Tata Coffee gains post strong Q2 earnings: Buy, Sell or Hold? Check price target

Tata Coffee, NSE: TATACOFFEE, shares traded in green as investors were optimistic after the company released second quarter results. The company reported a 317.6 per cent surge in its consolidated net profit at Rs 142 crore for the quarter ended September 30. The company's profit stood at Rs 34 crore in the year-ago period. Sequentially, the Tata Group company's profit increased 215 per cent in the second quarter from Q1FY23.

The counter quoted a price of Rs 217, up by 0.67 per cent, on the NSE at 10 AM. On BSE, the scrip was trading at Rs 217 apiece.  

According to the update shared by the company, its revenue from operations witnessed a growth of 30.7 percent to Rs 718 crore during the quarter, compared to Rs 549 crore in the corresponding period last fiscal.

"The improved price realisations, as well as higher sales quantities of plantation products and superior product mix in the instant coffee business, especially in Vietnam operations, has aided the company's quarterly performance," the Bengaluru headquartered company said in a regulatory filing.

Zee Business panellist Kunal Saraogi said that Tata Coffee is a good buy for investment purpose. He said that the stock will outperform the markets and suggested to buy on dips. He said that the stock can yield more than 10 per cent return in short term.

Tata Coffee Share Price Target - Rs 250 

Tata Coffee stock is in a consolidation phase for the past 6 month, yielding a negative return of around 3 per cent to its investors. In the last 5 years, the counter has delivered a handsome return of around 40 per cent. Tata Coffee stock 52-week range is Rs 254.40 - 181.65. Currently, the company's market cap is around Rs 4028 crore, according to the NSE website.

Click Here For Latest Updates On Stock Market | Zee Business Live