Bernstein cuts Trent share price target by 18%, highlights four factors that will aid recovery

Shares of Tata group-owned Trent Ltd

. will be in focus on Tuesday, December 2, after global brokerage firm Bernstein cut its price target on the stock.

Bernstein lowered its target to ₹5,000, though the revised estimate still implies about 19% upside from Monday's closing price. The brokerage has maintained its 'Outperform' rating.

Bernstein said Trent's revenue growth appears to have bottomed out and outlined the key drivers for a recovery.

It expects like-for-like growth in split stores to turn positive due to a favourable base, a strong 3-year 20% CAGR expansion in the Zudio network, an improving consumer demand environment, and steady momentum in Westside.

The brokerage flagged rising competition, especially new store additions and attempts to replicate Zudio's value-fashion appeal, as the main risk.

Bernstein expects 19% growth in FY26 and projects a 20% CAGR for FY26-FY28.

Of the 28 analysts that have coverage on Trent, 17 of them have a 'Buy' rating, five have a 'Hold' rating, and six others have a 'Sell' recommendation on the stock.

Trent shares ended Monday's session 0.76% lower at ₹4,218. The stock is down nearly 11% in the last one month and 40% on a year-to-date basis.