Business News: Tata Group’s Trent Receives Strong Buy Ratings and Bullish Targets from Brokerages

Business News: Trent, Tata Group’s retail business, has recently attracted significant interest from investors and major broking organisations due to its prospective future growth ideas. During its Investor Day, the company announced ambitious objectives for market expansion, sales targets, and operational models, which boosted market sentiment. Macquarie has set a bullish target price of Rs 7,200 per share, representing a 26% increase from the current price of Rs 5,715. Of the 24 analysts covering the stock, 17 have given it a 'buy' rating, while 3 urge holding, and 4 advocate selling. Motilal Oswal and Jefferies have set target prices of Rs 6,900 and Rs 5,900, indicating significant institutional interest in Trent.

Trent Eyes Growth With Zudio

Trent operates Westside and Zudio, two of the Tata Group’s major fashion retail brands, and has set goals to reach a 25% CAGR in sales over the next decade through rapid expansion and technical improvements in its supply chain. Although the stock has been under pressure in the last year, it has returned an incredible 900% over the prior five years. Zudio, in particular, is expected to be a significant development driver in the future. The company stated that its aim has switched from like-for-like growth to achieving a larger market share. Trent, on the other hand, remains cautious in its approach, stating that smaller format stores such as Samok and Zudio Beauty are still being evaluated, and that the Star format for supermarket retail is being developed as a long-term endeavour with profitability as a primary goal.