Natarajan Chandrasekaran0:01
Then the third question was about the share price. So, you know, I'm not the guy who can really predict what the share price will be. But currently there is an overhang on all industries, all companies, across sectors, first of all, because of the uncertainty of the geopolitical situation. There are going to be impact in supply chain due to the war, and every company, at least every Tata company, is working towards building resilience to their supply chains, to their distributors, and securing the kind of raw material parts that are required to be able to deliver to the demand. So, while the demand may be there, the disruption may happen in the supplies. And so this uncertainty is having a overhang, but the companies are building the full capability. So, TCS's customer world will have such supply chain disruptions, where TCS may not have. So, that question is weighing on the mind of the market, and that has a overhang.
The second one, which is particular to the tech industry, is not only for TCS. If you take the tech industry, all the IT services companies, all the software companies, all the software as a service companies, you name everyone has been hit by the market somewhere around 35 to 45% in stock value. That is primarily because the market has this particular question that I talked about earlier in terms of what is the relationship between AI and the traditional tech, whether it is services, software, or software as a service. And I tried to explain why that particular gap is really not factual, but market will need proof points. And once the proof point corrects, always the multiple will go up, and hopefully the future of the industry will get solidified.
Our own focus is to get to double-digit growth on a year-on-year basis. Whether it happens in which quarter in FY '27 or in FY '28, and we will have to wait and see, but my simple message is if you are doing a $2.3 billion of AI revenues in a quarter on annualized basis, we should look for proof points for it to go to double and triple in the coming quarters. And that will automatically push the annual growth rate growth rates up. And that's what is the data points that we should be looking.
And there was a question regarding whether it is an impact in the US market, whether the company will do business at the current levels in the US market. I have no doubt that you will US will continue to be our largest market, and we do not face any employment visa-related issues. Company is fully geared to serve the market, and we expect our growth in the US across sectors to pick up momentum as the AI adoption by banks, insurance companies, manufacturing companies, retail companies, and other companies pick up momentum.
And there was a question related to buyback. I think whether buyback is the right method or dividend is the right method is something the company and board evaluates. And we have eminent people on the board, and we take a call on what is right from shareholder point of view and efficiency point of view. And there are compliance related issues, how much you can buyback, how frequently you can buyback, etc. The company will take a call.
With regard to capital allocation, I just want to clearly state there is absolutely no hesitation on the part of the company and the board to allocate and fund large acquisitions. But at the same time, just because we have funds, we cannot be acquiring an asset which we are not convinced. But definitely there is a lot of focus and questioning, discussions in the board with regard to what kind of investments that we need to make. And company is not shy of making acquisitions of large scale, whether it is in US or other markets, but we are really focused on looking at what investments to make for the AI. So the capital allocation will definitely prioritize the right acquisitions and current dividend policy stays and if there is a change the company will formally ever communicate. But the point is the company has enough funds and has the ability to borrow. So there is no holding back on the right acquisitions.
