Trent Ltd - Stock Valuation and Financial Performance

BSE: 500251 | NSE: TRENT | Retailing | Large Cap

Trent Share Price

4,054.75 29.95 0.74%
as on 12-Apr'24 16:59

DeciZen - make an informed investing decision on Trent

Overall Rating
Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Trent stock performance -

mw4me loader
P/E Ratio (SA):
162.56
Market Cap:
1,44,141.3 Cr.
52-wk low:
1,307.1
52-wk high:
4,243.7

Is Trent Ltd an attractive stock to invest in?

1. Is Trent Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Trent Ltd is a good quality company.

2. Is Trent Ltd undervalued or overvalued?

The key valuation ratios of Trent Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Trent Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Strong which suggest that the price of Trent Ltd is likely to Rise in the short term. However, please check the rating on Quality and Valuation before investing

10 Year X-Ray of Trent:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Trent Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good

Value Creation

Value Creation Index Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 2.2%0.7%7%6.3%7.9%7.8%13%4.3%15.1%21.5%-
Value Creation
Index
-0.8-1.0-0.5-0.5-0.4-0.40.2-0.60.30.9-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 1,2421,3581,4921,7172,0662,5323,1782,0483,8817,71510,817
Sales YoY Gr.-9.4%9.9%15.1%20.4%22.5%25.5%-35.6%89.5%98.8%-
Adj EPS 0.802.62.63.83.94.1-1.56.712.824.9
YoY Gr.--100%NA0%45.4%3.2%5.9%-135.6%NA90.4%-
BVPS (₹) 39.641.343.146.448.751.170.370.876.586.6106.5
Adj Net
Profit
26.3-0.186.386.3126130147-52.3240456887
Cash Flow from Ops. -825.910864.210328.2369324149663-
Debt/CF from Ops. -28.28.73.76.13.817.50.80.93.30.8-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 22.5%30.2%34.4%98.8%
Adj EPS 36.3%27.7%45.9%90.4%
BVPS9.1%12.2%7.2%13.2%
Share Price 44.9% 63% 77.1% 197.9%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
1.8-06.25.887.87-2.19.215.725.8
Op. Profit
Mgn %
3.35.17.28.111.110.318.210.516.81515.4
Net Profit
Mgn %
2.1-05.856.15.14.6-2.66.25.98.2
Debt to
Equity
0.20.20.30.30.20.30.10.10.20.2-
Working Cap
Days
167138110103969998151947443
Cash Conv.
Cycle
1517151511182430262723

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 25.80%

Sales growth is growing at healthy rate in last 3 years 34.40%

Net Profit is growing at healthy rate in last 3 years 45.91%

Sales growth is good in last 4 quarters at 60.16%

No data to display

Latest Financials - Trent Ltd.

Standalone Consolidated
TTM EPS (₹) 24.9 23.5
TTM Sales (₹ Cr.) 10,817 11,260
BVPS (₹.) 106.5 91.6
Reserves (₹ Cr.) 3,749 3,219
P/BV 38.08 44.29
PE 162.56 172.27
From the Market
52 Week Low / High (₹) 1307.05 / 4243.65
All Time Low / High (₹) 5.14 / 4243.65
Market Cap (₹ Cr.) 1,44,141
Equity (₹ Cr.) 35.6
Face Value (₹) 1
Industry PE 111.5

