Last Updated: Wednesday, July 26, 2023

Unveiling the Brew-tiful Potential of Tata Consumer Products - A Multibagger Stock Worth Considering

Tata Consumer Products Limited TCPL large cap potential multibagger stock to buy now- Best FMCG stocks
Tata Consumer Products Limited (TCPL) Share latest news:

Hey there, fellow investors! 
Today, we're going to take a closer look at the recent performance of Tata Consumer Products (TCPL), the Indian FMCG major, and discover why it might be the perfect blend for your investment portfolio. With its latest financial results for the June quarter of FY24, TCPL has shown impressive growth that has the potential to make it a valuable asset for value investors in the large-cap market. TCPL seems to the best FMCG stocks to buy now for longterm investment. The stock has already given multibagger return and still has potential to be next larg cap multibagger stock.

Tata Consumer Products Limited price Target today

TCPL's Thriving Q1 Performance:

In the first quarter of FY24, TCPL reported a consolidated net profit of Rs 358.57 crore, marking a significant 29 percent growth compared to the same period last year. The group net profit also surged by 22 percent to Rs 338 Crores. The company's ability to register consistent profit growth, quarter after quarter, is undoubtedly a positive sign for long-term investors.

Revenue Growth and Diverse Business Segments:

TCPL's total revenue for the quarter stood at Rs 3741.21 crore, an impressive 12.45 percent rise from the year-ago quarter. This exceptional growth can be attributed to the solid performance of its India business, which saw a remarkable 16 percent rise. Moreover, the international and non-branded businesses also contributed positively, growing by 3 percent and 5 percent (constant currency), respectively.

Key Drivers of Success:

TCPL's India packaged beverages business and India foods business were the star performers during the quarter, displaying revenue growth rates of 2 percent and 24 percent, respectively. The company's popular tea brands, Tata Tea Premium and Tata Tea Agni, led the charge with strong volume growth. Additionally, the coffee segment showed impressive revenue growth of 21 percent YoY.

NourishCo, TCPL's RTD business, recorded a whopping 60 percent revenue growth despite facing adverse weather conditions. Tata Soulfull, with its exciting new launches and entry into new categories, expanded its Total Addressable Market and continues to be a strong performer.

Embracing Innovation:

TCPL's commitment to innovation shines through, as the company maintained an innovation-to-sales ratio of 5 percent during Q1. This strategic focus on innovation fuels the company's growth and ability to stay ahead of the competition.

Strong Global Presence:

Not only is TCPL thriving in the domestic market, but its brands in the UK, including Tetley, Good Earth, and teapigs, also gained value market share in the last quarter. Additionally, Tata Starbucks recorded an impressive revenue growth of 21 percent, showcasing the company's international success.

Looking Ahead:

With the Q1 results exceeding market estimates, TCPL has showcased its resilience and potential as a multibagger stock for long-term investors. The company's expansion into new markets, consistent profit growth, and strong portfolio of popular brands make it an attractive proposition for value investors in the large-cap space.

Tata Consumer Products Limited share price Target 

Brokerage Citi has assigned a target price of Rs 1020 to the Tata Consumer products ltd's stock. Citi has initiated coverage of the stock with a buy call.

"We value Tata Consumer on a SoTP-based approach given different stages of growth/profitability across segments. Our Rs 1,020 target price implies a multiple of 56x Mar-25E, 5% premium to the stock's 3-year historical avg. Market share gains and premiumisation in core categories, increasing salience of new categories and improving financial metrics could keep absolute multiples elevated. Our picking in India staples is now Hindustan Unilever, Godrej Consumer and Tata Consumer," said Citi.


So there you have it, folks! Tata Consumer Products has proven itself as a strong contender in the FMCG sector, exhibiting robust growth and resilience in the face of challenges. As an investor, TCPL's performance, coupled with its strategic focus on innovation and diverse business segments, makes it a compelling choice for your long-term investment goals. Remember, though investments carry inherent risks, this potential multibagger stock presents an enticing opportunity worth considering.

