FMCG major Tata Consumer Products gained 3% to Rs 1,123 on the BSE on Monday after reporting a 27.8% year-on-year (YoY) rise in consolidated net profit to Rs 427 crore for the April-June quarter of FY27, compared with Rs 334 crore in the year-ago period.

Revenue from operations rose 11.9% YoY to Rs 5,349 crore in Q1 FY27 from Rs 4,779 crore in the corresponding quarter of the previous financial year. Total expenses also increased 11% YoY to Rs 4,829 crore during the quarter.

Should you buy, sell or hold Tata Consumer shares?

Nomura, with a Buy rating and a target price of Rs 1,475 (36% upside), said Tata Consumer introduced calibrated price hikes of 1-2% in tea and 6% in salt in June, which should support both sales growth and margins. With tea inflation currently at around 7-10% and new crop procurement still in the early stages, management has indicated that further price hikes, likely towards the end of Q2, will be implemented to protect margins. Nomura expects early double-digit sales growth to continue in FY27F.

The brokerage marginally revised its FY27F-FY29F EPS estimates to factor in lower tea growth due to price cuts and forecasts a 16.5% EPS CAGR over FY26-FY29F. It values Tata Consumer using a DCF model and has raised its target price to Rs 1,475 from Rs 1,450, implying a target P/E multiple of 60x. Key risks include weaker growth in the company’s growth businesses and margin pressure.

Motilal Oswal, with a Buy call and a target price of Rs 1,500 (38% upside), expects Tata Consumer’s growth momentum to strengthen further, supported by improving go-to-market (GTM) execution, rising e-commerce penetration, premium product launches, and continued expansion of high-growth businesses such as Tata Sampann, RTD Beverages, Capital Foods, and Organic India. The brokerage expects operating margins to improve over the coming years, driven by portfolio premiumisation, innovation-led product expansion, and a rising contribution from higher-margin growth businesses and health and wellness categories.

JM Financial also assigned a Buy rating with a target price of Rs 1,225 (13% upside). It said Tata Consumer’s Q1 FY27 sales and EBITDA performance were in line with its expectations. Key positives included healthy acceleration in growth businesses, led by Tata Sampann, which grew 58%, NourishCo, and a strong 40% recovery in Capital Foods, along with better-than-expected gross margins supported by benign tea prices and improved international margins.
The brokerage expects sustained momentum in growth businesses, stable international operations, and a recovery in domestic volumes to support double-digit revenue growth. It expects price hikes, year-on-year moderation in coffee prices—which should benefit international margins—operating leverage, and cost-saving initiatives to drive EBITDA margin expansion, with the company reiterating its guidance for a 50-70 bps expansion in FY27.
Nuvama retained its Buy rating and target price of Rs 1,435 per share, saying the company’s Q1 results were broadly in line with expectations. The brokerage highlighted 14 new product launches during the quarter, which it said strengthened Tata Consumer’s innovation pipeline. However, revenue from the non-branded business declined 10% YoY in constant currency terms.
Read more: ITC, HUL among 10 FMCG stocks that have tumbled up to 31% in 2026. How many do you have?

Management commentary

“We delivered yet another quarter of double-digit topline growth, backed by volume growth,” Tata Consumer Products Managing Director and CEO Sunil D’Souza said. He said the India business recorded robust underlying volume growth, reflecting the company’s continued focus on execution, category expansion and innovation.

Also read: Tata Consumer Products to pass higher input costs to buyers

D’Souza added that the company’s “Growth” businesses performed strongly and increased their overall contribution to the India business. Tata Sampann continued to deliver exceptional growth, supported by strong performance across dry fruits, cold-pressed oils, core pulses and spices. The Ready-To-Drink business also had a strong quarter, with growth across its core brands as well as new launches, he said.

Tata Consumer share price

Over a longer period, however, Tata Consumer shares have gained 2% in a year, 28% in three years and more than 42% in five years. The company has a market capitalisation of over Rs 1.08 lakh crore.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

Shares of Bank of Baroda dipped 2% to Rs 242 on the BSE on Monday after the lender reported a 72% year-on-year (YoY) drop in net profit to Rs 1,278 crore for the first quarter of FY27, absorbing a one-off exceptional item of $600 million. Multiple brokerages downgraded their ratings and slashed target prices for the stock after the earnings print.

Bank of Baroda on Friday reported that its net interest income (NII) rose 9% YoY to Rs 12,524 crore during the April-June quarter of FY27, as against Rs 11,435 crore in the year-ago period. Operating income fell slightly to Rs 15,995 crore, while operating profit dropped 1% YoY to Rs 8,127 crore.

Total provisions and contingencies rose to Rs 6,323 crore, mainly due to the exceptional item. The bank’s global advances grew 17% YoY to Rs 14.16 lakh crore, while global deposits rose 14% YoY to Rs 16.33 lakh crore. Global net interest margin stood at 2.77% for Q1 FY27, compared with 2.91% a year earlier and 2.89% in Q4 FY26. Domestic NIM stood at 2.93%. Cost of deposits declined to 4.66%, down 12 basis points sequentially and 39 basis points year-on-year.

