Tata Consumer Products Stock Surges 7% to Record High on Strong Revenue Outlook

Tata Consumer Products Hits All-Time High After Strong Q1 Earnings

Tata Consumer Products shares surged nearly 7 percent to hit an all-time high of Rs 1,253.60 per share on the National Stock Exchange (NSE) on Monday, driven by the company's robust March quarter earnings and positive brokerages outlook.

The stock emerged as the top gainer among the Nifty 50 constituents and also led gains on the Nifty FMCG index, which was trading 0.9 percent higher. The strong performance of the company's shares was fueled by the positive sentiment among brokerages, who cited volume-led growth, improving distribution, and expansion into emerging channels such as e-commerce and quick commerce.

Brokerages such as CLSA, BoB Capital, and Systematix expressed optimism about the company's growth trajectory, citing key drivers such as a stronger go-to-market strategy, faster growth in emerging channels, and continued product innovation. According to CLSA, the company's growth is expected to continue, supported by a stronger go-to-market strategy and faster growth in emerging channels, which now contribute 34 percent of India revenue.

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BoB Capital remained constructive on Tata Consumer Products' medium-term outlook, expecting the company to deliver compound annual growth of around 10 percent in sales, 14 percent in EBITDA, and 18 percent in earnings during FY26-29.

Systematix noted that Tata Consumer Products delivered a broad-based beat in the March quarter, led by strong volume growth across India beverages and foods. The company's management has guided for further margin expansion aided by easing tea costs and improving portfolio mix.

Nirmal Bang Institutional Equities continued to remain positive on the company's long-term structural growth opportunity, driven by scale-up in growth businesses, wider distribution reach, premiumisation, and innovation across categories. However, the brokerage downgraded the stock to "hold" from "buy", citing valuations that may limit upside from current levels.

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Tata Consumer Products on Friday reported a 21.6 percent rise in consolidated net profit to Rs 424.02 crore for the March quarter of FY26, helped by volume growth. The company had posted a consolidated net profit of Rs 348.72 crore in the corresponding quarter of the previous fiscal. Revenue from operations rose 18 percent to Rs 5,433.62 crore in the January-March period of FY26 from Rs 4,608.22 crore a year ago.

This is the tenth consecutive quarter when Tata Consumer Products has delivered a double-digit top-line growth. Group Chief Financial Officer Ashish Goenka attributed the growth to a strong volume-based growth, with India recording a 16 percent underlying volume growth.