Tata Communications Ltd: Intrinsic Value & Share Price Analysis

Share Price and Basic Stock Data

Last Updated: August 30, 2025, 10:26 am

Quick Insight

Tata Communications Ltd's current market price of 1,563 indicates a P/E ratio of 42.8, suggesting the stock may be trading at a premium relative to earnings. With a robust ROE of 55.2% and a respectable ROCE of 14.8%, the company demonstrates efficient utilization of capital. However, the high P/BV ratio of 32.09x may raise concerns about overvaluation. The company's OPM of 19% reflects healthy operational efficiency, while its net profit of 1,837 Cr. underscores strong financial performance. With significant borrowings of ₹12,357 Cr. and a CCC of 63 days, Tata Communications may need to manage its working capital effectively to sustain growth. Overall, investors should closely monitor the company's leverage and valuation metrics to make informed decisions in this telecom services industry.

Competitors of Tata Communications Ltd

All Competitor Stocks of Tata Communications Ltd

Quarterly Result

Last Updated: August 1, 2025, 9:25 pm

Below is a detailed analysis of the quarterly data for Tata Communications Ltd based on the most recent figures (Jun 2025) and their trends compared to the previous period:

• For Sales, as of Jun 2025, the value is 5,960.00 Cr.. The value appears to be declining and may need further review. It has decreased from 5,990.00 Cr. (Mar 2025) to 5,960.00 Cr., marking a decrease of 30.00 Cr..
• For Expenses, as of Jun 2025, the value is 4,823.00 Cr.. The value appears to be improving (decreasing) as expected. It has decreased from 4,868.00 Cr. (Mar 2025) to 4,823.00 Cr., marking a decrease of 45.00 Cr..
• For Operating Profit, as of Jun 2025, the value is 1,137.00 Cr.. The value appears strong and on an upward trend. It has increased from 1,122.00 Cr. (Mar 2025) to 1,137.00 Cr., marking an increase of 15.00 Cr..
• For OPM %, as of Jun 2025, the value is 19.00%. The value remains steady. There is no change compared to the previous period (Mar 2025) which recorded 19.00%.
• For Other Income, as of Jun 2025, the value is -46.00 Cr.. The value appears to be declining and may need further review. It has decreased from 926.00 Cr. (Mar 2025) to -46.00 Cr., marking a decrease of 972.00 Cr..
• For Interest, as of Jun 2025, the value is 177.00 Cr.. The value appears to be improving (decreasing) as expected. It has decreased from 182.00 Cr. (Mar 2025) to 177.00 Cr., marking a decrease of 5.00 Cr..
• For Depreciation, as of Jun 2025, the value is 666.00 Cr.. The value appears to be improving (decreasing) as expected. It has decreased from 672.00 Cr. (Mar 2025) to 666.00 Cr., marking a decrease of 6.00 Cr..
• For Profit before tax, as of Jun 2025, the value is 249.00 Cr.. The value appears to be declining and may need further review. It has decreased from 1,193.00 Cr. (Mar 2025) to 249.00 Cr., marking a decrease of 944.00 Cr..
• For Tax %, as of Jun 2025, the value is 26.00%. The value appears to be increasing, which may not be favorable. It has increased from 15.00% (Mar 2025) to 26.00%, marking an increase of 11.00%.
• For Net Profit, as of Jun 2025, the value is 190.00 Cr.. The value appears to be declining and may need further review. It has decreased from 1,041.00 Cr. (Mar 2025) to 190.00 Cr., marking a decrease of 851.00 Cr..
• For EPS in Rs, as of Jun 2025, the value is 6.67. The value appears to be declining and may need further review. It has decreased from 36.50 (Mar 2025) to 6.67, marking a decrease of 29.83.

Overall, while many items appear to show a positive trend, any significant downward movement warrant further investigation.

Profit & Loss - Annual Report

Last Updated: July 22, 2025, 3:51 pm

Growth

Last Updated: Unknown

Balance Sheet

Last Updated: July 25, 2025, 3:15 pm

Below is a detailed analysis of the balance sheet data for Tata Communications Ltd based on the most recent figures (Mar 2025) and their trends compared to the previous period:

