Buy Tata Consumer Products; target of Rs 910 : Motilal Oswal

Motilal Oswal's research report on Tata Consumer Products

Tata Consumer Products (TATACONS) reported a healthy operating performance (EBIT up 15% YoY) in 4QFY23, led by 21% YoY EBIT growth in the India Branded business on the back of cost optimization measures. International branded business EBIT declined marginally YoY due to inflationary pressures and adverse currency movements; however, sequentially EBIT witnessed 44% growth, aided by pricing actions.

Outlook

While the 4Q performance was better than our estimates, we maintain our FY24/FY25 EPS estimates and retain BUY on the stock with our SoTP-based TP of INR910.

For all recommendations report, click here