An Analytical Evaluation of Risk-Return Dynamics of TCS and Infosys within India’s NIFTY 50 Index
Year: 2025
Type: article
Abstract: This research undertakes a comprehensive comparative study of Tata Consultancy Services (TCS) and Infosys, evaluating their performance across key financial indicators such as average returns, volatility levels, beta coefficients, and alpha values to gauge their respective risk-return profiles within India's IT sector.The analysis reveals that TCS, while generating comparatively higher returns, exhibits greater market sensitivity and price fluctuations.Infosys, conversely, delivers steadier yet lower returns with controlled risk exposure.The evaluation of risk-adjusted metrics like Sharpe Ratio, Treynor Ratio, and Jensen's Alpha suggests that both firms fall short of optimal risk-reward expectations, albeit aligning with general sector trends.The study recommends refined financial strategies to enhance risk-adjusted returns, offering valuable perspectives for investors and portfolio strategists in India's IT equity space.
Language: English
Subfield: Finance
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W4413452325