TCS shares down by more than 1% today

TCS share price is down today. Many other IT stocks are gaining today. At 2:45 p.m. IST, 14^th October, 2025, TCS share price is down by 1.39%, trading at Rs 2,965.50. Wipro’s share price is up by 1.58% at this time, trading at Rs 249. Tech Mahindra’s share price is up by 1.36%, trading at Rs 1,470.60. Infosys’ stock is up by 0.29%, trading at Rs 1,497.60. Nifty 50 index is down by 0.21% at this time.

TCS shares have lost 2% in the past 5 days

TCS shares have lost around 2% since the company came out with its September quarter result on 9^th October. The company’s profit in the quarter increased year-on-year (y-o-y) by 1.4% to Rs 12,075 crore. The company’s results were below market expectations.

TCS following a more capital intensive AI strategy

TCS also announced that it will be building a 1 Giga Watt data center in India, as part of its Artificial Intelligence (AI) strategy. This has gotten some investors and analysts concerned. Building and operating a data center is very expensive and capital intensive. Such a large amount of capital expenditure may create wealth for shareholders in the long term but in the short and medium term it may have an adverse impact on the profitability of the company.

TCS’ AI strategy contrasts with the strategy of HCL Tech. The latter is pursuing the strategy of providing AI related services rather than making heavy capital expenditures in creating data centers and other AI infrastructure.  Many investors and analysts are of the view that HCL’s AI strategy is better and less risky than that of TCS.

TCS shares have lost around 28%, year-to-date in 2025

Year-to-date in 2025, TCS shares have lost 28.01%. In the same period, Nifty 50 index has gained 6.01%. TCS shares have underperformed the Nifty 50 index by 34% this year.

Disclaimer : This content is only for informational purpose. It does not make any recommendation to act or invest.

Source: NSE