Bharti Airtel, one of India’s leading telecommunications providers, has achieved a historic milestone by surpassing Tata Consultancy Services (TCS) to become the nation’s third-largest company by market capitalization. This significant shift occurred on July 21, 2025, when Airtel’s sustained rally added the final edge needed to overtake TCS, a stalwart of the country’s IT sector.
On July 21, 2025, Bharti Airtel’s market capitalization surged to ₹11.45 lakh crore, edging out TCS by ₹2,220 crore. Reliance Industries remains at the top with approximately ₹19.3 lakh crore, followed by HDFC Bank at ₹15.3 lakh crore.
Airtel’s market cap has risen by nearly ₹2 lakh crore since the start of 2025, making it the second-fastest gainer in the Nifty50 after Reliance Industries. TCS, in contrast, faced a sharp depreciation, losing about ₹3.4 lakh crore in market value during the same period.
Airtel’s stock price has climbed 20.2% since January 2025, powered by robust earnings, positive investor sentiment, and easing competition in the telecom sector. The company’s market cap has steadily increased due to strong operating results, strategic expansion, and focus on profitable segments.
Leading brokerages, such as Jefferies, have reaffirmed buy ratings on Airtel, citing its strong market position and anticipating mid-teen revenue growth with a 12-month price target of ₹2,370. Lower capital expenditure intensity and a favorable market structure have left Airtel well placed to capitalize on India’s growing digital and consumer demand.
On the other hand, TCS’s performance has been weighed down by macroeconomic concerns in key overseas markets, especially the US, and disruptions caused by new-generation technology like AI. These headwinds have resulted in a 22% decline in TCS’s share price since the start of the year, further widening the gap for Airtel to overtake.
Airtel’s rise to the third spot reflects a changing landscape in India’s corporate and investment spheres. While IT remains foundational, the telecom sector’s ongoing digital expansion and price discipline have unlocked outsized gains for investors. Market experts suggest that Airtel’s climb could endure, supported by sustained user additions, high ARPU (average revenue per user), and deeper enterprise solutions.
