Price of Trent Shares:
In early trading on November 10, shares of Trent Ltd., the parent company of Zudio and Westside controlled by the Tata Group, dropped more than 6.5% following the release of the business’s slowest quarterly revenue increase since March 2021. Citing a slowdown in sales activity, a number of brokerages lowered their target prices.
During morning trading on the BSE, the stock fell to a 52-week low of Rs 4,326.5. On Friday, Trent released its Q2 FY26 earnings after market hours.
Trent reported a standalone net profit of Rs 451 crore for the quarter that ended in September 2025, up 6.5% year over year from Rs 423.44 crore during the same time the previous year. Operational revenue increased 17% year over year to Rs 4,724 crore from Rs 4,036 crore the previous year. But according to Reuters, this was the smallest topline increase since early 2021.
Due to cost pressures and lower demand, operating profit rose 16% to ₹575 crore but the EBIT margin decreased to 10.2% from 11% in the previous year.
Brokerage Perspectives
Jefferies: reduced its target price to Rs 5,000 (an 8% upside) while keeping a Hold rating. The firm said that store openings and non-apparel categories continued to be strong points despite sluggish revenue growth at 17% and a relatively flat EBITDA margin.
Morgan Stanley: reiterated an overweight recommendation with an 18% upside objective of Rs 5,456. Due to unseasonal rainfall and low mood, it observed dampened fashion demand as consumers turned their attention to expensive purchases once the GST rate was lowered.
Motilal Oswal: reduced its target price to Rs 6,000 (30% upside) while maintaining a buy rating. According to the brokerage, a 17% decrease in revenue per square foot countered a 43% YoY increase in retail space, suggesting potential store-level cannibalization. Due to cost savings, it increased FY26–28 EBITDA expectations by 4–5%, while FY27–28 earnings were reduced by a comparable amount because of increased depreciation.
HDFC Securities:
kept a Reduce rating with a 7% negative target price of Rs 4,300. It cautioned that H2 revenue must increase by 29% or more in order to match consensus projections for FY26, which is a difficult request given present trends.
Citi: The stock was downgraded to Sell, and its target price was drastically reduced from Rs 7,150 to Rs 4,350 (a 6% decline). The brokerage mentioned cannibalization from fast growth in Tier-2 and Tier-3 cities, weak consumption, and increased competition.
Trent’s stock has dropped more than 20% over the last six months and more than 7% over the last week. The stock has dropped 38% so far in 2025, and its P/E ratio is currently at about 108.
