Trent’s latest annual investor day and the 2024-25 annual report have once again thrust the Tata Group’s retail arm into the market’s spotlight, and for good reason. The management’s target of a 25% CAGR in revenue over the medium term sounds audacious, but it’s not without precedent. Since 2018-19, Trent has multiplied its revenue 6.5 times, a feat that would make even the most aggressive retail strategists pause.The Indian organised retail sector remains under-penetrated, and Trent’s leadership is betting that the runway is long and the wind is at its back. But with the stock trading at more than 100 times forward earnings, the question is can Trent’s execution keep up with its ambition, or is this again a case of valuation running ahead of reality?
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