Management X-Ray of Trent:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales1,2421,3581,4921,7172,0662,5323,1782,0483,8817,715
Operating Expenses 1,2061,2931,3901,5831,8522,2822,6031,8353,2316,560
Manufacturing Costs203228180183191204184157225396
Material Costs6576817218069591,2321,6041,0301,9014,216
Employee Cost 104124132166203252313255338580
Other Costs 2432603564285005935033937681,368
Operating Profit 35651021342142495742136501,155
Operating Profit Margin (%) 2.8%4.8%6.9%7.8%10.4%9.8%18.1%10.4%16.7%15.0%
Other Income 657489594337157204279412
Interest 151747454350254247310393
Depreciation 264035384246231236283463
Exceptional Items 956025000-6-130
Profit Before Tax 68139109135172189246-72323711
Tax 14392328556291-2173156
Profit After Tax 5410087107117127155-51250555
PAT Margin (%) 4.4%7.4%5.8%6.2%5.6%5.0%4.9%-2.5%6.4%7.2%
Adjusted EPS (₹)1.63.02.63.23.53.84.4-1.47.015.6
Dividend Payout Ratio (%)43%33%35%31%33%34%23%-42%24%14%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 1,3161,3721,4331,5411,6171,6972,4992,5162,7203,080
Share Capital 33333333333336363636
Reserves 1,2831,3391,4001,5081,5841,6642,4632,4802,6843,044
Minority Interest0000000000
Debt22575962913913943000497498
Long Term Debt22575961001003003000497498
Short Term Debt000191292950000
Trade Payables163143149156195229256220314644
Others Liabilities 1983693961891082342,2332,8644,1583,946
Total Liabilities 1,9021,9582,0742,1772,3122,5535,2885,5997,6908,167

Fixed Assets

Gross Block4805565906537628363,0233,5175,3255,516
Accumulated Depreciation1371641741962182424336208431,176
Net Fixed Assets3433924164565455952,5892,8974,4824,340
CWIP 3646545108523344542
Investments 8621,0371,0861,1131,0529411,6071,7291,7241,648
Inventories2652502702983394895873958221,337
Trade Receivables4223131413211631
Cash Equivalents 33292532305144677479
Others Assets359201221270323378425457526690
Total Assets 1,9021,9582,0742,1772,3122,5535,2885,5997,6908,167

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity -8261086410328369324149663
PBT 5982109110172190246-66336711
Adjustment -14-43-10194752315277293410
Changes in Working Capital -40-1928-34-67-136-111113-402-271
Tax Paid -135-19-31-49-78-810-78-187
Cash Flow From Investing Activity -624-89-11-30-46-757-39-6-143
Capex -57-112-134-68-130-186-105-81-198-214
Net Investments -3-40-71888223-524972337
Others -2156523911-83-128-56-4164
Cash Flow From Financing Activity -45-34-21-47-7438382-262-136-515
Net Proceeds from Shares -7030010000950000
Net Proceeds from Borrowing -40000299-1000-3000
Interest Paid -7-7-20-33-32-22-244-173-235-356
Dividend Paid -27-27-75-1-40-46-52-36-43-39
Others 00-226-114-2-193-173-54442-120
Net Cash Flow -115-4-26-121-72375
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)3.817.446.177.197.397.697.37-2.039.5419.12
ROCE (%)5.069.939.139.5710.911.3920.036.2320.9732.49
Asset Turnover Ratio0.660.750.790.8611.140.880.410.631.05
PAT to CFO Conversion(x)-0.150.261.240.60.880.222.38N/A0.61.19
Working Capital Days
Receivable Days1101121321
Inventory Days62656057525557815347
Payable Days79827469676355845134

Trent Ltd Stock News

Trent Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Trent on 12-Apr-2024 16:59 is ₹4,054.8.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 12-Apr-2024 16:59 the market cap of Trent stood at ₹1,44,141.3.
The latest P/E ratio of Trent as of 12-Apr-2024 16:59 is 162.6.
The latest P/B ratio of Trent as of 12-Apr-2024 16:59 is 38.08.
The 52-week high of Trent is ₹4,243.7 and the 52-week low is ₹1,307.1.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Trent is ₹10,817 ( Cr.) .

About Trent Ltd

Trent Ltd. was established in 1998 and part of the Tata group. Trent is headquartered in Mumbai but has pan-India operations. Trent is one of the leading players in the branded retail industry in India. The Company's segments include Retailing and Others. It primarily operates stores across three formats: Westside, Star, Landmark and Zudio.

Trent’s value fashion concept - Zudio offers fashion at irresistible prices for women, men and children. Exclusive fashion is curated in-house and made available at very sharp price points.  Zudio  has  evolved  into  a  growing  standalone  concept  along  with  improved  quality of presence within select Star stores. Hypermarket and supermarket store chain - operating under ‘Star Market’ concept offers an assortment of products, including staples, beverages, health & beauty products along with a comprehensive fresh offering (vegetables, fruits, dairy, non vegetarian products). The offering is also supported by a compelling range of own brands at attractive prices. Star witnessed encouraging traction during the year and the Star Market format is increasingly viewed as a differentiated & sustainable model affording further expansion with better returns and throughput.

