Founded in 1868 by Jamsetji Tata, the Tata Group is one of India’s largest conglomerates, owned by Tata Sons. It is the second-largest business house in India and has the highest number of companies listed on the stock exchange.
The Tata Group includes several industry-leading companies such as TCS, Tata Motors, Tata Steel, and Tata Consumer Products. The group has been guided by visionary leaders, including Jamsetji Tata, JRD Tata, and Ratan Tata, who have played a pivotal role in its management and success.
The group operates over 30 companies across various sectors, making it a key player in the Indian economy and a significant presence globally, with operations in over 100 countries.
Listed below are such Tata group stocks that have delivered more than 45 percent return to its shareholders in one month:
Tata Elxsi Ltd
With a market capitalization of Rs. 51,689 crores, the shares of the IT consulting and software company started Wednesday’s trading session on a lower note at Rs. 8,900 compared to its previous close of Rs. 8,971.40.
During the trading session, the shares hit a low of Rs. 8,261.10, losing around 8 percent and closed the day at Rs. 8,227 apiece.
Looking at the company’s financial performance, the revenue increased marginally by around 2 percent from Rs. 906 crores during the March quarter to Rs. 926 crores in the June quarter. On the other hand, the net profits declined by around 7 percent from Rs. 197 crores to Rs. 184 crores during the same period.
The stock has provided approximately a 25 percent return to its shareholders within just two days and has delivered around 20 percent in just one month, reflecting a significant increase in value over a short period.
Despite the surge, brokerage firm Kotak Institutional Equities maintained its “sell” recommendation on the stock with a price target of Rs. 5,500 per share, implying a potential downside of 33 percent.
The brokerage believes that Tata Elxsi’s current valuation of 61 times one-year forward earnings is more than adequately factoring in all positives and ignoring near-term headwinds.
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Tata Investment Corporation Ltd
With a market capitalization of Rs. 36,845 crores, the shares of the NBFC started Wednesday’s trading session on a higher note at Rs. 7,498.70 compared to its previous close of Rs. 7,385.45.
During the trading session, the shares hit a low of Rs. 7,200, losing around 3 percent and closed the day at Rs. 7,190 apiece.
Coming onto the company’s financial statements, the revenue surged by around 150 percent from Rs. 57 crores during Q4FY24 to Rs. 142 crores in Q1FY25. In addition, the net profits zoomed by 118 percent from Rs. 60 crores to Rs. 131 crores during the same period.
The share price of Tata Investment Corporation has risen approximately 15 percent over the past month and has surged more than 25 percent in two consecutive sessions, reaching a 5-month high. This significant increase follows reports that Tata Sons repaid over Rs 20,000 crore in debt.
On a daily timeframe, the company’s Relative Strength Index (RSI) stands at 70.57, suggesting that the stock is currently in the ‘overbought’ zone. This high RSI level indicates that the stock has experienced significant upward movement recently, potentially signalling that it may be overvalued in the short term.
Trent Ltd
With a market capitalization of Rs. 2,57,910 crores, the shares of the Tata Group company started Wednesday’s trading session on a higher note at Rs. 6,990 compared to its previous close of Rs. 6,869.90.
During the trading session, the shares hit a high of Rs. 7,325, gaining around 6 percent, also recorded as the company’s fresh 52-week high and closed the day at Rs. 7,215 apiece.
Looking at the company’s financial statements, the revenue increased by around 24 percent from Rs. 3,298 crores during the March quarter to Rs. 4,104 crores in the June quarter. Contrastingly, the net profits declined by 45 percent from Rs. 712 crores to Rs. 391 crores during the same timeframe.
In the past month, the shares of Trent Limited have delivered a remarkable return of approximately 32 percent to its shareholders.
Additionally, Bernstein, a global investment firm has assigned an “Outperform” rating to Trent, along with a target price of Rs 8,100, indicating a potential upside of approximately 12 percent from its current price.
Bernstein’s analysis emphasizes the growth potential within India’s retail and restaurant sectors, particularly driven by the expanding middle class. The firm initiated coverage on seven key stocks in these sectors, with Trent being one of the four stocks rated as “Outperform.
However, on a daily timeframe, the company’s Relative Strength Index (RSI) stands at 79.09, suggesting that the stock is currently in the ‘overbought’ zone. This high RSI level indicates that the stock has experienced significant upward movement recently, potentially signalling that it may be overvalued in the short term.
NELCO Ltd
With a market capitalization of Rs. 2,895 crores, the shares of the technology company started Wednesday’s trading session on a lower note at Rs. 1,270 compared to its previous close of Rs. 1,279.30.
During the trading session, the shares hit a low of Rs. 1,250, losing around 1 percent and closed the day at Rs. 1,268 apiece.
Coming onto the company’s financial performance, the revenue decreased by around 9 percent from Rs. 81.61 crores during Q4FY24 to Rs. 74.08 crores in Q1FY25. On the other hand, the net profits declined by 25 percent from Rs. 6.10 crores to Rs. 4.56 crores during the same period.
The stock has delivered an exceptional return of 48 percent in just one month and has surged approximately 15 percent over the past two trading sessions.
On a daily timeframe, the company’s Relative Strength Index (RSI) stands at 77.79, suggesting that the stock is currently in the ‘overbought’ zone. This high RSI level indicates that the stock has experienced significant upward movement recently, potentially signalling that it may be overvalued in the short term.
Written By Vaibhav Patil
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