Disclaimer: This blog post does not constitute financial advice. Always conduct thorough research and consult with a financial advisor before making investment decisions. Happy investing!

Last Updated: Tuesday, July 25, 2023

Tata Motors Leverages Capital Reduction: Replaces DVRs with Ordinary Shares

Latest news: Tata-motors-dvr-share-latest-news

In a groundbreaking move, Indian automaker giant Tata Motors has announced its intent to cancel all the Differential Voting Rights (DVRs) through a strategically crafted scheme of arrangement. The plan includes issuing ordinary shares to replace the DVRs, aiming to simplify their capital structure and optimize the value for their shareholders. This step marks a significant change for the company, which has kept DVRs as part of its financial architecture since 2008.

DVRs, issued by Tata Motors during a rights issue back in 2008, are essentially shares that carry different voting and dividend rights compared to ordinary shares. DVR holders typically receive a higher dividend but have lesser voting rights in the company. With this change, Tata Motors seeks to unify the two types of shares, reducing complexity and further streamlining its financial operations.

Tata Motors has always been a trendsetter in the automotive industry, and this new move is no different. The capital reduction consideration implies a premium of 23% on the previous day’s closing share price of 'A' Ordinary shares, which translates to a 30% discount over the Ordinary Share price, a significant value for shareholders.

The changes are subject to approval from the National Company Law Tribunal. Once approved, the move will allow the company to issue seven ordinary shares for every ten Tata Motors DVR share, a change aimed at capital reduction and creating parity between the two classes of shares. This restructuring also comes at a time when Tata Motors has delisted its American Depository Shares from the New York Stock Exchange.

This strategic move arrives on the heels of a robust financial performance by Tata Motors. The company reported an impressive consolidated net profit of Rs 3,203 crore for the quarter ended June, a sharp recovery from a net loss of Rs 5,007 crore a year ago. The revenue from operations saw a significant hike of 42% year on year, standing at Rs 1.02 lakh crore.

Tata Motors' financial turnaround can be attributed to the impressive performance of its British arm Jaguar Land Rover Automotive, in conjunction with a strong commercial and passenger vehicle business in India. In light of this financial performance, shares of Tata Motors ended 1.6% higher on the National Stock Exchange, with DVRs marking a nearly 5% surge.

With these changes in place, Tata Motors is poised to enter a new era of streamlined operations and value accretion. The move to replace DVRs with ordinary shares demonstrates the company's commitment to enhancing shareholder value and ensuring a robust and simplified financial structure for its future growth.

Tata Motors' robust performance: Q1 FY 2024 Result Beats the street

Stock News: Tata motors share latest news, tata-motors-result

In a striking revelation, Tata Motors has released their Q1 FY24 financials with a resonating confidence, driving their stocks in the green and lifting the spirits of their investors. The automobile behemoth showcased a commendable resilience and adaptability in their strategy, strongly indicating a bright future.

Tata Motors registered an impressive growth in the first quarter, exceeding market expectations. Their revenues from operations witnessed an uptick of 42%, touching the Rs 1.02 lakh crore mark. Evidently, the sustained growth trend and a vibrant product portfolio have played a crucial role in this significant leap.

Furthermore, the financials report indicated an encouraging surge in the Tata Commercial Vehicles (TATA CV) and Tata Passenger Vehicles (TATA PV) segments. TATA CV chalked up Q1 revenue of Rs 17,000 crore, with an EBITDA at 9.4%, while domestic CV market share rested at an imposing 39.1%. Concurrently, TATA PV reported a Q1 revenue of Rs 12.8K crore and an EBITDA of 5.3%.

The performance of Tata Motors' luxury vehicle subsidiary, Jaguar Land Rover (JLR), emerged as another sterling aspect of the Q1 results. The quarterly wholesales for Jaguar and Land Rover were recorded at 10,324 and 82,929 vehicles, respectively, marking a substantial 30 percent growth YoY. Nevertheless, JLR's Q2 production and cashflow are anticipated to be slightly lower, owing to the annual summer plant shutdown. 

