Goldman Sachs has reiterated its buy call on Tata Consumer Products with a target price of ₹1,350 per share after recent investor forum interactions indicated improving medium-term momentum across several core and emerging categories. The brokerage said Tata Consumer continues to be well positioned in high-growth categories and expanding channels, supported by a diversified portfolio that is benefiting from premiumisation, enhanced distribution and rising contribution from newer product lines.
Goldman Sachs highlighted that the company’s salt business, which has steadily gained market share, still has considerable headroom for growth driven by premium variants and deeper penetration. Management also outlined a range of initiatives aimed at accelerating performance in “growth” segments, including beverages, packaged foods and value-added categories. The brokerage noted that near-term margins are benefiting from softer input costs, and while this provides temporary relief, Tata Consumer continues to target a medium-term margin aspiration of 17–20% as scale, mix and efficiency gains broaden.
According to Goldman Sachs, the company’s positioning across modern trade, e-commerce and alternate channels further strengthens its competitive advantage. With strong brand equity, a widening distribution footprint and continued investment behind innovation, the brokerage believes Tata Consumer is well placed to deliver steady growth over the coming years. It added that the current strategy reflects a balance between sustaining category leadership and building capabilities for newer consumption trends.
Disclaimer: The views and recommendations above are those of Goldman Sachs. Business Upturn does not endorse them. Please consult a financial advisor before making investment decisions.
