fix loss / Profit Strategy
TCS Buyback 4150
Current 3550
Retail 56
Lot Size 175
6 Account (Per Account 56) 338
1 Lot Sell 175
163
Buyback @ 30% AR 101
Balance After Buyback 62
Buyback Profit 60845
Remaining Share Cost 2563
If rate @ 3550 after Buyback
Profit / Account 10141
Balance after buyback will be 237 no of shares… how it come to 62?
Expected record date ?
Motilal oswal expected buyback on result
Welcome news for a change ☺️
BB RECORD DATE AFTER APPX 2 MONTH AS IT WILL BE PASSED BY SHAREHOLDERS THROUGH SPECIAL RESOLUTION . CORRECT ME IF I AM WRONG.
Expected record date : 25 Nov 2023
Record date is 20th October.
Record date is Erroneously mentioned as 20 th October in my previous comment, may please be ignored
Hello members,
Is it possible in Tcs case also that company will increase or decrease the Buyback price before record that just like LT did.?
I doubt it will be required
Various Brokerage House Report – As per them there will be pressure on the stock price.
1. GS on TCS
Buy Call, Target Rs 4,020
Revenue Growth Of -0.1% QoQ (Constant Fx, +2.8% YoY)
Revenue Growth Below GS Est Of +1% QoQ
1% QoQ Decline In Headcount Suggests Weak Near-term Revenue Outlook
Lower Rev Est By Up To 1%
FY24 Revenue Growth Of 3.8% (Constant Fx, Vs 5% Earlier And 2.8% YoY For Infosys)
Order Book Remains Strong (+31% YoY & Rolling 2-quarter Growth)
Orderbook Reflecting Improving Revenue Trajectory From H2FY24
2. HSBC on TCS
Hold Call, Target Rs 3,625
Deal Wins Were Strong, Revenues Missed Est In Q2
Rev Missed Est As Discretionary & Scope Expansion Work Was Weak
H2 FY24 Unlikely To See A V-Shaped Recovery
Bulk Of Rampup Benefit Of Large Deals Will Only Be Visible In FY25
With Stock Trading At 2.4x PEG, Do Not See Much Room For Upside
3. MS on TCS
Equal weight, Target Price Cut To Rs 3,590
Q2 Shows No Respite From Macro Headwinds
TCS Missed On Revenue Despite Improving Order Booking Trends
Good Execution On Orderbook Is Not Translating Into Revenue Optimism
Good Execution On Orderbook Has Driven Cuts To Revenue Assumptions
EPS Cuts Are Limited Due To Better-than-expected Performance On Margin
4. Nomura on TCS
Reduce Call, Target Rs 3,030
Q2 Sluggish Growth Persists, Misses Revenue Est
Orderbook Holding Up, But Near-term Visibility Remains Low
Weak Headcount Addition Persists, As Attrition Continues To Moderate
Unlikely To Hit 25% EBIT Margin In FY24, In Our View
TCS Announced A Buyback Worth Rs 17,000 Cr At Rs 4,150/S
5. Bernstein on TCS
Outperform Call, Target Rs 3,950
Q2 Mixed Bag, Deal Wins Set Platform For FY25
Delivered A Mixed Quarter With Positives On Margins (54 bps Beat)
Strong Order Book ($11.2 Bn) & A Large Buyback ($2.2 Bn)
Client Optimisations Due To Macro Uncertainty Led To Sharp Rev Miss
Overall Deal TCV Was Up 38% YoY (Book: Bill Of 1.6x)
Large Deals With JLR ($1 Bn) & BSNL ($1 Bn)
Co Announced A Buyback Of Rs17,000 Bn At Rs4,150 (15% Premium To CMP)
Buyback Should Provide Near-term Stock Support
6. Citi on TCS
Sell Call, Target Price Rs 3,170
Delivered A Weak Q2 On Growth
The last Three Quarters Have Been Largely Flattish QoQ
Cost Discipline Approx 30 bps Margin Expansion YoY
Headcount Reduction Of Approx 6,000 (Down 1% YoY) Would Have Aided
Deal TCV At $11.2 Bn (BSNL & JLR Mega Deals Were Already Known)
Lack Of Accurate Data On ‘Duration’ & ‘New Vs Renewal’ Makes It Difficult To Interpret
Lower CC Revenue Growth Est To 3.5% YoY For FY24
Stock Trades At 27x 1-yr Forward Consensus EPS
So kind of you. I wholeheartedly admire your dedication and commitment to the learning community. I can understand the pains in segregating the information. Hats off to you. Please continue to support n share your valuable insights. We are very fortunate to have you on board. Thank you once again. God blesses you with all the best throughout.