In a remarkable milestone, the profit of the automaker surpassed market estimates with a noteworthy margin. Analysts had previously projected it to be around Rs 2,546 crore. Besides, the company CFO PB Balaji affirmed that they would turn net debt-free this year, adding another feather to Tata Motors' cap.

Adding to the optimism, the company announced the commencement of production at the EV plant in the UK and battery cell plant in Gujarat by 2026. The firm has also unveiled plans to launch 10 electric cars under the JLR portfolio in the medium term. Despite this ambitious growth strategy, the company does not foresee any fundraising necessity for the EV subsidiary.

Furthermore, the CFO elucidated on the capital expenditure plans of the automaker, with Rs 38,000 crore earmarked for this year. Out of this, Rs 8,000 crore will be directed towards the domestic PV, CV, and EV businesses, while the rest Rs 30,000 crore would be allocated for JLR.

In addition, the company confirmed the issuance of 7 ordinary shares for every 10 'A' shares (Tata motors DVR), suggesting a 23% premium for 'A' shares. This is set to result in a 4.2% reduction in outstanding shares.

On the downside, Tata Motors awaits governmental approval for the Tiago EV PLI, as the company has already applied for the PLI and is now waiting for the certificates.

All in all, Tata Motors' Q1 FY24 results painted a rosy picture of the company's strategic direction and market standing. While the market remains dynamic, Tata Motors' robust performance and forward-thinking initiatives signal a promising trajectory, setting high expectations for the future quarters.

Last Updated: Friday, July 21, 2023

How to Become Millionaire by Investing In Stock Market?

How to Become Millionaire by Investing In Stock Market?

How to Become Millionaire by Investing In Stock Market?Everyone has its own trading and investment style in stock market but they all have the common question in their mind "How to Become Millionaire by Investing In Stock Market?" In fact it is tough to find out a quick fix trading and investment style in stock market but some Fundas are almost common among all millionaire investors/traders. In present post I have tried to express some of the most discussed trading ideas and  investment ideas in order to explore "How to Become Millionaire by Investing In Stock Market"?

How to Become Millionaire by Investing In Stock Market?

"Ever dreamed of becoming a millionaire? It may seem like a lofty goal, but with the right strategy and tools, the stock market could be your staircase to financial freedom. Investing in stocks isn't just about quick wins or short-term trading; it's about understanding the market, recognizing potential, and most importantly, having the patience to watch your investments grow over time. In this guide, we will walk you through the steps on 'How to Become a Millionaire by Investing in the Stock Market,' sharing the secrets behind successful investment strategies and introducing you to the art of spotting the future 'multibaggers.' So strap in and get ready, because your journey to millionaire status begins now!"

1. Trading with Trend: Bet on Winning Horse
Image:How_to_Become_multi_Millionaire_trading_Investing In Stock Market?
As you have just initiated your steps in stock market with plenty of dreams, you should make sure to focus on Buzzing stocks i.e. stay tune with trend as it is said "Trend is friend". At the same time we suggest you to do your pwn research, look into their price patterns and focus on stocks which are already in momentum as you plan to go with them until they reach new heights instead of focusing on stocks hitting new lows. 

2. "Buy" and "Short Sell" are the Two Aspects of the Stock Market

Some of the trader think they need a bull market to get rich in stock market but this is only a half story and  it isn't the case. Don't hesitate short selling in trend is downside, you should not have to hold on to a stock for a long time to earn a profit, but look at the success story of some day-traders have; they are the epitome of earning off of short selling. Nothing wrong with short selling as you are in stock market to earn money only, remember if you are adhere to the old principles then you will still be found searching somewhere the term "How to Become Millionaire by Investing In Stock Market?"  on Google throughout your life like today you did it.

