TCS.NS - Risk

Pure Price Volatility Risk (Market Swings)

The business itself is financially solid (Financial Health 90/100, minimal insolvency risk). The high overall score (7/7) is driven primarily by extreme stock price swings (±22.5% p.a.) and steep historical drawdowns.

Volatility Risk

Transparent evaluation of price volatility (SRI), Beta, and historical drawdowns.

Volatility Risk Score

7/7 Very High

7 / 7 SRI Price Fluctuation & Beta

Very high volatility or fundamental risks. Significant loss potential; strictly for aggressive investors. Moves noticeably less than the broader market (0.2x).

Beta (Market Relation)

0.18x

Defensive

Volatility (5Y p.a.)

22.5% p.a.

5-Year Horizon

Max Drawdown (5Y)

-56.5%

5-Year Horizon

Sharpe Ratio

-0.56

Return / Risk

Speculative / High Risk: Score Basis:

Multi-Horizon Risk & Performance Matrix

Historical volatility, drawdowns, and risk-adjusted return across 1, 3, 5, and 10 years.

Timeframe	Volatility (p.a.)	Max Drawdown	Sharpe Ratio	Return (p.a.)
1 Year	—	—	—	-29.6%
3 Years	23.7%	-56.5%	-0.78	-15.9%
5 Years	22.5%	-56.5%	-0.56	-11.3%
10 Years	24.3%	-56.5%	0.15	+6.1%

Automated Risk & Health Notes (Red Flags)

Single Stock Risk: Investing in an individual stock carries full company and insolvency risk (no fund diversification).

Exemplary balance sheet strength: Very solid ratio of equity to debt.

Historical Stress Test: Maximum peak-to-trough drawdown of -56.5% in the extended horizon.