Goldman Sachs has maintained its sell rating on Avenue Supermarts (D-Mart) while cutting the target price to ₹3,370 per share from ₹3,450 earlier, citing weaker-than-expected sales performance despite a favourable base. The brokerage highlighted that the company’s standalone revenue grew 15.4% year-on-year in the second quarter, missing expectations and suggesting continued softness in discretionary spending.
The firm noted that store expansion has yet to show any meaningful acceleration, limiting near-term growth visibility. As a result, Goldman Sachs has moderated its FY26 sales growth forecast to 18% from 20% and trimmed its earnings per share (EPS) estimates for FY26–28 by about 2%.
According to the brokerage, while Avenue Supermarts continues to demonstrate operational efficiency and strong brand equity, the absence of a sharp rebound in same-store sales and muted store addition momentum could weigh on the stock. The note added that a sustained uptick in volumes and better-than-expected expansion pace would be key catalysts to reassess the outlook.
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