Tata Communications Limited
Momentum (58/100) does the heavy lifting; valuation (3/100) is the drag.
ExpensiveSolvency riskStocksWizard rates Tata Communications Limited a Strong Sell, scoring 26/100 on our blended model. On 55.4x trailing earnings it sits pricier than the Communication Services median of about 25.0x. The price is about 15% below its 52-week high of ₹2,061.7 and 31% above the low of ₹1,335.75. Financial health scores 24/100, in the grey band on the Altman Z-score, with a Piotroski F-score of 5/9. The average analyst target of ₹1,957.82 implies about 11% upside across 11 analysts. It clears 3 of 13 investability checks, with durability 32, valuation 3 and momentum 58 on our 0–100 scales.
Analysis by Ankit Sharma · StocksWizard's own estimates from end-of-day public data — see how we calculate them. For information only, not investment advice.
With a 20% margin of safety, our buy-below price is ₹1,010.1.
Analyst views
1-year price
EOD · 2026-07-3152-week range
-14.81% from the 52-week high.
Price above both moving averages reads as an intact uptrend; below both, the trend is against you.
Verdict pillars
Strong Sell26Piotroski F-score 5/9 — quality of earnings & balance sheet.
Our scores
Durability rewards strong, low-debt, profitable businesses; Valuation rewards stocks cheap vs their sector; Momentum rewards strong price trends.
Investability checklist
- Pass: ROE above 15%: 31.1%
- Fail: Low debt (D/E < 0.5): 3.36x
- Pass: Positive free cash flow
- Fail: Revenue growth > 10%: 9%
- Fail: Earnings growing: -75%
- Fail: Net margin ≥ 10%: 4.0%
- Fail: Current ratio > 1.5: 0.49
- Fail: Below our fair value
- Fail: Margin of safety ≥ 20%
- Pass: Above 200-day average
- Fail: Above 50-day average
- No data: Positive 1-year return
- Fail: Altman Z in safe zone: Z 1.97
- Fail: Piotroski ≥ 7: 5/9
Quarterly results
Annual financials
Shareholding
- Promoter60.5%
- Institutions26.0%
- Public & other13.6%
Promoter holding via insider stake; institutional via reported holdings.
Key fundamentals
Bull case vs bear case
Bull case
Strengths
- Strong return on equity (31.1%).
Bear case
Weaknesses
- High debt relative to equity.
Threats
- Earnings contracting year on year.
- Rich valuation versus sector peers.
- Trades ~28% above our estimated fair value.
About Tata Communications Limited
Tata Communications Limited operates as a communications technology company worldwide. It offers voice and data transmission services, internet connectivity services, and other value-added services, such as unified conferencing and collaboration services, managed hosting, mobile global roaming and signaling services, transponder lease, television uplinking and other managed services, data center colocation services, network management and support, and other related services.
Tata Communications Limited — frequently asked questions
Is Tata Communications Limited a buy, hold or sell?
StocksWizard currently rates Tata Communications Limited (TATACOMM) a Strong Sell, based on a blended score of 26/100 across valuation, quality, momentum and price trend. This is our own model-based view, not investment advice.
What is Tata Communications Limited's fair value?
Our blended DCF and relative-valuation model estimates Tata Communications Limited's fair value at about ₹1,262.62, versus a current price of ₹1,756.4 — roughly 28% downside. On that basis the stock looks overvalued by 28%.
Is Tata Communications Limited financially healthy?
Tata Communications Limited scores 24/100 on our financial-health model, placing it in the grey band on the Altman Z-score, with a Piotroski F-score of 5/9.
How has Tata Communications Limited's share price performed?
Tata Communications Limited is up 14% over three months, and last traded at ₹1,756.4. Past performance doesn't predict future returns.
More in Communication Services
View allOur verdict, fair value, financial-health and checklist are StocksWizard's own estimates, computed from public end-of-day data using standard models (DCF, relative valuation, Altman Z, Piotroski). For information only — not investment advice or a recommendation. Verify independently before investing.