Bank of Baroda’s asset quality improved from a year earlier, though bad loan ratios rose sequentially. Gross NPA ratio stood at 1.99% in Q1 FY27, compared with 2.28% in Q1 FY26 and 1.89% in Q4 FY26. Net NPA ratio declined to 0.50% from 0.60% a year earlier, but was higher than 0.45% in the March quarter.

JM Financial on Bank of Baroda share price

JM Financial said Bank of Baroda reported a mixed Q1 earnings print, with a 72% plunge in profit due to an exceptional charge pertaining to the NMC Health litigation settlement. Excluding this, PAT would have grown 22% YoY, translating to an RoA of 1.1%, it noted.

Operating performance was further weighed down by weak core fee income, declining 22% YoY and missing the brokerage’s estimate by 36%, although sharply lower provisions, aided by release of standard asset provisions, supported profitability, JM Financial said. It added that advances growth came as the bank consciously ran down corporate exposures.
Sustaining RoA above 1% remains a key variable to monitor amid potential NIM pressure, continued reliance on recoveries and potentially higher credit costs following the upcoming ECL transition, the brokerage said. It cut its EPS estimates for FY27 by 5% and FY28 by 1% to factor in the NMC litigation charge, higher credit costs and moderation in fee income.
JM Financial maintained its ‘Add’ rating on the shares of Bank of Baroda, but reduced its target price to Rs 270 apiece from Rs 290. The latest target implies a 10% upside from the previous closing price of Rs 246.45 on NSE.
Also read | Bank of Baroda Q1 Results: Profit falls 72% to Rs 1,278 crore on one-off settlement hit

Motilal Oswal on Bank of Baroda share price

Motilal Oswal Financial Services said Bank of Baroda reported a muted quarter, with the one-off provision weighing on earnings. It noted that the bank expects NIMs to remain broadly in the 2.75% to 2.95% range, while cost of funds appears to have largely bottomed out, with incremental support expected from improving yields.

Business momentum was soft this quarter, with management maintaining credit growth guidance of 12% to 14% going ahead.

While there are no inherent concerns on asset quality, the brokerage expects credit costs to stay high at around 60 basis points in FY28, factoring in the ECL-related transition. It reduced earnings estimates by 18.9% for FY27 and 5.2% for FY28 due to the one-time settlement impact.

Motilal Oswal maintained its ‘Neutral’ rating but cut its target price to Rs 275, implying nearly 12% upside.

Other brokerages

Systematix Institutional Equities said that excluding the one-off item, core performance remained healthy. However, it reduced earnings estimates to factor in margin pressure and other financial factors. It cut the target price to Rs 290 from Rs 300, while maintaining a ‘Buy’ call.

Dolat Capital maintained its ‘Reduce’ rating and lowered the target price to Rs 250, implying just over 1% upside. It expects RoA to decline to 0.9% in FY28 due to lower margins and upcoming ECL provisions. Its loan growth estimate of 12% over FY27 and FY28 is also below overall banking system expectations.

Also read | NMC health settlement drags Bank of Baroda Q1 net profit down 72%

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

Shares in China’s biggest memory chip maker have surged by more than 470% as they made their debut on the Shanghai Stock Exchange’s tech-heavy STAR Market.

The surge has pushed CXMT’s stock market valuation to around 3.3 trillion yuan ($487.3bn; £364.9bn), making it the most valuable listed company in mainland China.

The spectacular debut comes despite a sharp selloff in technology stocks around the world this month.

CXMT manufactures dynamic random-access memory (Dram) chips that power artificial intelligence (AI) data centres, mobile phones, PCs, tablets and other devices.

The firm, which was founded in 2016 by Chairman Zhu Yiming, is headquartered in Hefei, Anhui Province in eastern China.

The company has said it plans to use most of the proceeds from the initial public offering (IPO) to boost production of memory chips and carry out more research and developments.

The strong performance of its IPO will offer some comfort to Chinese financial officials, who have been rolling out measures to help curb a stock market slump that wiped out more than $1.5tn in recent weeks.

South Korean tech giants Samsung Electronics and SK Hynix and US-based Micron dominate the Dram market, with the three companies accounting for around 90% of global production.

Earlier this month, SK Hynix raised $26.5bn (£19.8bn) in its New York share offering, marking the largest ever listing by a foreign firm in the US.

The company, a key supplier to AI chip giant Nvidia, said it had sold 177.9 million American depositary shares for $149 each.

The shares surged as much as 17% on Friday in their first day of trading on the Nasdaq but have since given up some of that gain.

SK Hynix saw its market value top $1tn in its home country in May, lifted by the boom in demand for AI chips.

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