Tata Consumer Shares In Focus: Motilal Oswal Sees 27% Upside As Growth Portfolio Scales Up; Check Target Price
Tata Consumer set out an expansion for FY21.
· NDTV Profit
The brokerage highlights that the FMCG major's growth portfolio has scaled up significantly, increasing its contribution to India business from 8% in FY21 to 31% in FY26, driven by the rapid expansion of Tata Sampann, Tata Soulfull, Capital Foods, Organic India and RTD beverages.
Key facts
- Period
- FY21 and FY26
The analysis
Tata Consumer reported movement of 8%, 27% and 31% for FY21. Those are the figures as filed — what moves the price is how they sit against what the market already expected, not their absolute size.
Against that, the stock is -1.0% on the day at ₹958.50, and has returned -11.8% over three months. It sits 25% below its 52-week high. The fmcg sector has moved -3.5% over the same period, so Tata Consumer is running 8.3 points behind its peers.
For Tata Consumer, the question is how much of this is already reflected in the price and how much re-rates the fmcg peer set alongside it.
Market context
- The company directly in focus is TATACONSUM.
- Sector exposure: FMCG, Capital Markets, Consumer & Retail.
- The immediate tone of coverage reads positive.
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