TCS pips RIL in market cap as RIL sheds Rs96,000 cr in 4 days
10 May 2019
Tata Consultancy Services (TCS) on Thursday regained the status of the country's most valued firm in terms of market capitalisation, pipping Reliance Industries Limited (RIL), which slipped to number two position.
On Thursday, TCS market valuation stood at Rs8,13,000 crore, more than RIL's Rs7,95,000 crore, as per BSE data. Over the past four days, RIL has lost 11 per cent at the bourses
Reliance Industries Ltd (RIL), the Mukesh Ambani-controlled oil-to-textile-to-telecom conglomerate, has lost more than Rs96,000 crore in market capitalisation in the last four days.
RIL share price dropped 3.67 per cent to a two-month low of Rs1,251.75 in the intraday trade on Thursday. With the mega-wipeout in its stock value, the company’s market cap has fallen below Rs8lakh crore for the first time in the last two months.
The sharp downturn of nearly 11 per cent in share prices over the last four days has pushed the Mukesh Ambani-controlled oil-to-textile-to-telecom conglomerate to the second spot catapulting Tata Consultancy Services to the top spot with a market capitalisation.
Reliance Industries commands a market capitalisation of Rs7,95,628.55 crore on the basis of the closing price of Rs1,255.15 as on Thursday, 9 May 2019, on the Bombay Stock Exchange (BSE), down Rs96,257.36 crore from its 3 May level. RIL had held a market capitalisation of Rs8,91,885.91 crore as of 3 May 2019.
On Thursday, RIL shares shed more than 3 per cent after the global research and brokerage firm Morgan Stanley downgraded the stock from ‘overweight’ to ‘equal-weight’. Morgan Stanley has re-rated the stock and revised the target price to Rs 1,349 citing limited upside amid core business challenges and headwinds in the energy business.
Following the development, RIL share price dropped by 3.67 per cent to a two-month low of Rs 1,251.75 before closing down 3.56 per cent at Rs1,253.15 on National Stock Exchange (NSE). RIL shares hit a low of Rs1,235.10 on 6 March 2019.
Reliance Industries has received a lower grade after two years of outperformance. For the financial year 2018-19, RIL has been one of the best-performing shares among the components of BSE Sensex.
According to the data available with stock exchanges, RIL shares topped the trading value on NSE with Rs2,467.86 crore value traded. About 20.5 million equity shares of RIL exchanged hands on both NSE and BSE with nearly 19.5 million shares being traded on NSE itself.