NSEI:TATACONSUM

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Executive Summary

Tata Consumer Products Limited, together with its subsidiaries, produces and sells tea, coffee, and water in India, the United States, the United Kingdom, and internationally. More Details


Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.


Similar Companies

Share Price & News

How has Tata Consumer Products's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TATACONSUM is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: TATACONSUM's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

1.1%

TATACONSUM

2.3%

IN Food

1.3%

IN Market


1 Year Return

72.6%

TATACONSUM

23.9%

IN Food

7.6%

IN Market

Return vs Industry: TATACONSUM exceeded the Indian Food industry which returned 23.9% over the past year.

Return vs Market: TATACONSUM exceeded the Indian Market which returned 7.6% over the past year.


Shareholder returns

TATACONSUMIndustryMarket
7 Day1.1%2.3%1.3%
30 Day10.3%6.3%7.1%
90 Day-4.4%-0.7%9.2%
1 Year73.9%72.6%25.9%23.9%9.6%7.6%
3 Year93.3%88.0%38.8%34.2%4.5%-0.6%
5 Year302.0%279.2%155.1%141.9%51.0%39.7%

Long-Term Price Volatility Vs. Market

How volatile is Tata Consumer Products's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tata Consumer Products undervalued compared to its fair value and its price relative to the market?

70.97x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TATACONSUM (₹521.65) is trading above our estimate of fair value (₹139.47)

Significantly Below Fair Value: TATACONSUM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: TATACONSUM is poor value based on its PE Ratio (71x) compared to the IN Food industry average (13.5x).

PE vs Market: TATACONSUM is poor value based on its PE Ratio (71x) compared to the Indian market (16.9x).


Price to Earnings Growth Ratio

PEG Ratio: TATACONSUM is poor value based on its PEG Ratio (4.1x)


Price to Book Ratio

PB vs Industry: TATACONSUM is overvalued based on its PB Ratio (3.4x) compared to the IN Food industry average (1.1x).


Next Steps

Future Growth

How is Tata Consumer Products forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

17.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TATACONSUM's forecast earnings growth (17.5% per year) is above the savings rate (7.2%).

Earnings vs Market: TATACONSUM's earnings (17.5% per year) are forecast to grow slower than the Indian market (24.3% per year).

High Growth Earnings: TATACONSUM's earnings are forecast to grow, but not significantly.

Revenue vs Market: TATACONSUM's revenue (8.1% per year) is forecast to grow slower than the Indian market (11.4% per year).

High Growth Revenue: TATACONSUM's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TATACONSUM's Return on Equity is forecast to be low in 3 years time (8%).


Next Steps

Past Performance

How has Tata Consumer Products performed over the past 5 years?

22.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TATACONSUM has high quality earnings.

Growing Profit Margin: TATACONSUM's current net profit margins (6.5%) are higher than last year (5.8%).


Past Earnings Growth Analysis

Earnings Trend: TATACONSUM's earnings have grown significantly by 22.7% per year over the past 5 years.

Accelerating Growth: TATACONSUM's earnings growth over the past year (38.8%) exceeds its 5-year average (22.7% per year).

Earnings vs Industry: TATACONSUM earnings growth over the past year (38.8%) exceeded the Food industry 11.6%.


Return on Equity

High ROE: TATACONSUM's Return on Equity (4.5%) is considered low.


Next Steps

Financial Health

How is Tata Consumer Products's financial position?


Financial Position Analysis

Short Term Liabilities: TATACONSUM's short term assets (₹64.8B) exceed its short term liabilities (₹24.8B).

Long Term Liabilities: TATACONSUM's short term assets (₹64.8B) exceed its long term liabilities (₹17.0B).


Debt to Equity History and Analysis

Debt Level: TATACONSUM's debt to equity ratio (7.5%) is considered satisfactory.

Reducing Debt: TATACONSUM's debt to equity ratio has reduced from 20.5% to 7.5% over the past 5 years.

Debt Coverage: TATACONSUM's debt is well covered by operating cash flow (121.5%).

Interest Coverage: TATACONSUM's interest payments on its debt are well covered by EBIT (1939.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Tata Consumer Products's current dividend yield, its reliability and sustainability?