• For Equity Capital, as of Mar 2025, the value is 285.00 Cr.. The value remains steady. There is no change compared to the previous period (Mar 2024) which recorded 285.00 Cr..
• For Reserves, as of Mar 2025, the value is 2,736.00 Cr.. The value appears strong and on an upward trend. It has increased from 1,501.00 Cr. (Mar 2024) to 2,736.00 Cr., marking an increase of 1,235.00 Cr..
• For Borrowings, as of Mar 2025, the value is 12,357.00 Cr.. The value appears to be increasing, which may not be favorable. However, Borrowings exceed Reserves, which may signal higher financial risk. It has increased from 11,263.00 Cr. (Mar 2024) to 12,357.00 Cr., marking an increase of 1,094.00 Cr..
• For Other Liabilities, as of Mar 2025, the value is 11,065.00 Cr.. The value appears to be improving (decreasing). It has decreased from 11,316.00 Cr. (Mar 2024) to 11,065.00 Cr., marking a decrease of 251.00 Cr..
• For Total Liabilities, as of Mar 2025, the value is 26,444.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 24,365.00 Cr. (Mar 2024) to 26,444.00 Cr., marking an increase of 2,079.00 Cr..
• For Fixed Assets, as of Mar 2025, the value is 13,919.00 Cr.. The value appears strong and on an upward trend. It has increased from 13,467.00 Cr. (Mar 2024) to 13,919.00 Cr., marking an increase of 452.00 Cr..
• For CWIP, as of Mar 2025, the value is 1,100.00 Cr.. The value appears to be declining and may need further review. It has decreased from 1,327.00 Cr. (Mar 2024) to 1,100.00 Cr., marking a decrease of 227.00 Cr..
• For Investments, as of Mar 2025, the value is 2,714.00 Cr.. The value appears strong and on an upward trend. It has increased from 1,608.00 Cr. (Mar 2024) to 2,714.00 Cr., marking an increase of 1,106.00 Cr..
• For Other Assets, as of Mar 2025, the value is 8,711.00 Cr.. The value appears strong and on an upward trend. It has increased from 7,963.00 Cr. (Mar 2024) to 8,711.00 Cr., marking an increase of 748.00 Cr..
• For Total Assets, as of Mar 2025, the value is 26,444.00 Cr.. The value appears strong and on an upward trend. It has increased from 24,365.00 Cr. (Mar 2024) to 26,444.00 Cr., marking an increase of 2,079.00 Cr..

However, the Borrowings (12,357.00 Cr.) are higher than the Reserves (2,736.00 Cr.), which may signal higher financial risk.

Overall, while many items appear to show a positive trend, any significant downward movement or items where Borrowings exceed Reserves warrant further investigation.

Cash Flow

Free Cash Flow

Financial Efficiency Indicators

Mutual Fund Holdings

Key Financial Ratios

After reviewing the key financial ratios for Tata Communications Ltd, here is a detailed analysis based on the latest available data and recent trends:

