Tata Communications Limited (TATACOMM) Fair Value & Analysis
Communication Services · IN · Market cap ₹524B
Risks
Fair value as of: Aug 13, 2026
From 26 valuation models · updated 10 days ago
Fair value updated Aug 13, 2026, revised from ₹714.97 to ₹1,176 (+64.4%) since Jul 18, 2026. Share price −8.0% over the past month.
Below-average quality, and screening another 29% overvalued on our models.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- Weak quality (41/100) and above fair value at the same time, the margin of safety is missing on both counts.
- A fairly wide model range (₹693.20 to ₹1,791) leaves room in how you read the outcome.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.
How to read this chart
60‑month range ₹831.81 – ₹2,106 · fair‑value band ₹693.20 – ₹1,791 · the ₹1,655 price screens above the ₹1,176 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.
Analysis
Tata Communications Limited (TATACOMM) currently trades at ₹1,655, while our model-based Fair Value estimate is ₹1,176, implying the stock looks roughly 29.0% overvalued today. The Quality Score stands at 41/100 (below-average quality), in the Communication Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, Tata Communications Limited generated revenue of ₹248B at a net margin of 4.0%. Revenue grew 9.4% year over year. It earns a return on equity of 31.1%. Net debt stands at ₹116B. Fundamentals as of Aug 13, 2026
Our scenario range runs from ₹693.20 (bear case) to ₹1,791 (bull case); at ₹1,655, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The last reported earnings sit well below what analysts expect (earnings in transition, for example after write-downs or an earnings dip); whether the stock is cheap or expensive hinges on the expected recovery actually arriving. Read the fair value with that caveat. The share trades about 19% below its 52-week high and 25% above its 52-week low, currently below its 200-day average. For context, the median of 10 Communication Services peers we cover trades at 14% fair-value upside, at -29%, TATACOMM screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 26 models by family
Widest divergence: Growth DCF (₹810.22) versus Asset-Based (₹81.03). Highest evidence: Growth DCF (80).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 41 · Market factors (momentum, volatility) 49
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Tata Communications Limited provides telecom services worldwide. The company operates through Data Services, Voice Solutions, Payment Solutions, Transformation Services, Campaign Registry, and Real Estate segments.
Full company description
Tata Communications Limited provides telecom services worldwide. The company operates through Data Services, Voice Solutions, Payment Solutions, Transformation Services, Campaign Registry, and Real Estate segments. It provides voice and data transmission services; internet connectivity services; and other value-added services, such as unified conferencing and collaboration, managed hosting, mobile global roaming and signaling, transponder lease, and television up-linking, and other managed services, as well as sells and leases bandwidth on undersea cable systems. The company also offers end-to-end automated teller machines deployment, POS enablement, financial inclusion, card issuance and related managed services, and switching services to banking sector; cyber security; data center colocation services; network management and support services; system and platform integration services for Internet of Things (IoT) solutions; and provides IT consultation and support on services. In addition, it provides networking services, including managed LAN/WAN, private lines, business internet, hybrid WAN, and cloud connectivity; unified communications as a service; cloud solutions; Edge platform; cyber security services, such as cloud security, security assessment, consulting services, cyber threat detection and response, and networking security; managed SASE; IoT fabric solutions comprising connectivity, management, orchestration, and data analytics; carrier services, such as wholesale voice transport and termination, mobile messaging exchange, voice access services, strategic sourcing, and fraud prevention as a service; and content delivery network solutions. Further, the company engages in letting, leasing, licensing, or development of immovable properties. The company was formerly known as Videsh Sanchar Nigam Limited and changed its name to Tata Communications Limited in 2008. Tata Communications Limited was incorporated in 1986 and is based in Mumbai, India.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Tata Communications Limited reported revenue of ₹248B in FY2026 versus ₹167B in FY2022, a compound +10.4%/yr. Reported net income was ₹10.4B in FY2026, compounding −8.4%/yr from FY2022.
of which total revenue +2.3 pp · buybacks/dilution −0.2 pp
Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).
TATACOMM screens 29% overvalued. Compare with China Mobile Limited →
Earlier news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Exclusive-Tata unit says 'extensive damage' from fire at Delhi data centre hampers recovery
- Tata Communications and NiCE Partner to Transform Global Contact Centres with AI-Powered Customer Engagement
- Cisco, Tata Communications Partner to Integrate Global eSIM Orchestration into IoT Control Center
Peer Group
Telecom Services · 257 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Telecom Services median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Telecom Services stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| China Mobile Limited 600941 | ¥96.11 | ¥109.88 | +14% |
| Bharti Airtel Limited BHARTIARTL | ₹1,935 | ₹941.48 | -51% |
| China Telecom Corporation 601728 | ¥6.43 | ¥8.36 | +30% |
| América Móvil, S.A. AMXB | 23.07 MXN | 30.35 MXN | +32% |
| Vodafone Group VODN | 259.50 MXN | 494.99 MXN | +91% |
| Advanced Info Service Public Company ADVANC | 372.00 THB | 286.77 THB | -23% |
| Chunghwa Telecom Co 2412 | 136.00 TWD | 100.00 TWD | -26% |
| TLKM TLKM | 2,590 IDR | 3,898 IDR | +50% |
| PT Indoritel Makmur Internasional Tbk., DNET | 9,900 IDR | 1,503 IDR | -85% |
| SK Telecom Co 017670 | 91,100 KRW | 41,693 KRW | -54% |
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Frequently asked questions
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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