JM Financial has a hold call on Tata Consultancy Services with a target price of Rs 1,720.The current market price of Tata Consultancy Services is Rs 1,974.50.Time period given by the brokerage is one year when Tata Consultancy Services price can reach the defined target.
"We believe the improved demand outlook, plus superior market positioning of TCS, especially in integrated deals, is priced in the stocks current valuations.
Our revised target price of Rs 1,720 is based on a 19x target multiple (unchanged).
We believe players with relatively cheaper valuations (INFO/HCLT/TECHM) are a better play on the generic demand recovery indicated by TCS results/commentary," JM Financial said in a report.