Eternal vs TCS shares: Zomato parent’s weightage more than IT giant in Nifty 50 | Should you buy?
AI Summary
The shift in Nifty 50 weight from TCS to Eternal underscores a growing investor preference for high-growth potential companies, particularly in the consumer internet space. Retail investors should be cautious, as this trend reflects a premium being placed on future growth over current profitability, which can lead to volatility. The contrasting valuations suggest that while Eternal may attract passive investment flows, TCS's established market presence and dividend yield could provide a more stable investment option amidst fluctuating market sentiments.
Eternal has overtaken Tata Consultancy Services (TCS) in terms of weightage in the Nifty 50, highlighting a notable shift in the index towards consumer internet and growth-oriented companies. Eternal's weight stands at around 2.29%, compared with roughly 2.08% for TCS, according to data as of 30 September 2026.
The shift, however, does not mean Eternal is a larger company than TCS. The difference is largely explained by the free-float market capitalisation methodology used to calculate Nifty 50 weights.
Original Article
Published on Livemint
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This is a market news update from Livemint, published on 07 October 2026.
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TopFund's automated sentiment analysis reads this article as neutral in tone, based on the language used in the report. This is a general signal, not investment advice.
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