SRKJi, I have 110 shares at av. cost 3465. I am confused and needs guidance from you, Sumitji, Umeshji and other learned friends.
Pl. guide me.
Tarun Davda ji,
Your cost price is very low. Though I am not an expert, I don’t hesitate to express my opinion. You please hold 50 shares for tendering in c/w buyback. If you get a chance to dispose @ Rs. 3900/-, you may sell all the shares. All the best.
Only a few shares are purchased. I am rather a bit cautious this time as I have burnt my fingers in the last buyback. Kind Views are solicited from the precious gem Sumit ji. Thank you. All the best to all of you.
Siva ji
Though you asked Sumit ji, he hasn’t responded till now
I thought I will give you my 2 cents on this
I agree the acceptance ratio could be low considering large no of investors would participate in this.
But TCS is a portfolio stock and one can keep it in the portfolio in case of any adverse events
And even in last buyback, I didn’t incur any loss, if I remember correctly, it was either a small profit or no profit scenario
And this time it’s different Siva ji
Difference between cmp and buyback is less(15%), would attract less investors
Valuations are reasonable, no fancy so it going further down is unlikely, last time valuation were on higher side and downsides were not priced in, 2 quarters of very less growth and muted growth going forward is already priced in
These are the reasons I am going FF in this buyback
Ashish ji,
Thank you very much for your kind readiness to enlighten me. I appreciate n admire your positivity. Your valuable input is taken note of. God blesses you with all the best throughout.
Purchased some more shares today @ Rs.3551/-. I am unable to correctly assess the bottom line of the share for the present.
Purchased some more shares today @ Rs.3501.15. I am unable to correctly assess the bottom line of the share for the present. Let us see.
Averaged to 3450 rs. Little bit worried whether price will go down further.
Acceptance ratio theoretically is only about 3.75 percent
Practically depends on the price at time of record date and tender date.
But it won’t also be much practically
Hello Sir,
I have 54 shares of TCS as on today. Will I be eligible for retail buyback quota?
Yes, if the closing price on the record date is not more than ₹ 3700/ or there about. Since it is not within your control I suggest you to sell few before the record date.
Thanks Gopi.
I did some shareholding research. About 19 crore shares out of 366 crore shares are held by Indian public and others which are held between 24 lac ppl. Which is about 5%.
The retail entitlement will be about 60 lac shares.
One clue whether out of these 24 lac ppl, how many are those holding less than about 50 shares to be entitled to retail category- can be found from last buyback, where the ER was 14% for retail.
Last time also buyback was abt 60 lac share in retail.
Thus 7 times of this comes to 4.2 crore shares are likely held by retail category ( I am assuming approx same number as last time).
Thus retail ER is likely to be similar- about 14%.
Now last time the price at time of buyback date has got down from about 3800-3900 to about 3500-3600. The buyback was at 4500.
Hence massive shares were submitted in buyback and retails AR was about 24% because of huge gap.
Now depending on price movement of TCS in the phase closer to buyback submission, the AR could be between 25% if price of TCS falls to 3300-3400 and could improve to 50% if price is between 3700-3800 ( which is to my mind the best likely scenario).
I rate the result today as fairly ok, and am not disappointed even though revenue estimate is missed. But both profit percentage and profit has beaten estimates.
And just in case price is above 3900 we can expect almost 75-100% buyback since many will refrain from tendering
Appreciate logical analysis 👍
As per the latest shareholding available at BSE, around 23.95 Lakh person holding around than 50 shares.
So, ER is theoretically its around 3.5%. And if we assume 70 % of this 23.95 Lakh retail shareholder participate in this buyback, then AR will only be around 5%. Please correct me if i am wrong,
This is wrong sir. Abt 24 lac ppl hold an AVG of 75 shares.
This 24 lac incl those individuals also having much more holding than retail.
Firstly, to be eligible for the buyback the investor should have shares of Siyaram Silk Mills Limited in Demat or physical form as on the record date [To Be Updated].
Pls correct this line
Here to be updated (stated in bracket )
may be confusing for some people. It means that the record date has not yet been fixed and hence, will be notified later.
TCS Tender Route Buyback Announced 👎
Buyback Price : 4,150 ₹
Last Closing Price : 3,610 ₹
Buyback Size ₹ : 17,000 Crore
Buyback Size in Shares : 4,09,63,855 Shares
Retail Quota : 61,44,579 Shares
Record Date for Eligibility : To Be Announced
As buyback is subject to shareholder’s approval through postal ballot, which may take one month.
Therefore. Investors needn’t buy or sell in hurry.
As per my calculations, buyback will happen in the last week of November
Allocation only ₹17000/ crores.
Buy back @4150/ per share.
