July 4 (Reuters) - Shares of India's Trent fell more than 7% in morning trade on Friday, after the Tata-owned retailer's near-term growth forecast at its annual general meeting fell short of investor expectations.
Shares of Trent were the top percentage losers in the benchmark Nifty 50 index, which was largely flat on the day.
"During their commentary, the management mentioned the growth trajectory for Q1FY26, which seems to be underwhelming given the high expectations based on the past track record of growth," said Nuvama Institutional Equities.
Trent, which houses fashion labels such as Zudio and Westside, said that its standalone sales in the April-June quarter rose 20% year-on-year.
However, brokerage Nuvama noted that this is "sharply down" from the company's 35% annual growth rate between fiscal 2020 and 2025, and "even falls short of management's aspiration of 25% growth for the next few years."
Citing "underwhelming near-term growth," Nuvama downgraded the stock to a "hold" rating.
Reporting by Hritam Mukherjee in Bengaluru; Editing by Sherry Jacob-Phillips
Source: Reuters