Tata Communications Ltd.
NSE: TATACOMMTata Communications Ltd.: A 30-second snapshot
Tata Communications trades at ₹1755.2, up 4.73% over the past year and 13.62% over the past 3 months, though still 16.82% below its 52-week high and below its 50-day SMA of ₹1879.58 while holding above the 200-day SMA of ₹1722.15. Trailing PE of 52.92 compares to a forward PE of 22.43, against a thin 3.72% net profit margin and debt-to-equity near 3.36x on a rising trend. News flow this cycle skewed positive, centred on June-quarter revenue growth and a new collaboration with Tata Tele Business Services.
P/E
52.9
Forward P/E
22.4
ROE
—
Debt / Equity
335.85
Profit Margin
+3.7%
Div. Yield
+1.0%
5Y ROE > 15%
4/5
5Y FCF > 0
4/5
Quality
50/100
News
7 headlines · 5 positive · 0 negative
TATACOMM: Double-digit revenue and EBITDA growth driven by core connectivity and digital platforms - TradingView
TradingView
Tata Communications Ltd (BOM:500483) Q1 2027 Earnings Call Highlights: Strong Data Revenue ... - Yahoo Finance
Yahoo Finance
Tata Comm Standalone June 2026 Net Sales at Rs 1,838.59 crore, up 0.85% Y-o-Y - Moneycontrol.com
Moneycontrol.com
Tata Comm Consolidated June 2026 Net Sales at Rs 6,582.82 crore, up 10.45% Y-o-Y - Moneycontrol.com
Moneycontrol.com
Tata Comm announces strategic collaboration with Tata Tele Business Services - Business Standard
Business Standard
Recent context
- ·Consolidated June-quarter net sales rose 10.45% YoY to ₹6,582.82 crore, while standalone net sales were roughly flat, up 0.85% YoY.
- ·Q1 FY27 earnings-call commentary cited double-digit revenue and EBITDA growth driven by core connectivity and digital platforms, per TradingView coverage.
- ·Company announced a strategic collaboration with Tata Tele Business Services on 2026-07-28, per Business Standard.
Strengths
- +Consolidated June-quarter net sales rose 10.45% YoY to ₹6,582.82 crore, and 5-year revenue grew 10.5%.
- +Mean analyst rating of 1.82 across 11 analysts (1-5 scale, lower = more constructive).
- +Stock trades above its 200-day SMA (₹1722.15 vs current ₹1755.2) and gained 13.62% over the trailing 3 months.
- +ROE exceeded 15% in 4 of the tracked years and free cash flow was positive in 4 of the tracked years, per the persistence data.
Weaknesses
- −Debt-to-equity is near 3.36x on a rising trend, alongside a thin 3.72% net profit margin.
- −Five-year earnings fell 29.4% even as five-year revenue grew 10.5%, a gap the current margin has not closed.
- −Quality score of 9/100 ranks last (6 of 6) among tracked Telecom peers; consistency score is 47/100.
- −Stock trades below its 50-day SMA (₹1879.58) and sits 16.82% below its 52-week high, with RSI at 40.84 (neutral).
Open questions
- ?Does the rising debt-to-equity trend reflect capacity investment in connectivity and digital platforms, or pressure elsewhere in operations?
- ?What explains the gap between 5-year revenue growth (+10.5%) and 5-year earnings decline (-29.4%), and has the June-quarter data shown any narrowing of that gap?
- ?How does a forward PE of 22.43 versus a trailing PE of 52.92 reconcile with a 3.72% net profit margin and a quality score that ranks last among tracked Telecom peers?
- ?What might explain the gap between a constructive analyst consensus (1.82 across 11 analysts) and the stock trading below its 50-day SMA and 16.82% off its 52-week high?
Peer comparison: Telecom
Ranks 6 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| TATACOMM | Tata Communications Ltd.You're viewing | 52.9 | — | 9 |
| Industry avg | across 5 peers | 31.1 | +19.5% | 49 |
| INDUSTOWER | Indus Towers Ltd. | 14.2 | +18.9% | 65 |
| BHARTIHEXA | Bharti Hexacom Ltd. | 42.2 | — | 51 |
| BHARTIARTL | Bharti Airtel Ltd. | 41.0 | +20.1% | 47 |
| IDEA | Vodafone Idea Ltd. | 4.0 | — | 41 |
| HFCL | HFCL Ltd. | 54.0 | — | 40 |
Technical state
Current price
₹1,755.20
SMA 50
₹1,879.58
SMA 200
₹1,722.15
RSI (14)
40.8 (neutral)
From 52w high
-16.8%
1Y return
+4.7%
3M return
+13.6%
50-DMA
Below
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- mediumDebt-to-equity stands near 3.36x (335.85% on the raw percent-scaled figure) on a rising trend, alongside a thin net profit margin of 3.72%. Five-year revenue grew 10.5% while five-year earnings fell 29.4% over the same period, a top-line/bottom-line divergence the current margin has not closed.
- mediumQuality score of 9/100 ranks last (6 of 6) among tracked Telecom peers (BHARTIARTL 47, IDEA 41, INDUSTOWER 65, BHARTIHEXA 51, HFCL 40). Consistency score is 47/100, with ROE above 15% and positive free cash flow logged in 4 of the tracked years.
- lowPrice of ₹1755.2 sits below the 50-day SMA of ₹1879.58 but above the 200-day SMA of ₹1722.15, and is 16.82% below its 52-week high. RSI reads 40.84 (neutral), and the 3-month price change (+13.62%) exceeds the 1-year change (+4.73%).
Cross-section contradictions
- Trailing PE of 52.92 is more than double the forward PE of 22.43, implying earnings are priced to rise sharply next year even as five-year earnings fell 29.4% and the net profit margin stands at 3.72%.
- Mean analyst rating of 1.82 across 11 analysts (1-5 scale, lower = more constructive) sits toward the constructive end of the scale, while the same dataset shows the lowest quality score (9/100) and a rising debt-to-equity trend (~3.36x) among the 6 Telecom peers tracked.
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Fundamentals & technicals: refreshed 11 Aug 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 9 Aug 2026 · rotates through NIFTY 500 every ~5 days