April 27, 2021, Brazil. In this photo illustration the Tata Consultancy Services Limited (TCS) logo seen displayed on a smartphone screen
Tata Teleservices share price has suffered losses throughout the year, with year-to-date data showing a drop of 54 per cent. However, it is in the past two months that we have started to see an aggressive push to the downside.
The bearish trend has come despite the company’s continued improvements, including narrowing its losses in the latest quarter from INR 3.13 billion to INR 2.92. The company has also seen its sales increase to INR 2.7 billion and its revenue grow to INR 2.79 billion.
In today’s trading session, Tata teleservices closed the markets down by less than a percentage point. However, today’s trading session has continued a long-term bearish trend that started more than two months ago and has seen the company’s value dropping by over 30 per cent.
The recent Tata Teleservices price drop has coincided with internal economic problems, including the weakening Indian Rupee and the ever-rising inflation rate. These macroeconomic factors have seen the cost of doing business going up. The company has also had to contend with the rising cost of imports due to the weakening Indian Rupee. These factors are likely to cause the company to fail to meet its bottom line.
Looking at the chart below, the recent price action also indicates the Tata Teleservices share price has been in the red for the past few months. The chart also shows indicators such as the Williams Alligator giving the long-term bearish signal for the company’s share price.
Therefore, my Tata Teleservices share price prediction for the next few trading sessions expects the current bearish trend to continue. There is a high likelihood that we might see it dropping further below its current price of 99 INR, with my long-term outlook expecting it to hit and possibly trade below 90 INR. However, a trade above 105 INR will invalidate my bearish analysis.
This post was last modified on Nov 22, 2022, 12:27 GMT 12:27