Buy Tata Consumer Products, target price Rs 525: Kotak Securities

Kotak Securities has given a buy rating to Tata Consumer Products with a target price of Rs 525. The share price moved up by 0.50 per cent from its previous close of Rs 508.50. The stock’s last traded price is Rs 511.05.

Tata Consumer Products Ltd., incorporated in the year 1962, is a Large Cap company (having a market cap of Rs 46883.94 Crore) operating in FMCG sector.

Financials
For the quarter ended 30-09-2020, the company reported a Consolidated sales of Rs 2781.34 Crore, up 2.48 % from last quarter Sales of Rs 2713.91 Crore and up 51.65 % from last year same quarter Sales of Rs 1834.06 Crore Company reported net profit after tax of Rs 234.33 Crore in latest quarter.

Investment Rationale
Rising channel formation along with higher high and higher low patterns on daily charts.

Promoter/FII Holdings
Promoters held 34.7 per cent stake in the company as of Sept 30, 2020, while FIIs held 21.7 per cent, DIIs 17.7 per cent and public and others 25.9 per cent.