I have averaged to 3450 rs, can I still accumulate, price is droping day by day, pls guide.
Hi any updates about TCS buyback Tender or Open market ?
At present I am holding 133 shares of TCS and at todays market price my holding is about Rs.4,83,588/-. Wheather I will get intimation from TCS for tendering the shares or not bcs I do not fall in retail category Please let me know my status as I am holding shares of more than 2 lakhs.
.
Email intimation will be sent to all including you. Even if you don’t receive it, you may tender your shares in full during the tender period which can be seen in this Zone. Infact I have not bothered to read Emails regarding buyback or many things similar. Never had any problem.
Thanks
Buyback size may be 4300/20000cr,4400/19000cr
Or 4600/18000cr.
This is my guess
Generally TCS keeps a good 15-20% difference in their buyback price vs the then mkt price. So I guess, the buyback price could be 4200 this time
Quite near the predicted price . 4150 is the buyback price.
Hope this time also it will be 4500 but with 20000 Cr.
Morgan Stanley on TCS
EW, TP Rs 3730
1. Buyback announcement been anticipated for last 2 qtrs.
2. Believe buyback announcement doesn’t necessarily provide enough assurance for an outperformance
3. Expect TCS to show a slight improvement in rev growth QoQ in cc terms in 2Q (vs 1Q) .However, are lower than consensus on earnings for F24/25 primarily due to margins, and valuation is at a premium to its own last 5-year average making risk reward not as favorable.
In TCS buyback 2022, mostly investors incurred huge loss. I was also in that category. The acceptance ratio was very low and rates fallen drastically after buy back. Be caution this time.
So let us hope that this time it won’t be like last year and be like the other two previous ones in which I participated and made big gains. The West Asian war like development may have an adverse impact in the market in the near term . Request all friends to wait and watch before plunging in.
I agree. I was also in the same boat. Still holding on to those shares purchased at 3900 rs.
However added more today at 3660.
Unlike the buybacks of the earlier years, where AC etan e ratio was almost 100%, the last time it was only 20-25%
Adesh Ji was there any special reason behind low AR of 20% in tcs buyback last year. Can we expect a higher AR this time.
Yes Adesh ji. It hurt so badly last time I remember almost every detail of it. I tendered 44 shares and just 10 were accepted. Carried the unaccepted and returned dirt for a long time. Few are still with some of my friends and family members whom I persuaded to buy . Let us hope for a better experience this time.
If I recall, the low acceptable was because of high tendering. Think there was a huge gap between the buyback price and the then mkt price.
Normally if a share moves up gradually to about 5-7% below the buyback price, then many PPL do not tender shares.
I personally do not mind keeping TCS as a portfolio stock, otherwise the prospects of IT firms growth are relatively muted as of now.
However with valuations of almost all shares having run up, even IT stocks will catch up as they have not had a dream run till now.
But from buyback perspective, I do not think it will be more than the last time, unless the mkt price is closer to the buyback price at time of share tendering
I think last Time AR was low because huge participation by Retail. Every one had participated in the buyback watching YouTube videos. Due to high retail participation AR came lower. This time AR is expected to be higher because people have burnt their hands last time.
TCS is not a counter for FAATKABAAJs…. I earned a handsome from buy back of TCS in 2022…..Loss is the most expected outcome of Faatkabaajs.
I believe that the Buyback Price will be between Rs. 4300/- to Rs.4500/-. The buyback of 2022 is not a good deal for me. I have incurred remarkable loss. AR was only around 23% or so, if my memory is correct. The selling price of the unaccepted shares is also very low.
This time also, AR may be around 20% only. The number of participants in the Buybacks in the recent times have been increased abnormally by multiple folds. Please be cautious and don’t use “full force” while purchasing the shares for tendering in connection with the buyback. Thank you n all the best.
As per my view the buyback should mostly be around 18-20k crores. The price is in the range 4500-4700. This is because, by 11th expecting the scrip to be trading high. Due to news and also a very good technical breakout above 3600 and a good closing.
As per my Idea, this time price will be around Rs. 4,200/- and No of shares will be around 4.00 to 5.00 crore
Since it is the best offspring of the Majestic House of Tatas and hence, why not to expect some thing more…
As per my idea at this time, Buyback price will be about Rs. 4,200/-per share and No of shares will be 4.00 to 5.00 crore.
Thanks you Umesh ji for informing. It would help me in strategizing shares in different accounts. Thanks again.
Tata Needs money for other Ventures Like Semiconductor Business, E-Commerce Business, etc. TCS is the cash cow for the Tatas
20000 Cr TCS Buyback
Last buyback price was 4500/ and allocation was ₹18000/ crore.Why not to Expect more than 20000/ this time Umesh ji?