As per a prominent research body, it has been speculated that Infosys will once again beat TCS in terms of growth.
The report predicts that in near future, Infosys can actually become a bigger company that TCS, in terms of market value.
Here are the details.
TCS WIll Be Again Beaten By Infosys
As per Emkay Research, Infosys will once again beat TCS, in terms of overall growth, in the financial year 2021.
If this happens, it will be 2nd consecutive year wherein Infosys will outgrow TCS, and bring in more clients, more revenues and more profits.
But in the overall market value, TCS is ahead of Infosys. However, this gap in the overall market value will continue to diminish, and Infosys is on its path to beat TCS in that as well.
Emkay Research said, “Infosys is likely to outgrow TCS for the second year in a row in FY21 while narrowing margin differential. We expect Infosys’ valuation gap with TCS to narrow down further on the back of sustained strong operating performance,”
What Will Be Infosys’ Magic Recipe?
Infosys has recently released a blueprint for their future expansion, and growth, and going by the looks of it, they have some solid plans all right.
They have finalized the 4 big pillars which will pave the path for their business expansion, and growth, for the next decade.
These 4 pillars are:
- Scaling local recruitment and hiring. This means they will hire tens of thousands of Americans and locals from other nations.
- Scaling their Digital capabilities, and resources
- Automation will be encouraged, and Artificial Intelligence will be further explored
- Reskilling employees on a massive scale
For Q2 of 2020, Infosys has already reported an increase of 20% in net profits, compared to last year, and a healthy 14% growth in profits, compared to last quarter.
While Infosys has a market cap of Rs 4.78 lakh crore, TCS is valued at Rs 9.96 lakh crore.
We will keep you updated, as more details come in.