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This Tata group stock's 40% fall makes it the worst Nifty 50 performer of 2025: Is a turnaround likely this year?

Trent, part of the Tata group of companies and the flagship Nifty 50 index, has seen a massive meltdown in the year 2025, with its stock emerging as the worst-performing constituent. Shedding 40% in the last one year, Trent — the company behind fashion retail outlets like Westside and Zudio — has sharply underperformed the Nifty 50 index, which rose 10.5% in 2025. This is the first annual fall recorded by the company after a gap of 11 years.

This Tata group stock's 40% fall makes it the worst Nifty 50 performer of 2025: Is a turnaround likely this year?

Credit: Livemint

Key Highlights

  • Thus, this Tata group stock remains a multibagger for its long-term investors, offering 552% returns in the last five years and posing a pertinent question: Should you consider dumping the stock or staying put?
  • But before that, one must understand the reason for the slowdown in this high-flying stock.
  • Trent’s sharp underperformance in 2025 was largely driven by a valuation reset, as its premium, near triple-digit P/E, became difficult to sustain amid moderating growth, opined analysts.
  • Vinit Bolinjkar, Head of Research, Ventura, said that growth pains emerged post-FY25: Revenue per sq ft resilient at ₹15,000+ but topline cooled amid densification and economic slowdown.
  • "Margins squeezed by competition (Reliance Retail, Aditya Birla) and input costs, while capex for 100+ stores yearly strains cash flows despite OCF rise to ₹1,120 crore," the Ventura analyst added.
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Sources

  1. This Tata group stock's 40% fall makes it the worst Nifty 50 performer of 2025: Is a turnaround likely this year?

This quick summary is automatically generated using AI based on reports from multiple news sources. The content has not been reviewed or verified by humans. For complete details, accuracy, and context, please refer to the original published articles.

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