0.52%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: TATACONSUM's dividend (0.52%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.55%).

High Dividend: TATACONSUM's dividend (0.52%) is low compared to the top 25% of dividend payers in the Indian market (2.16%).


Stability and Growth of Payments

Stable Dividend: TATACONSUM's dividends per share have been stable in the past 10 years.

Growing Dividend: TATACONSUM's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36.7%), TATACONSUM's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TATACONSUM's dividends in 3 years are forecast to be well covered by earnings (39.6% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.5yrs

Average management tenure


CEO

Sunil D’souza (53 yo)

0.58

Tenure

Mr. Sunil A. D’souza has been Non-Executive Non-Independent Director at Tata Coffee Limited since May 05, 2020. He has been Managing Director, Chief Executive Officer and Director of Tata Consumer Products...


Leadership Team

NamePositionTenureCompensationOwnership
L. Kumar
Group CFO & Executive Director7.58yrs₹38.71m0.000020%
₹ 97.3k
Neelabja Chakrabarty
VP, Company Secretary & Compliance Officer2.25yrs₹9.23mno data
Sunil D’souza
MD, CEO & Director0.58yrno datano data
John Burdett
Global Operations Director3.83yrsno datano data
Ajit Kumar
Chief Operating Officer0.83yrno datano data
S. Roychaudhuri
Chief Information Officer and Director of Application Support & Development - Asia Regionsno data₹3.97mno data
Deepika Srivastava
Manager of Legal & Secretarialno datano datano data
Navaneel Kar
Head of Sales - Indiano datano datano data
Amit Chincholikar
Global Chief Human Resources Officer2.83yrsno datano data
Sachin Vyas
Head of Rural Business11.58yrs₹2.62mno data
John Mathai
Chief Internal Auditorno data₹4.89mno data
K. Ahmed
Head of Quality Management & GMno datano datano data

2.5yrs

Average Tenure

62.5yo

Average Age

Experienced Management: TATACONSUM's management team is considered experienced (2.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
L. Kumar
Group CFO & Executive Director7.58yrs₹38.71m0.000020%
₹ 97.3k
Sunil D’souza
MD, CEO & Director0.58yrno datano data
Sankaran Santhanakrishnan
Independent Director7.5yrs₹6.00m0.00016%
₹ 778.2k
Bharat Puri
Independent Director1.5yrs₹5.38mno data
Shikha Sharma
Independent Director1.5yrs₹5.35m0.0054%
₹ 26.4m
Natarajan Chandrasekaran
Chairman of the Board3.33yrs₹180.00k0.011%
₹ 52.8m
Siraj Chaudhry
Independent Non-Executive Director3.33yrs₹5.06mno data
P. Balaji
Additional Non-Executive Non-Independent Director0.25yrno datano data

2.4yrs

Average Tenure

59yo

Average Age

Experienced Board: TATACONSUM's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TATACONSUM insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 45.9%.


Top Shareholders

Company Information

Tata Consumer Products Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tata Consumer Products Limited
  • Ticker: TATACONSUM
  • Exchange: NSEI
  • Founded: 1962
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: ₹486.364b
  • Shares outstanding: 920.97m
  • Website: https://www.tataconsumer.com

Number of Employees


Location

  • Tata Consumer Products Limited
  • 11/13, Botawala Building
  • 1st Floor
  • Mumbai
  • Maharashtra
  • 400001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500800BSE (Mumbai Stock Exchange)YesEquity SharesININROct 1998
TATACONSUMNSEI (National Stock Exchange of India)YesEquity SharesININROct 1998
TTAZ.FOTCPK (Pink Sheets LLC)GDS EACH REPR 1 INR10(REG'S)USUSDMar 2000
TGBLLSE (London Stock Exchange)GDS EACH REPR 1 INR10(REG'S)GBUSDMar 2000
TTGLBBDL (Bourse de Luxembourg)GDS EACH REPR 1 INR10(REG'S)LUUSDMar 2000

Biography

Tata Consumer Products Limited, together with its subsidiaries, produces and sells tea, coffee, and water in India, the United States, the United Kingdom, and internationally. The company operates through ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/23 12:50
End of Day Share Price2020/11/23 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.