A family entertainment concept - Landmark offers a curated range of toys, front list books, stationery and sports merchandise. Backend operations relating to the concept are significantly integrated with Westside to realize synergies and contain overhead costs. Trent’s latest concept – Utsa is a modern Indian lifestyle destination which offers ethnic apparel, beauty products and accessories. The merchandise includes a selection of Westside’s Indianwear offer along with additional exclusive styles housed in an appealing space between 2,000 - 3,000 sq ft. Backend operations are integrated with Trent’s other concepts to realize synergies. The concept is operational through stores launched during the year in Pune and Vadodara.

Business area of the company

The company is engaged in the retail sale of readymade garments. Trent’s flagship concept- Westside offers branded fashion apparel, footwear and accessories for women, men and children, along with a range of home furnishings & decor. This offer is presented through a differentiated portfolio of exclusive brands that are in tune with latest fashion trends appealing to a wide spectrum of style conscious consumers across defined customer segments. This differentiated approach also aids in competing effectively in the face of disintermediation risks posed by diverse competition.

Awards

Trent

  • Trent’s retail brand Westside received Most Admired Large Format Retail Chain of the Year at Lycra Images Fashion Awards 2005.
  • Trent was honoured with NDTV Profit Business Leadership Awards 2006 - Retail Category.  
  • Trent has received following awards during FY20:

Westside

  • Best Departmental Store of the year at MAPIC India Retail Awardsb.   
  • Best Customer Relationship Management at MAPIC India Retail Awards.

Star

  • Supermarket of the Year Award at Annapoorna Food Retail Awards.
  • Special Category Award - Persons with Disabilities at Retail Awards 2020 - National   Winner is a Sales Associate at Star.
  • Energy Conservation Award-STAR hosted by The Tata Power Company Limited.
  • IMAGES Most Admired Brand Retail Partnership of the Year: Cadbury Dairy Milk and Star.
  • IMAGES Most Admired Marketing Campaign of the Year: Customer Chain Coupons by Star.

Milestones

  • 2004 - The company ventured in hypermarket business with Star Bazaar. This outlet is currently located in 3 cities namely Ahmedabad, Mumbai and Bangalore. It offers wide range of products affordable prices such as at staple foods, beverages, health and beauty products, vegetables, fruits, dairy products, consumer electronics and household items.
  • 2008 - Trent announced an association with Tesco Plc, the UK’s leading retailer and one of the world’s top three leading international retailers. This arrangement will allow Trent access to Tesco’s extensive retail expertise and technical capability including world class IT systems, processes and best practices in functions like marketing, stock management, retail information systems, cold-chain infrastructure and front-end services to drive the growth of Trent’s hypermarket business, which is operated under the name Star Bazaar.
  • 2009 - Trent announced a joint venture with Inditex Group to develop and promote Zara stores in India. Inditex is one of the world’s biggest fashion retailers from Spain.In the MoU signed, Inditex would hold 51 per cent while Trent would hold a 49 per cent stake in the joint venture company.
  • 2013 - The Board of Directors of the Company approved a Scheme of Amalgamation and Arrangement (‘The Scheme’) between Landmark Limited, Fiora Link Road Properties Limited and Trexa ADMC Private Limited with the Company.
  • 2014 - Trent's westside opens stores at 'Sun City' Jodhpur, 5th Store at Bengaluru, 9th store in Borivali and 5th Store in Chennai during the year.
  • 2014 - One of India’s largest and fastest growing chain of retail stores,Trent's Westside announced the launch of private label teen fashion brand ‘Y&F ' Young and Free’.
  • 2017 - Trent had acquired value fashion apparel business ‘Zudio’ from Trent Hypermarket Private Limited (THPL).
  • 2019 - The company has acquired 51% of the share capital of Booker India Limited (BIL) thereby making it a subsidiary of the Company with effect from 28th September 2019.
  • 2020 - Trent has entered into a definitive agreement to acquire 100% of the share capital of Common Wealth Developers.
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