TCS shares in focus after Q1 earnings: Brokerages cheer near-term Q1 recovery but flag long-term concerns

Tata Consultancy Services has kicked off earnings season on an encouraging note and set the tone for other tech stocks. The tech giant will be in focus after delivering a largely in-line set of numbers. While most analysts see green shoots over the short-term, they have maintained a cautious tone about the longer-term expectations.

Motilal Oswal on TCS

TCS expects the demand to improve in Q2, supported by a pent-up technology backlog and stronger client conversations. While Motilal Oswal expects “Q2 to be better, we believe evidence around demand improvement is scant. The pent-up demand narrative has been around for some time, while geopolitics, tariff uncertainty and cautious discretionary spending continue to weigh on decision-making.”