TCS Stock Price: Tata Consultancy Services Limited shrugging off US tech stocks' weakness, at new peak

NSE: TCS is trading around 2,500 INR, extending its meteoric rise.
Indian tech stocks are shrugging off jitters in American shares.
Tata Consultancy Services seems on course to a valuation of ₹10 trillion.

Another day, another peak – Tata Consultancy Services has been following its Indian peer Reliance in topping the INF 9 trillion mark. It may be headed toward adding another digit to its market capitalization.

NSE: TCS is rising with other Indian stocks in what is emerging as a rotation from US tech stocks to ones outside the world's richest economy. The coronavirus pandemic has pushed the world to a path of accelerated digitalization, as more transactions – and more life in general – is managed online.

The world's leading companies are based in Silicon Valley or in Seattle – Apple, Amazon, Google, Facebook, Microsoft, and Netflix have been big winners during the peak and also after the crisis. However, their valuations have become rich and have suffered jitters of late. The NASDAQ entered correction territory and seems hesitant.

The most recent downer comes from a report suggesting Facebook is facing greater scrutiny. The Federal Trade Commission (FTC) has opened an antitrust investigation into the social network's dealings – and that adversely affects the sector.

However, the demand for Indian IT services is on the rise. The rising number of COVID-19 cases in the world's most populated nation is not stopping its companies from moving forward. Tata is one of the biggest names and seems well-positioned to take advantage of this fresh interest.

TCS India Stock

NSE: TCS is changing hands at around INR 2,500, flirting with all-time highs reached in recent days. Tata's shares suffered a downward correction earlier in the year and are now surging once again, already up around 50% from the trough seen earlier this year.

The big prize is a market capitalization of 10,000,000,000,000 – 13 zeros after the one or 10 trillion. That would imply another substantial increase that would probably need a fundamental reason to occur.

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