3. Book Your Losses Quickly
If you want to to Become Millionaire in Stock Market, take your ego completely out of the situation. In case you face a set back, book your losses and move on fast. Do not dwell on your stupid decision,  instead look to the future opportunity. You are going to fail, so mindset yourself and just be ready to move on another opportunities.

4. Don't Hesitate to Book Partial or Entire Profit
The interesting thing about your un-booked profit is that they aren't really profit until you book them. you should not hesitate to book partial profits or take entire profit too quickly. The Stock market changes fast there is nothing wrong in getting out when you feel it is right time to book the profits that you have earned.

5. Taking help of  New Technologies 
Nothing in the world is changing fast than technologies,  so be the change if you want to be Millionaire in Stock Market. Now is the time to be associated with modern sophisticated technologies. There are the business of the future, Knock new technologies and business models and be willing to stay ahead of the time as you look to your investments in future.

6. Prefer Liquid Stocks
If you really want to earn some serious money in the stock market, this is good to stick to liquid and highly traded stocks. Try to abstain yourself from illiquid stocks as these are the stocks which make big promises but followed by some downtrend.

7. Don't trust anyone in the Stock Market, Do your own research
In the trading world of stock market, talk is cheap. Don't listen to or trust promises or hype  at all, look only the way stocks are behaving, you should do your own research by looking into how the stock you are tracking is performing and what action it is really taking in the market. This is the way you can understand what to expect from the stock you are tracking in the future.
8. Diversify but avoid too much of it;
Everyone in stock market suggest not to put all of your eggs in one basket even I believe the same but too much diversification is not the way to be Millionaire through Investing in Stock Market.  I have my personal experience is too much diversified investment creates obstacle in booking profit as we gain high in percentage return but few in monetary return. One should typically keep one to two stocks at a time and should not use more than 30% of one's assets in investments, that's it.

9. Don't Leverage;
Spread your legs according to the blanket, So many people talk about Derivatives/Options/Future trading by using leverage but this is not the way to be Millionaire in Stock Market. One must avoid leveraging and doing margin trading in the stock market unless it becomes inevitable to do so.

10. You Don't Need to give bottom finishing nor to Sell at the Top
No one in the stock market can buy at the bottom and sell at the top, so many of new traders having dream  to be Millionaire in Stock Market are focused on the old adage that they need to buy right at the bottom and sell right at the top. Though it would be nice if you could do the same but you just need to focus on the meet of the move, not necessarily the top and bottom. Instead you should get in during the middle and still make some major profits.

11. Learn to Identify Multibagger Stocks: Identifying multibagger stocks is critical for becoming a millionaire in the stock market for a simple reason: these stocks offer exponential returns. Unlike blue-chip companies that offer steady but often slower growth, small-cap stocks can multiply in value within a relatively short time, sometimes even double, triple, or more. This potential for rapid growth can greatly accelerate wealth accumulation, making it possible for savvy investors to reach the millionaire status much quicker. That said, the risks are also higher, so careful research, due diligence, and a balanced portfolio are key to suceed in this high-reward game. Don't miss the latest list of Top 10 Small Cap Stocks to buy now for multibagger return
I know you might be missing some of the important trading ideas in above post and if it is; it is due to my commitment to keep this article as short as possible. Please do post your valuable comments and suggestions as to present post "How to Become Millionaire by Investing In Stock Market?"

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Top 10 Small Cap Stocks to buy now for multibagger return

Here is the latest list of Top 10 Small Cap Stocks to buy now for multibagger return- August 2023;

Top 10 Small Cap Stocks to buy now for multibagger return- August 2023

Latest list of Top 10 Small Cap Stocks to buy now for multibagger return

"If you're on the hunt for hidden treasures in the stock market, you've land in the right place. With large-cap stocks often stealin' the spotlight it's easy to overlook the potential in small cap companies. But these under-the-radar gems could offer the kind of multibagger returns that make investing truly exciting and worthy. In this blog post we bring you the 'Top 10 Small Cap Stocks to Buy Now for Multibagger Return.' We have done the hard work of sieving through the market to find these promising stocks for you, combing through financials, industry trends, management quality, and more. Get ready to dive deep into the world of small-cap stocks, a world full of potential and profitable surprises. Stay tuned, because you do not want to miss these top picks!"

