Shares of Trent fell after Q4 results. What are Goldman Sachs, Morgan Stanley, other top brokerages saying?

Shares of lifestyle retailer Trent fell over one percent on the BSE on Thursday after reporting a 26% growth in its consolidated net profit for the quarter ended March 31, 2026. 4,381 as compared to Rs. 318 crore as against Rs. 400 crores.

Revenue from operations in Q4 was Rs. 5,028 crore, as compared to Rs. 4,216 crore is 19% higher than Rs.

The company’s operating earnings before interest, tax, depreciation and amortization (EBITDA) rose 44% to Rs. 653 crores. EBITDA for FY26 grew by 25% to Rs. 2,702 crores. EBITDA margin expanded to 18.4% against expectations of 16.8%.

Trent Share Price: Should You Buy, Sell or Hold?

Goldman Sachs has maintained a neutral rating on Trent, while its target price in line with the current market price is Rs. 4,150 to Rs. 4,330 has been done. The brokerage posted a strong margin beat in Q4, driven by an expansion in gross margins. However, it noted that consumer demand is beginning to show signs of moderation amid ongoing macroeconomic uncertainty. It also flags emerging risks from input cost inflation. Despite the strong quarterly performance, estimates have been revised up only marginally. The stock is currently valued at around 62x estimated FY28 earnings.

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Morgan Stanley on Trent at Rs. Overweight rating maintained with target price of 4,835 (9% upside). The brokerage highlighted a strong margin beat, with both EBITDA and EBIT coming in ahead of estimates. Like-for-like growth improved to the low single-digit range, while store expansion remained strong, particularly in Tier 2 and Tier 3 markets. It noted that consumer demand remains stable, although macroeconomic uncertainty persists. The planned fundraising is expected to support future expansion and supply chain investments.

Motilal Oswal has maintained a buy rating on Trent and raised its target price to Rs. 5,250, indicating an increase of about 18%. Analysts said the channel probe suggests that the impact of cannibalisation is now beginning to ease. It also highlights that recent store additions under Zudio have largely focused on entering new markets, which may start with lower productivity but are unlikely to impact sales in existing stores much. Despite relatively soft growth, Trent maintained strong cost discipline supporting healthy profitability in FY26. Going forward, the brokerage believes margin expansion will largely depend on recovery in like-for-like growth.

Ilara Capital raised Rs. Accumulate Rating maintained at Trend with a target price of 4,800. The brokerage showed strong revenue growth, supported by continued store expansion, while like-for-like growth improved to the low single-digit range. Margins were supported by operating leverage despite ongoing inflationary pressures. It also noted that expansion into Tier 2 and Tier 3 markets offers better growth visibility. Valuation is based on a sum-of-the-parts approach using the EV/EBITDA and EV/Sales metrics.

HDFC Securities downgraded shares of Trent to Rs. 4,500 has been done. The brokerage highlighted strong revenue growth of around 20% YoY, driven largely by store additions, though like-for-like growth remained subdued. Margins exceeded expectations with expansion in both gross margin and EBIT. However, consumer sentiment remains cautious amid ongoing geopolitical and macroeconomic uncertainties. Limited upside has led to a downgrade after a recent sharp rally. The stock is valued at around 57x FY28 estimated standalone earnings.

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