Why most-valued TCS is number eight in free float market capitalisation

Infosys, with a market cap of just 40% of that of TCS, has greater standing in the benchmark indices because of low promoter shareholding

Tata Consultancy Services (TCS) is India’s most valuable company by some distance. But, when it comes to the stock markets, the Tata group firm’s significance slips several notches. On free-float market capitalisation—used by major index providers to compute weights — TCS is ranked eighth in the country. This is on account of high shareholding of promoter Tata Sons at nearly 72 per cent in the technology major. TCS’ promoter holding is one of the highest among top companies in the country and only slightly below the maximum threshold of 75 per cent.