Update on the Indian Equity Market:
\nOn Monday Nifty closed 0.7% higher at 13,356. Among the sectoral indices, Media (+2.8%), PSU Bank (+2.1%), and Pharma (+1.6%) closed higher. Nifty Realty (-0.3%) was the only sector which closed lower. UPL (+4.6%), Adani Ports (+3.6%), and HUL (+3.2%) closed on a positive note. SBI Life (-1.5%), Nestle (-1.4%), and Kotak Bank (-1.4%) were among the top losers.<\/p>\n
Excerpts from an interview of Mr. Sunil D\u2019Souza, MD and CEO, Tata Consumer with CNBC-TV18 dated 3rd December 2020:<\/p>\n
\u25cf\tAny M&A deal of size and significance that happens in India does pass through the Tata Group.
\n\u25cf\tFor the March quarter, 2.5% of sales were online and now sales are around 5-6% online out of total sales.
\n\u25cf\tThere is a strong jump in online sales and the company expects the momentum to continue.
\n\u25cf\tOn the food and beverages business, he said the results were good and the company is happy with its numbers.
\n\u25cf\tThe core category business and out of home businesses are showing traction as there is an ease in lockdown.
\n\u25cf\tOn Core categories, he said the tea is coming back to double-digit value growth. The company is gaining market share.
\n\u25cf\tOn Tata sampann, he said it has outgrown the total food business by 3x.
\n\u25cf\tOn tea prices, he says, the prices are moving in a small range. On the coffee side of the business, he says, Eight O\u2019clock coffee which is a big brand is showing good momentum.
\n\u25cf\tOn domestic side, Tata Coffee which is a subsidiary is a B2B business and there is some softness.
\n\u25cf\tOn Starbucks, he said the company will continue to open outlets. The company has 201 outlets. The number of outlets opened this year might be equal to what the company opened last year.<\/p>\n
Consensus Estimate: (Source: market screener and Investing.com websites)
\n\u25cf\tThe closing price of Tata Consumer was \u20b9 567 as of 7-December-2020. It traded at 57x\/ 46x\/ 41x the consensus Earnings per share estimate of \u20b9 10\/12.3\/13.9 for FY21E\/ FY22E\/ FY23E respectively.
\n\u25cf\tThe consensus average target price for Tata Consumer is \u20b9 571\/- which implies a PE multiple of 41x on FY23E EPS of 13.9\/-.
\nDisclaimer: \u201cThe views expressed are for information purposes only. The information provided herein should not be considered as investment advice or research recommendation. The users should rely on their own research and analysis and should consult their own investment advisors to determine the merit, risks, and suitability of the information provided.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Update on the Indian Equity Market: On Monday Nifty closed 0.7% higher at 13,356. Among the sectoral indices, Media (+2.8%), PSU Bank (+2.1%), and Pharma (+1.6%) closed higher. Nifty Realty (-0.3%) was the only sector which closed lower. UPL (+4.6%), Adani Ports (+3.6%), and HUL (+3.2%) closed on a positive note. SBI Life (-1.5%), Nestle […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1],"tags":[625,623,624],"_links":{"self":[{"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/posts\/1544"}],"collection":[{"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/comments?post=1544"}],"version-history":[{"count":1,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/posts\/1544\/revisions"}],"predecessor-version":[{"id":1545,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/posts\/1544\/revisions\/1545"}],"wp:attachment":[{"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/media?parent=1544"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/categories?post=1544"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/tags?post=1544"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}