TCS Shifts to AI-Best Company, Share Jumps 1.5%; Aims for Global AI Leadership

• TCS announced its strategic intent to transform into the world's largest AI-based tech service provider, shifting focus from digital services.
• The company has successfully completed over 5,000 AI-based programs, generating an annual revenue of $1.5 billion from AI services.
• AI service revenue saw significant growth: 16.3% QoQ and 38.2% YoY in Constant Currency terms.
• TCS has $6.3 billion available for investment and targets a margin range of 26-28%, with new-age services contributing $11 billion to total revenue.
• Following the announcement, TCS shares rose 1.5% to Rs 3262, with brokerages like Nuvama and Morgan Stanley giving 'BUY' and 'Overweight' calls.

Why It Matters: TCS is aggressively pivoting to become an AI-first company, driving share price gains and analyst optimism.