Bernstein has reiterated its Outperform rating on Trent Ltd with a target price of ₹6,500, indicating an upside potential of 18.5% from the current market price of ₹5,487.00. While the brokerage acknowledged that the company reported 20% year-on-year growth in the first quarter of FY26, it does not consider this pace of growth as the “new normal.”
The firm noted that store expansion was limited during the quarter, with a net addition of just one Zudio outlet and none for Westside. However, Bernstein maintained that the medium- to long-term growth story for Trent remains intact, supported by three core factors: the potential to add 200–250 stores annually across fashion formats, a strong brand perception with robust consumer acceptance, and a well-optimized supply chain that enables frequent product refreshes and pricing advantages.
Bernstein cautioned that Trent’s short-term growth may be more volatile and closely tied to any revival in consumer demand trends during FY26. Nonetheless, the firm remains optimistic about the company’s scalability and operational strengths, which it believes continue to support the premium valuation.
Disclaimer: The views expressed above are those of Bernstein and do not constitute investment advice. This article is for informational purposes only.
