A director at Tata Consumer Products Ltd bought 4,000 shares at 909.862INR and the significance rating of the trade was 69/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two ...
The independent financial analyst theScreener just requalified the general evaluation of TATA CONSUMER PRODUCTS (IN), active in the Farming & Fishing industry. As regards its fundamental valuation, the title still shows 1 out of 4 stars and its market behaviour is seen as defensive. theScreener believes that the unfavourable environment weighs on the sector and penalises the company, which sees a downgrade to its general evaluation to Neutral. As of the analysis date November 30, 2021, the closi...
TATA CONSUMER PRODUCTS: Impact of tea cost inflation is now behind but higher A&P spends to weigh (TATACONS IN, Mkt Cap USD9.7b, CMP INR789, TP INR945, 20% Upside, Buy) Gross margin pressure eased off in 2QFY22 which has been impacting since the last four quarters due to tea cost inflation. The management expects gross margin to improve on a QoQ basis going forward. However, quarterly performance was impacted due to higher A&P spends (which is expected to continue) and other expenses. We...
TATA CONSUMER PRODUCTS: Gross margin pressure to ease in coming quarters (TATACONS IN, Mkt Cap USD11b, CMP INR882, TP INR1000, 13% Upside, Buy) Tea price inflation has impacted TCP’s performance since the last four quarters. However, we expect gross margin to improve from 2QFY22 onwards as tea prices have declined (down 32% from their peak in Aug’20 to INR175/kg in Aug’21). In this note, we have analyzed the impact of the fall in tea prices on TCP in the near term. Here are the key insights...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
TATA CONSUMER PRODUCTS: Gross margin improvement in sight; In line operating performance (TATACONS IN, Mkt Cap USD9.4b, CMP INR760, TP INR850, 12% Upside, Buy) Higher Tea prices impacted standalone gross margin, and higher A&P investments affected consolidated EBITDA margin. However, the impact of Tea cost inflation is subsiding as gross margin improved QoQ. The management expects the same to reach FY20 levels in one or two quarters. Volume growth in the India Foods business rose 17%...
Reason For Caution Various market dynamics have deteriorated recently which leads us to a more neutral outlook for the weeks ahead. For now we do not expect to see a significant correction, however we have reason to believe that this current consolidation period could go on longer than initially expected. Below we explain updates to our outlook. · Deteriorating Market Dynamics: US Dollar & EM Equities. The 92 level has been our key line in the sand on the US dollar (DXY); we have sugge...
EM Outperforming; Favor EM over EAFE With many global markets crumbling last week, one might assume that EM would have underperformed -- but that is not what transpired. What we saw was a decline in the US dollar which, along with improving coronavirus metrics in China, led to EM outperformance. Reiterating our 12/20/19 EM Strategy, we continue to believe EM is a better place to be than EAFE, supported by new highs in the EM vs. EAFE ratio and our ongoing belief that the US dollar is likely not...
Global Equities Dive, Testing Major Support Global equities have gone from extreme bullish sentiment and an extended market to panic and fear over coronavirus concerns. It is virtually impossible to predict what will happen regarding the virus or how much further markets could sell off as a result. Below we explain our outlook based on what we do know, which has been dampened but is not yet dire. • Indexes Testing Major Support. Major indexes are testing long-term base support and/or support...
Tata Global Beverages: Overseas Tea contains overall growth (TGBL IN, Mkt Cap USD3.4b, CMP INR380, TP INR439, 16% Upside, Buy) Miss on EBITDA/PAT TGB’s performance was below our expectations, mainly due to lower-than-expected EBITDA at TGB overseas tea and TGB standalone (primarily because of higher ad spend). However, the gross margin expanded 140bp YoY to 46.2%. Consol. PAT increased 21% YoY to INR1.2b. While revenue was largely in line, EBITDA/PAT came in 11%/28% below our estimates....
Tata Global Beverages (initiating coverage): Brewing a heady mix! Focus back on high-RoIC India business; Initiating with Buy (TGBL IN, Mkt Cap USD2.7b, CMP INR300, TP INR347, 16% Upside, Buy) Tata Global Beverages (TGB) is a natural beverages company with interest in tea, coffee and water. It is the second largest branded tea player globally with operations spanning over 40 countries. Branded products represent ~90% of its consolidated sales, of this, tea accounts for ~80%. Focus back ...
USD weakness a tailwind for int'l markets With markets showing signs of weakening at logical resistance as outlined in last week's Int'l Compass - we recommend being selective in new purchases. At the same time we are seeing a number of indicators that are giving signals conducive to higher equity prices, meaning global equities may be gearing up for an eventual breakout topside resistance. Below we highlight some attractive and actionable themes along with indicators that support our overall c...
Int'l Equity Strategy Global equities staged an impressive rally over the first four months of 2019. The nearly unabated advance allowed the broad major indexes (MSCI ACWI, ACWI ex-US, and EAFE) to break topside critical 14-month downtrends which began in January 2018. Heading into May, YTD uptrends were ubiquitous and market participants were generally of the belief that a US-China trade deal was a foregone conclusion. Then came Trump's May 5th tweets claiming China was attempting to renegotia...
Testing 200-day MA support Generally speaking most major indexes are currently trading at the lower end of their May trading ranges. Barring improving headlines regarding tariffs & trade or comments from the Fed suggesting a potential rate cut on the horizon - both of which would result in a weaker U.S. dollar - we believe global markets are vulnerable to further weakness. With global markets in purgatory, we are watching for support at the all-important 200-day moving averages on the S&P 500, ...
Ford Equity International Research Reports cover 60 countries with over 30,000 stocks traded on international exchanges. A proprietary quantitative system compares each company to its peers on proven measures of business value, growth characteristics, and investor behavior. Ford's three recommendation ratings buy, hold and sell, represent each stock’s return potential relative to its own country market.. The rating reports which are generated each week, include the fundamental details behind...
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