1. Electronics Marts @ 100.25: For those who want to tap into the rapidly growing consumer electronics market, Electronics Marts is your ticket. With its robust portfolio of products, the company is setting the bar for electronic retailing in India.

2. Greaves Cotton @ 136.80: A heritage name in the Indian industrial sector, Greaves Cotton offers a unique investment opportunity. Known for their engine manufacturing prowess now entered into two wheeler EV space. Their brands includes names like Ampere and Magnus EV, this small-cap gem is poised to give an immense boost to your portfolio."

3. Sharda Crops @3513.30: Operating in the agriculture sector, Sharda Crops is making waves with its innovative crop solutions. If you believe in the future of agritech, this small-cap stock deserves your attention.

4. Gujrarat Amb Exports @ 258.30: Gujarat Amb Exports, a key player in the food processing industry and a global leader in exporting maize (corn and corn starch), is a tantalizing pick for those looking for a taste of India's booming export market.

5. International Conveyors Ltd @77.40: As a lead player in the material handling industry, International Conveyors offers an interesting play on the global industrial boom of conveyor belts which is most widely used in mining industuries. International conveyors ltd is the only listed player of manufacturing PVC conveyor belts. High on potential, this small-cap stock is waiting to be scooped up. Consistent rise in shareholding of promotors signals that something big is going to happen in this counter.

6. RattanIndia Enterprises @39.90: RattanIndia Enterprises is reaping rewards from its investments and has now broken into profitability. The company was generating losses five years ago, but now it's a turned around story and the stock is already multibagger by 8-10 times. RattanIndia Enterprises Limited is the flagship company of Rattanindia Group for its new age growth businesses. The company is focused on businesses with cutting edge technologies which have the potential to transform the lives of billion plus Indians. RattanIndia Enterprises Limited comprises of tech focussed new age businesses including e-commerce, electric vehicles, fintech and drones. Its wholly owned subsidiaries includes Cocoblu Retail Ltd (Top Seller on Amazon), Revolt Motors (Top selling EV Bike in India), Fintech through BankSe, NeoSky India Ltd and Throttle Aerospace Systems (TAS), in Drone segment. Market Experts believes that the stock is all poised to give stellar numbers. From financial services to green energy, RattanIndia's diverse operations make it a compelling small-cap pick. With India's green revolution on the horizon, RattanIndia's renewable energy venture could be a game-changer.

7. GM Breweries @ 593.25: An intriguing small-cap stock in the beverages industry, GM Breweries could be just the 'spirit' your portfolio needs. With a strong foothold in the Indian liquor market, this stock holds promising future potential.

8. Paradeep Phosphate @ 63.15: As a key manufacturer of fertilizers, Paradeep Phosphate is a great pick for those who want to invest in India's agriculture sector. This is a high-potential small-cap stock that should not be overlooked.

9. SJS Enterprises @ 583.00: A leading manufacturer of aesthetic labels, SJS Enterprises offers a unique investment opportunity in the industrial sector. If you are looking for unique small-cap stocks with multibagger return potential in the short to medium term then SJS Enterprises is worth a look.

10. Vaibhav Global @ 341.25: A leader in the e-retail of fashion jewellery and lifestyle products, Vaibhav Global is making a mark in the e-commerce world. An interesting pick in the small-cap segment, Vaibhav Global could bring glitz and glamour to your portfolio. This stock is also in the portfolio of Ace Investors namely Vijay Kedia and Dolly Khannna.

Please keep in mind that the numbers following each company name is the stock prices but stock prices change constantly throughout each trading day. It would be more accurate to refer to these numbers as "current as of July 21, 2023."

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