• For FaceValue, as of Mar 24, the value is 10.00. This value is within the healthy range. There is no change compared to the previous period (Mar 23) which recorded 10.00.
• For Basic EPS (Rs.), as of Mar 24, the value is 33.98. This value is within the healthy range. It has decreased from 63.02 (Mar 23) to 33.98, marking a decrease of 29.04.
• For Diluted EPS (Rs.), as of Mar 24, the value is 33.97. This value is within the healthy range. It has decreased from 63.02 (Mar 23) to 33.97, marking a decrease of 29.05.
• For Cash EPS (Rs.), as of Mar 24, the value is 119.97. This value is within the healthy range. It has decreased from 141.36 (Mar 23) to 119.97, marking a decrease of 21.39.
• For Book Value[Excl.RevalReserv]/Share (Rs.), as of Mar 24, the value is 62.82. It has increased from 54.34 (Mar 23) to 62.82, marking an increase of 8.48.
• For Book Value[Incl.RevalReserv]/Share (Rs.), as of Mar 24, the value is 62.82. It has increased from 54.34 (Mar 23) to 62.82, marking an increase of 8.48.
• For Revenue From Operations / Share (Rs.), as of Mar 24, the value is 735.75. It has increased from 625.90 (Mar 23) to 735.75, marking an increase of 109.85.
• For PBDIT / Share (Rs.), as of Mar 24, the value is 158.34. This value is within the healthy range. It has decreased from 164.26 (Mar 23) to 158.34, marking a decrease of 5.92.
• For PBIT / Share (Rs.), as of Mar 24, the value is 71.68. This value is within the healthy range. It has decreased from 84.90 (Mar 23) to 71.68, marking a decrease of 13.22.
• For PBT / Share (Rs.), as of Mar 24, the value is 40.81. This value is within the healthy range. It has decreased from 72.40 (Mar 23) to 40.81, marking a decrease of 31.59.
• For Net Profit / Share (Rs.), as of Mar 24, the value is 33.32. This value is within the healthy range. It has decreased from 61.99 (Mar 23) to 33.32, marking a decrease of 28.67.
• For NP After MI And SOA / Share (Rs.), as of Mar 24, the value is 33.98. This value is within the healthy range. It has decreased from 63.02 (Mar 23) to 33.98, marking a decrease of 29.04.
• For PBDIT Margin (%), as of Mar 24, the value is 21.52. This value is within the healthy range. It has decreased from 26.24 (Mar 23) to 21.52, marking a decrease of 4.72.
• For PBIT Margin (%), as of Mar 24, the value is 9.74. This value is below the healthy minimum of 10. It has decreased from 13.56 (Mar 23) to 9.74, marking a decrease of 3.82.
• For PBT Margin (%), as of Mar 24, the value is 5.54. This value is below the healthy minimum of 10. It has decreased from 11.56 (Mar 23) to 5.54, marking a decrease of 6.02.
• For Net Profit Margin (%), as of Mar 24, the value is 4.52. This value is below the healthy minimum of 5. It has decreased from 9.90 (Mar 23) to 4.52, marking a decrease of 5.38.
• For NP After MI And SOA Margin (%), as of Mar 24, the value is 4.61. This value is below the healthy minimum of 8. It has decreased from 10.06 (Mar 23) to 4.61, marking a decrease of 5.45.
• For Return on Networth / Equity (%), as of Mar 24, the value is 54.20. This value is within the healthy range. It has decreased from 118.29 (Mar 23) to 54.20, marking a decrease of 64.09.
• For Return on Capital Employeed (%), as of Mar 24, the value is 18.75. This value is within the healthy range. It has decreased from 22.47 (Mar 23) to 18.75, marking a decrease of 3.72.
• For Return On Assets (%), as of Mar 24, the value is 3.94. This value is below the healthy minimum of 5. It has decreased from 8.73 (Mar 23) to 3.94, marking a decrease of 4.79.
• For Long Term Debt / Equity (X), as of Mar 24, the value is 2.66. This value exceeds the healthy maximum of 1. It has decreased from 3.30 (Mar 23) to 2.66, marking a decrease of 0.64.
• For Total Debt / Equity (X), as of Mar 24, the value is 5.66. This value exceeds the healthy maximum of 1. It has increased from 4.96 (Mar 23) to 5.66, marking an increase of 0.70.
• For Asset Turnover Ratio (%), as of Mar 24, the value is 0.92. It has increased from 0.88 (Mar 23) to 0.92, marking an increase of 0.04.
• For Current Ratio (X), as of Mar 24, the value is 0.43. This value is below the healthy minimum of 1.5. It has decreased from 0.59 (Mar 23) to 0.43, marking a decrease of 0.16.
• For Quick Ratio (X), as of Mar 24, the value is 0.43. This value is below the healthy minimum of 1. It has decreased from 0.57 (Mar 23) to 0.43, marking a decrease of 0.14.
• For Dividend Payout Ratio (NP) (%), as of Mar 24, the value is 61.80. This value exceeds the healthy maximum of 50. It has increased from 32.84 (Mar 23) to 61.80, marking an increase of 28.96.
• For Dividend Payout Ratio (CP) (%), as of Mar 24, the value is 17.40. This value is below the healthy minimum of 20. It has increased from 14.53 (Mar 23) to 17.40, marking an increase of 2.87.
• For Earning Retention Ratio (%), as of Mar 24, the value is 38.20. This value is below the healthy minimum of 40. It has decreased from 67.16 (Mar 23) to 38.20, marking a decrease of 28.96.
• For Cash Earning Retention Ratio (%), as of Mar 24, the value is 82.60. This value exceeds the healthy maximum of 70. It has decreased from 85.47 (Mar 23) to 82.60, marking a decrease of 2.87.
• For Interest Coverage Ratio (X), as of Mar 24, the value is 7.01. This value is within the healthy range. It has decreased from 10.82 (Mar 23) to 7.01, marking a decrease of 3.81.
• For Interest Coverage Ratio (Post Tax) (X), as of Mar 24, the value is 2.84. This value is below the healthy minimum of 3. It has decreased from 4.91 (Mar 23) to 2.84, marking a decrease of 2.07.
• For Enterprise Value (Cr.), as of Mar 24, the value is 66,599.82. It has increased from 41,978.05 (Mar 23) to 66,599.82, marking an increase of 24,621.77.
• For EV / Net Operating Revenue (X), as of Mar 24, the value is 3.18. This value exceeds the healthy maximum of 3. It has increased from 2.35 (Mar 23) to 3.18, marking an increase of 0.83.
• For EV / EBITDA (X), as of Mar 24, the value is 14.76. This value is within the healthy range. It has increased from 8.97 (Mar 23) to 14.76, marking an increase of 5.79.
• For MarketCap / Net Operating Revenue (X), as of Mar 24, the value is 2.73. This value is within the healthy range. It has increased from 1.99 (Mar 23) to 2.73, marking an increase of 0.74.
• For Retention Ratios (%), as of Mar 24, the value is 38.19. This value is within the healthy range. It has decreased from 67.15 (Mar 23) to 38.19, marking a decrease of 28.96.
• For Price / BV (X), as of Mar 24, the value is 32.09. This value exceeds the healthy maximum of 3. It has increased from 23.37 (Mar 23) to 32.09, marking an increase of 8.72.
• For Price / Net Operating Revenue (X), as of Mar 24, the value is 2.73. This value is within the healthy range. It has increased from 1.99 (Mar 23) to 2.73, marking an increase of 0.74.
• For EarningsYield, as of Mar 24, the value is 0.01. This value is below the healthy minimum of 5. It has decreased from 0.05 (Mar 23) to 0.01, marking a decrease of 0.04.

Overall, while many metrics show healthy performance, any figures highlighted in red or significant downward trends warrant further investigation.

Fair Value

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