Trent’s share price continues to fall. Should you buy, sell or hold?

Shares of Tata Group’s Trent Ltd. continued their slide, falling as much as 3.5% to an intraday low of Rs 6,270 on Friday.

At 11:24 am, Trent’s share price on the Bombay Stock Exchange (BSE) fell 2.69 per cent to Rs 6,323.55. Trent shares fell 8% in the previous session.

Thus, the company’s shares fell by 10% in just two trading sessions.

Trent shares began to fall on Thursday after the company reported results that fell slightly short of high market expectations.

During the quarter, Trent’s revenue grew 39% to Rs 4,157 crore compared to Rs 2,982 crore in the same quarter last year. The net profit was 335 million rupees.

Depreciation and amortization expense for the quarter rose to Rs 197 crore from Rs 152 crore in the same period last year, while profit from joint ventures fell to Rs 5.7 crore from Rs 25 crore a year ago. Higher taxes, which increased to Rs 132 crore from Rs 86 crore last year, also weighed on Trent’s profitability.

BUY, SELL OR HOLD?

Brokerage firm Jefferies has maintained a ‘hold’ rating on Trent shares with a target price of Rs 5,900, suggesting a potential downside of 9.3% from Thursday’s closing price.

Jeffries noted that Trent did not miss out on inflated growth estimates despite strong overall growth, and noted that the company had closed stores in its key fashion segments. However, management remains optimistic about future growth opportunities, according to the brokerage.

Meanwhile, HDFC Securities stressed that the current situation is weak, adding that the stock has broken through its long-term moving averages. “We should avoid waiting for a bottom as the trend remains downward for now. It would be advisable to wait for consolidation,” the brokerage company added.

Of the 21 analysts covering Trent, 13 have a buy rating, while four each have a hold and a sell rating.

(Disclaimer: The views, opinions, recommendations and suggestions expressed by the experts/brokerages in this article are their own and do not reflect the views of India Today Group. It is advisable to consult a qualified broker or financial advisor before taking any actual action. investment or trading choice.)