|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's range||2,670.10 - 2,702.00|
|52-week range||1,506.05 - 2,885.00|
|Beta (5Y monthly)||0.68|
|PE ratio (TTM)||32.89|
|Earnings date||08 Jan 2021|
|Forward dividend & yield||35.00 (1.30%)|
|Ex-dividend date||14 Oct 2020|
|1y target est||2,122.44|
(Bloomberg) -- Deutsche Bank AG is in advanced talks to sell a technology services unit to Tata Consultancy Services Ltd., Asia’s biggest software exporter by market value, people with knowledge of the matter said.The discussions about Bonn-based Postbank Systems AG are expected to result in a deal with the Indian company by the end of the year, the people said, asking not to be identified discussing the private information.The pandemic is accelerating moves by global banks and financial services firms to shed their captive technology centers. Tata Consultancy’s potential takeover of Postbank’s 1,400 employees in the South Asian nation will help Deutsche Bank Chief Executive Officer Christian Sewing get closer to his job-cuts target.Negotiations are ongoing and could still be delayed or fall apart, the people said. A Deutsche Bank spokeswoman declined to comment, while a representative for Tata Consultancy also didn’t comment.Tata Consultancy, which has more than 450,000 employees across the world, in 2008 paid $505 million to acquire Citigroup Inc.’s back-office unit in what was then its biggest acquisition. Financial details of the proposed transaction with Deutsche Bank aren’t known.Shares of the unit of Tata Sons Pvt., India’s biggest conglomerate, were 0.7% lower at 2,658.8 rupees as of 2:06 p.m. in Mumbai. Deutsche Bank, the best performer on the STOXX Europe Banks Index this year, was little changed in Frankfurt trading at 7.96 euros.Deutsche Bank’s Sewing last year unveiled a restructuring plan centered on cutting 18,000 jobs, with about half of those expected in Germany, Bloomberg News has reported. However, his efforts have recently hit a roadblock after the coronavirus outbreak led to a short moratorium on dismissals earlier this year and the pandemic made employees less willing to change jobs.PB Systems generated 533 million euros ($632 million) in revenue in 2015, according to its latest available annual report. The unit provides IT services to Deutsche Bank’s formerly separate retail unit Postbank.Deutsche Bank is currently merging Postbank’s IT with its own, which is expected to render the services provided by PB Systems obsolete by the end of next year. The plan, known internally as Project Unity, is expected to contribute the lion’s share to Sewing’s goal of cutting 1 billion euros of expenses in the German retail operations.Deutsche Bank also recently unveiled a plan to move much of its IT into the cloud as part of a deal with Alphabet Inc.’s Google. The bank said in July it expects to sign the contract with Google “within the next few months.”(Updates with Deutsche Bank shares in sixth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Tata Consultancy Services Ltd. surged to a record high after the Indian giant announced a share buyback of as much as 160 billion rupees ($2.2 billion) and said technology spending was recovering faster than anticipated.Asia’s largest software outsourcing provider reported a larger-than-expected 7% fall in net income to 74.7 billion rupees in the September quarter. But Chief Executive Officer Rajesh Gopinathan said IT budgets were bouncing back and growth should accelerate as clients spend on digital services such as cloud migration, security and work tools to trim costs and adjust to a post-pandemic environment.Like Infosys Ltd. and Wipro Ltd., TCS is struggling to serve global financial services giants and corporate clients after a nationwide lockdown forced hundreds of thousands of their employees to work from home. But spending is loosening as lockdowns ease globally and their customers build out their digital infrastructure. TCS’s shares gained as much as 5.2% Thursday, becoming the best performer on the benchmark Sensex, after brokerages including Dalal & Broacha and IDBI Capital raised their recommendations on the stock.“The recovery is happening a quarter earlier than we expected, it is sustainable and has strong legs,” Gopinathan said during a post-earnings briefing. “But we are not fully out of the woods and need to be careful on the economic and health fronts.”TCS Earnings Signal More Upside for India’s IT Names: AnalystsWhat Bloomberg Intelligence SaysTata Consultancy Services is poised to see growth recover over the next 2-3 quarters as discretionary IT spending rebounds, especially among banking clients. A boost in spending on digital transformations and a need to save more on their total IT costs will be the main drivers. Tata’s unique culture, brand and low attrition rate is a major differentiator compared with other rivals and could help it gain market share from companies such as IBM, which are struggling to show any growth.\- Anurag Rana and Gili Naftalovich, analystsClick here for the research.Read more: World’s Back Office Rushes to Stay Online in India LockdownLonger term, India’s $181 billion tech outsourcing industry may have to deal with the unpredictability surrounding its U.S. business, including a trend of increasing automation and difficulties obtaining visas for employees in the U.S., undermining a model that relies on sending thousands of people to work alongside clients overseas.The Trump administration is narrowing the jobs that qualify for H-1B specialty occupation visas, part of what officials say are the most significant reforms to the program in 20 years. As many as a third of all H-1B petitions would likely be rejected under the new measures, officials estimate.Gopinathan said in Wednesday’s briefing that the company is still studying the changes but they won’t alter the way it works. “We are quite confident about our business model,” he said.TCS’s shares, which spiked after it announced its buyback proposal, have gained more than 30% this year, lagging Infosys’s roughly 50% rise but well ahead of the benchmark Sensex Index’s decline.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Indian shares ended higher for a sixth session as buyback plans from Tata Consultancy Services and Wipro powered the main stock index to a level last seen in February. IT stocks were among the top gainers on the blue-chip Nifty 50, leading the Nifty IT index up as much as 5.5% to a record high. Wipro Ltd was the top gainer on the Nifty with a 7.2% rise that also saw the stock touch a record high.