Tata Consultancy Services (NSE:TCS) Receivables Turnover: 1.25 (As of Jun. 2026)

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NSE:TCS Tata Consultancy Services Ltd NSE:TCS
87 GF Score
Price ₹2,302.00
GF Value ₹4,069.64
Valuation Significantly Undervalued
! 1 Warning Sign
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What is Tata Consultancy Services Receivables Turnover?

Tata Consultancy Services NSE:TCS +0.17% 87 Receivables Turnover is 1.25 as of Jun. 2026. GuruFocus rates NSE:TCS with a GF Score™ of 87/100 and a GF Value™ of ₹4,069.64 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,784 Software companies, Tata Consultancy Services ranks worse than 61.35% on this metric.

The Receivables Turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by average Accounts Receivable. An efficient company has a higher accounts receivable turnover ratio while an inefficient company has a lower ratio. Tata Consultancy Services's Revenue for the three months ended in Jun. 2026 was ₹722,750 Mil. Tata Consultancy Services's average Accounts Receivable for the three months ended in Jun. 2026 was ₹576,300 Mil. Hence, Tata Consultancy Services's Receivables Turnover for the three months ended in Jun. 2026 was 1.25.


Tata Consultancy Services  (NSE:TCS) Receivables Turnover Explanation

An efficient company has a higher accounts receivable turnover ratio while an inefficient company has a lower ratio. This metric is commonly used to compare companies within the same industry to check whether they are on par with their competitors.


Tata Consultancy Services Receivables Turnover Related Terms


Tata Consultancy Services Receivables Turnover Historical Data

* Premium members only.

The historical data trend for Tata Consultancy Services's Receivables Turnover 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.

Tata Consultancy Services Receivables Turnover Chart

Tata Consultancy Services Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Receivables Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.98 6.00 5.64 5.40 4.96

Tata Consultancy Services Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Receivables Turnover 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 1.23 1.23 1.22 1.24 1.25

NSE:TCS vs IBM, ACN, FISV: Receivables Turnover Comparison

For the Information Technology Services subindustry, Tata Consultancy Services's Receivables Turnover, along with its competitors' market caps and Receivables Turnover 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 Receivables Turnover vs Software Industry

For the Software industry and Technology sector, Tata Consultancy Services's Receivables Turnover distribution charts can be found below:

* The bar in red indicates where Tata Consultancy Services's Receivables Turnover falls into.


NSE:TCS
87GF Score
Tata Consultancy Services Ltd NSE:TCS
Receivables Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
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Tata Consultancy Services Receivables Turnover Calculation

Receivables Turnover measures the number of times a company collects its average accounts receivable balance.

Tata Consultancy Services's Receivables Turnover for the fiscal year that ended in Mar. 2026 is calculated as

Receivables Turnover (A: Mar. 2026 )
=Revenue / Average Accounts Receivable
=Revenue (A: Mar. 2026 ) / ((Accounts Receivable (A: Mar. 2025 ) + Accounts Receivable (A: Mar. 2026 )) / count )
=2670210 / ((501420 + 576300) / 2 )
=2670210 / 538860
=4.96

Tata Consultancy Services's Receivables Turnover for the quarter that ended in Jun. 2026 is calculated as

Receivables Turnover (Q: Jun. 2026 )
=Revenue / Average Accounts Receivable
=Revenue (Q: Jun. 2026 ) / ((Accounts Receivable (Q: Mar. 2026 ) + Accounts Receivable (Q: Jun. 2026 )) / count )
=722750 / ((576300 + 0) / 1 )
=722750 / 576300
=1.25

* 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.

Frequently Asked Questions Learn more about Receivables Turnover →
What does a Receivables Turnover of 1.25 mean?
Tata Consultancy Services (NSE:TCS) has a Receivables Turnover of 1.25 as of Jun. 2026. The accounts receivables turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by Average Accounts Receivable. View historical data on Tata Consultancy Services and its competitors. According to the industry distribution chart, Tata Consultancy Services ranks #1708 out of 2784 companies in the Software industry, placing it in the top 61.4%.
Is Tata Consultancy Services' Receivables Turnover too high?
Tata Consultancy Services' current Receivables Turnover is 1.25. The Software industry median Receivables Turnover is 5.99. Tata Consultancy Services' value of 1.25 is 79.1% below this industry median. Based on the distribution chart, Tata Consultancy Services ranks #1708 out of 2784 companies in the Software industry, which is below the industry midpoint. Overall, Tata Consultancy Services has a GF Score™ of 87/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Tata Consultancy Services' Receivables Turnover compare to IBM and ACN?
According to the Software industry distribution chart, Tata Consultancy Services ranks #1708 out of 2784 companies for Receivables Turnover. This places Tata Consultancy Services in the lower half of its industry. The industry median Receivables Turnover is 5.99. Tata Consultancy Services' value of 1.25 is 79.1% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Receivables Turnover for a Software company?
The median Receivables Turnover among Software companies is 5.99, based on 2,784 companies in the industry. Companies in the top quartile (top 25%) have a Receivables Turnover significantly above this median, while those in the bottom quartile fall well below. However, Receivables Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tata Consultancy Services's current Receivables Turnover of 1.25 is 79.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Receivables Turnover mean?
A high Receivables Turnover can signal that a stock is expensive relative to its fundamentals. The accounts receivables turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by Average Accounts Receivable. View historical data on Tata Consultancy Services and its competitors. For the Software industry, the median Receivables Turnover is 5.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tata Consultancy Services's current Receivables Turnover is 1.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tata Consultancy Services stock overvalued right now?
Based on GuruFocus' analysis, Tata Consultancy Services (NSE:TCS) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹4,069.64, compared to a current price of ₹2,302.00 — trading 43.4% below its estimated fair value. The current Receivables Turnover is 1.25 and 79.1% below the Software industry median of 5.99. Tata Consultancy Services' overall GF Score™ is 87/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Receivables Turnover calculated?
Receivables Turnover is calculated from a company's financial statements. For Tata Consultancy Services (NSE:TCS), the current Receivables Turnover is 1.25 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Tata Consultancy Services (NSE:TCS) Overvalued in 2026?

Based on GuruFocus' analysis, Tata Consultancy Services stock appears to be undervalued. The current stock price of ₹2,302.00 is trading 43.4% below its estimated GF Value™ of ₹4,069.64. GuruFocus considers Tata Consultancy Services to be Significantly Undervalued.

Key valuation signals for NSE:TCS:

  • Receivables Turnover: 1.25
  • GF Value™: ₹4,069.64 vs. price of ₹2,302.00 (43.4% below fair value)
  • GF Score™: 87/100 with 1 warning sign
  • Industry Position: 79.1% below the Software median (#1708 of 2784)

No single metric tells the full story. See the NSE:TCS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Tata Consultancy Services Business Description

Other Exchanges 532540:India
Address Raveline Street, TCS House, Fort, Mumbai, MH, IND, 400001
Tata Consultancy Services is a leading global IT services provider based in Mumbai, India. Founded in 1968, it is one of the first companies to leverage a global delivery model that helps clients outsource their IT needs to offshore labor. The company boasts a wide range of offerings, including IT consulting, managed services, and business process outsourcing.
87GF Score

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Receivables Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹2,302.00
Price
₹4,069.64
GF Value