Buy Large Cap Tata Stock Trading 1.26% Down From 52 Week High, 199.73% Up In 3 Yrs: ICICI Direct

Tata Group's stock Trent Ltd. gets a Buy rating from leading broking firm ICICI Direct for a target price of Rs. 2030 apiece. The brokerage claims a potential upside of up to 19% if purchased at the current market price. This is a large-cap retail sector stock with a market capitalisation of Rs. 60,765.25 crore.

Buy Stock of Trent For A Target Price of Rs. 2030

According to ICICI Direct, In the retail space, Trent has been an exceptional performer with stock price appreciating at 40% CAGR in the last 5 years. Over the last six years (FY17-23), Trent has delivered industry leading sales growth of ~30% vs. industry average of 12%. Given the strong operating performance, Trent witnessed a sharp jump in RoE profile to 17% in FY23 (~5% in FY20). "Robust performance during challenging times and industry leading performance will continue to warrant premium valuations to Trent. Hence, we maintain our BUY rating on the stock. We value Trent at Rs. 2030 based on SOTP valuation," the brokerage has said.

Stock Overview

On Monday, the share price of Trent ended at Rs. 1708.45 apiece, down 0.34% from its previous close of Rs. 1,714.25 apiece. The stock's 52 week high is Rs. 1730 apiece recorded on 14 June 2023 and 52 week low is Rs. 1009.30 apiece recorded on 22 June 2022, respectively.

The stock jumped 7.07% in the past 1 week. While, it gave 14.4% in 1 month and 25.95% n 3 months, respectively. In 1 year, it jumped 63.65%. In 3 years, it gave 199.73% positive return and 436.48% in 5 years, respectively.

About - Trent Ltd.

Trent is India's leading retailer with a presence across various consumer categories (600+ stores). Inherent strength of brands (Westside, Zudio, Star, Zara) and accelerated store additions have led Trent to be among the fastest growing companies in our retail coverage universe. 'Westside' (60% of revenues) has proven to be one of the most profitable business models as it primarily focuses on selling private label brands. 'Zudio' (40% of sales), the value fashion brand, continues to be the next leg of growth for Trent.

Disclaimer - The above stock has been picked from the brokerage report of ICICI Direct. Greynium Information Technologies, the Author, and the respective Brokerage house are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to consult with certified experts before making any investment decision.