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Tata Consultancy Services (NSE:TCS) Cyclically Adjusted PS Ratio : 6.20 (As of Jun. 02, 2025)


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What is Tata Consultancy Services Cyclically Adjusted PS Ratio?

As of today (2025-06-02), Tata Consultancy Services's current share price is ₹3463.40. Tata Consultancy Services's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2025 was ₹558.90. Tata Consultancy Services's Cyclically Adjusted PS Ratio for today is 6.20.

The historical rank and industry rank for Tata Consultancy Services's Cyclically Adjusted PS Ratio or its related term are showing as below:

NSE:TCS' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 5.05   Med: 7.51   Max: 10.48
Current: 6.2

During the past years, Tata Consultancy Services's highest Cyclically Adjusted PS Ratio was 10.48. The lowest was 5.05. And the median was 7.51.

NSE:TCS's Cyclically Adjusted PS Ratio is ranked worse than
78.56% of 1371 companies
in the Software industry
Industry Median: 2.1 vs NSE:TCS: 6.20

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Tata Consultancy Services's adjusted revenue per share data for the three months ended in Mar. 2025 was ₹178.263. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is ₹558.90 for the trailing ten years ended in Mar. 2025.

Shiller PE for Stocks: The True Measure of Stock Valuation


Tata Consultancy Services Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Tata Consultancy Services's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Tata Consultancy Services Cyclically Adjusted PS Ratio Chart

Tata Consultancy Services Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.92 9.24 6.94 7.56 6.45

Tata Consultancy Services Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.56 7.37 7.83 7.39 6.45

Competitive Comparison of Tata Consultancy Services's Cyclically Adjusted PS Ratio

For the Information Technology Services subindustry, Tata Consultancy Services's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Tata Consultancy Services's Cyclically Adjusted PS Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Tata Consultancy Services's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Tata Consultancy Services's Cyclically Adjusted PS Ratio falls into.


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Tata Consultancy Services Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Tata Consultancy Services's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=3463.40/558.90
=6.20

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Tata Consultancy Services's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2025 is calculated as:

For example, Tata Consultancy Services's adjusted Revenue per Share data for the three months ended in Mar. 2025 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2025 (Change)*Current CPI (Mar. 2025)
=178.263/157.5517*157.5517
=178.263

Current CPI (Mar. 2025) = 157.5517.

Tata Consultancy Services Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201506 65.133 99.841 102.782
201509 68.932 101.753 106.732
201512 69.437 102.901 106.315
201603 72.199 102.518 110.957
201606 74.362 105.961 110.568
201609 74.309 105.961 110.489
201612 75.453 105.196 113.006
201703 75.182 105.196 112.600
201706 75.639 107.109 111.261
201709 79.788 109.021 115.305
201712 80.726 109.404 116.253
201803 83.788 109.786 120.242
201806 89.488 111.317 126.657
201809 96.344 115.142 131.830
201812 99.505 115.142 136.155
201903 101.277 118.202 134.992
201906 101.727 120.880 132.588
201909 103.873 123.175 132.863
201912 106.210 126.235 132.559
202003 106.455 124.705 134.495
202006 102.127 127.000 126.695
202009 106.959 130.118 129.510
202012 111.969 130.889 134.778
202103 118.017 131.771 141.107
202106 122.764 134.084 144.250
202109 126.700 135.847 146.943
202112 132.156 138.161 150.704
202203 136.800 138.822 155.257
202206 144.185 142.347 159.586
202209 151.157 144.661 164.626
202212 159.128 145.763 171.998
202303 161.697 146.865 173.463
202306 162.285 150.280 170.137
202309 163.150 151.492 169.676
202312 165.949 152.924 170.971
202403 169.242 153.035 174.238
202406 173.055 155.789 175.013
202409 177.631 157.882 177.259
202412 176.778 158.323 175.917
202503 178.263 157.552 178.263

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Tata Consultancy Services  (NSE:TCS) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Tata Consultancy Services Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Tata Consultancy Services's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Tata Consultancy Services Business Description

Traded in Other Exchanges
Address
Raveline Street, 2nd Floor, TCS House, Fort, Mumbai, MH, IND, 400001
Tata Consultancy Services is a leading global IT services provider, with more than 600,000 employees. Based in Mumbai, the Indian IT services firm leverages its offshore outsourcing model to derive half of its revenue from North America. The company offers traditional IT services offerings: consulting, managed services, and cloud infrastructure services as well as business process as a service.

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