Shares of multibagger Trent Ltd hit their record high in early deals on Thursday after global brokerage Citi initiated coverage on the Tata Group stock with a 'buy' call. It has assigned a price target of Rs 9,250 on the retail stock, a 21% upside to the previous close. It has included the stock in its Pan-Asia high-conviction focus list.
The Tata Group stock has risen 463% in two years and gained 269% in a year. The stock has delivered 702% returns in three years. Brokerage Citi said Trent is leveraging its supply chain and insights from Westside and Zudio, turning around its Star Bazaar business.
Trent is well-positioned to scale up its other pilot projects, such as MISBU, Samoh, and its joint venture with MAS, said the brokerage. The brokerage said the firm has transformed from a single-format to a multi-format player, which led to a 36 percent revenue CAGR from FY19 to FY24. As a multi-category player in fashion, lifestyle, grocery, and personal care, Trent reported industry-leading revenue, EBITDA, and PAT CAGRs of 41 percent, 44 percent, and 56 percent, respectively, for FY24–27.
Tren stock climbed 4.32% to its record high of Rs 7,939 in early deals today. The multibagger stock is overbought on charts as the relative strength index (RSI) of the stock stands at 77.
4. Shares of Trent arte trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages which means they are trading in bullish zone in both long and short terms. I.
