TCS share price trades in the green on partnership with South American airline Avianca

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TCS will modernize Avianca’s IT infrastructure and build a new future-ready cloud-based digital core on Microsoft Azure, the company said in an exchange filing.

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Tata Consultancy Services share price was up half a percent at open on September 9 after Avianca, one of the leading airlines in South America, partnered with the IT firm to accelerate its journey to the cloud.

Tata Consultancy Services has been selected by Avianca, one of the leading airlines in South America, as a strategic partner in its cloud transformation journey. TCS will modernize Avianca’s IT infrastructure and build a new future-ready cloud-based digital core on Microsoft Azure, the company said in an exchange filing.

“Leveraging its deep domain knowledge of the airline industry and its extensive experience in successfully executing large transformation programs, TCS will help the airline migrate 129 core applications to the cloud and will also manage the new cloud estate,” it said.

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The IT major will leverage its proprietary automation tools and accelerators to drive this transformation, reducing the time-to-market and delivering superior business outcomes. These include TCS Cloud Counsel, a digitized cloud candidature assessment toolset, and TCS Cloud Mason which helps organizations rapidly define, design and deploy cloud foundational platforms, the company said.

The stock was trading at Rs 3,783.10, up Rs 9.00, or 0.24 percent at 09:21 hours. It has touched an intraday high of Rs 3,799.00 and an intraday low of Rs 3,775.90.

Global research firm Citi has a sell rating on the stock with target at Rs 3,385 per share. The company is confident of double-digit growth in FY22. The management expects better growth for the next 3-5 years against last 5 years, according to a CNBC-TV18 report.

The brokerage firm expects margin to remain resilient in FY22 against FY21 adding that high valuation/expectations keep it at a sell rating.

Disclaimer: The above report is compiled from information available on public platforms. Moneycontrol advises users to check with certified experts before taking any investment decisions.