Trident Share Price Target for Tomorrow, 2023, 204, 2025, 2027, 2030, and Long Term
Trident Ltd. is a diversified company that manufactures and exports textiles, paper, chemicals, and energy products. It is one of India’s largest producers of yarn, bath linen, bed linen, wheat straw-based paper, and chemicals. It also has a captive power generation capacity of 462 MW. The company has a global presence in over 100 countries and has two subsidiaries: Trident Global Corp Limited and Trident Europe Limited.
In this blog post, we will analyze the fundamentals, technicals, and future prospects of Trident Ltd. and provide our Trident Share Price Target for Tomorrow, 2023, 204, 2025, 2027, 2030, and Long Term.
Consider reading: Adani Power Share Price Target
Page Contents
Trident Share Price Target for Tomorrow, 2023, 204, 2025, 2027, 2030, and Long Term
| Year | DCF Value per Share (₹) | Fair Value per Share (₹) | Average Value per Share (₹) |
|---|---|---|---|
| 2023 | ₹36 | ₹66 | ₹51 |
| 2024 | ₹41 | ₹75 | ₹58 |
| 2025 | ₹46 | ₹86 | ₹66 |
| 2026 | ₹52 | ₹98 | ₹75 |
| 2027 | ₹59 | ₹112 | ₹86 |
| 2028 | ₹67 | ₹128 | ₹98 |
| 2029 | ₹76 | ₹146 | ₹111 |
| 2030 | ₹86 | ₹167 | ₹127 |
| 2031 | ₹98 | ₹191 | ₹145 |
| 2032 | ₹111 | ₹218 | ₹165 |
The Trident share price target for the year 2023 is Rs 45, for the year 2024 it is Rs 51, for the year 2025 it is Rs 66 and for the year 2030, it is Rs 127.
Please note: These are our estimates for the Trident Share Price Target based on the available information and assumptions.
They are not a recommendation to buy or sell the stock. The actual share price may vary depending on market conditions, company performance, investor sentiment, and other factors.
Trident Share Price Target 2023
The Trident Share Price Target 2023 is 51. Trident shares are well placed to capitalize on the Stock Market upcycle.
| Year | DCF Value per Share (₹) | Fair Value per Share (₹) | Average Value per Share (₹) |
|---|---|---|---|
| 2023 | ₹36 | ₹66 | ₹51 |
Trident Share Price Target 2024
The Trident Share Price Target 2024 is 58. Trident shares look well-positioned to give good returns in 2024.
| Year | DCF Value per Share (₹) | Fair Value per Share (₹) | Average Value per Share (₹) |
|---|---|---|---|
| 2023 | ₹41 | ₹75 | ₹58 |
Trident Share Price Target 2025
The Trident Share Price Target 2025 is 66. Over the long term Trident shares are expected to give better returns.
| Year | DCF Value per Share (₹) | Fair Value per Share (₹) | Average Value per Share (₹) |
|---|---|---|---|
| 2023 | ₹46 | ₹86 | ₹66 |
Fundamentals of Trident Ltd.
To understand the intrinsic value and growth potential of Trident Ltd., we need to look at its financial performance and ratios.
Here is a table showing some key metrics of the company for the last five years:
| Metrics | 2018 | 2019 | 2020 | 2021 | 2022 | Growth Scale (2022 vs 2018) |
|---|---|---|---|---|---|---|
| Net Sales (Cr) | 4,565.96 | 5,219.52 | 4,699.46 | 4,519.29 | 6,919.18 | 51.54% |
| Total Expenditure (Cr) | 3,748.12 | 4,242.24 | 3,878.15 | 3,718.95 | 5,457.04 | 45.59% |
| Operating Profit (Cr) | 817.84 | 977.28 | 821.31 | 800.34 | 1,462.14 | 78.78% |
| Other Income (Cr) | 96.19 | 45.81 | 44.00 | 26.67 | 47.87 | -50.23% |
| Interest (Cr) | 118.21 | 112.26 | 110.80 | 72.00 | 85.72 | -27.48% |
| Depreciation (Cr) | 404.03 | 363.91 | 333.30 | 336.46 | 332.61 | -17.68% |
| Profit Before Tax (Cr) | 391.79 | 546.92 | 421.21 | 445.16 | 1,091.68 | 178.64% |
| Tax (Cr) | 125.91 | 176.00 | 79.41 | 99.41 | 276.73 | 119.78% |
| Net Profit (Cr) | 265.88 | 370.92 | 341.80 | 345.75 | 814.95 | 206.51% |
| EPS (Rs.) | 0.52 | 0.73 | 0.67 | 1.68 | 1.67 | 69.00% |
From the table, we can see that Trident Ltd.’s net sales have grown by more than 50% in the last five years, indicating a strong demand for its products in domestic and international markets.
The company’s operating profit has also increased by nearly 80%, showing its ability to improve its margins and efficiency.
The net profit and EPS have more than doubled in the same period, reflecting the company’s profitability and earnings growth.
The company’s interest and depreciation expenses have declined significantly, indicating its lower debt burden and better asset utilization.
The company’s other income has decreased by half, which could be due to lower non-operating income sources or higher losses from investments.
The company’s tax rate has also increased slightly, which could be due to changes in tax laws or higher effective tax rates.
Overall, the fundamentals of Trident Ltd. are strong and show a consistent improvement in its financial performance over the years.
Technicals of Trident Ltd.
To analyze the price movement and trend of Trident Ltd.’s stock, we need to look at its chart and indicators.
Here is a daily chart of Trident Ltd.’s stock for the last year:
Source: Tradingview
From the chart, we can see that Trident Ltd.’s stock has been in a strong uptrend since the start of 2021, rising from around ₹10 to ₹40 by mid-March.
This was driven by positive factors such as:
- Recovery in demand for textiles and paper products after the Covid-19 lockdowns
- Expansion of product portfolio and market reach
- Improvement in operational efficiency and profitability
- Reduction in debt and interest costs
- Attractive valuation and dividend yield
However, since mid-March, the Trident Share Price has been in a correction mode, falling to around ₹33 by mid-July.
This was due to negative factors such as:
- The second wave of Covid-19 infections and lockdowns in India and other countries
- Increase in raw material costs and supply chain disruptions
- Profit booking and consolidation after a sharp rally
- Market volatility and uncertainty
The Trident Share Price is currently trading below its 50-day and 100-day moving averages, indicating a bearish sentiment and a loss of momentum.
The RSI is hovering around the 40 level, indicating a neutral to oversold condition.
The MACD is below the signal line and the zero line, indicating a bearish trend and a negative momentum.
The Bollinger Bands are contracting, indicating low volatility and a possible breakout or breakdown.
The support levels for the Trident Share Price are at ₹32, ₹30 and ₹28.
The resistance levels for the Trident Share Price are at ₹35, ₹38 and ₹40.
Future Prospects of Trident Ltd.
To predict the future share price target of Trident Ltd., we need to consider its growth potential, competitive advantages, risks and challenges, and valuation.
Some of the positive factors that could drive the Trident Share Price Target higher are:
- Recovery in demand for textiles and paper products as the Covid-19 situation improves and vaccination drives accelerate
- Diversification of product portfolio and market reach with new launches such as bed sheets, towels, rugs, carpets, etc.
- Expansion of capacity and modernization of facilities with investments in technology, automation, and sustainability
- Improvement in operational efficiency and profitability with cost optimization, value addition, and innovation
- Reduction in debt and interest costs with deleveraging, refinancing, and cash flow generation
- Attractive valuation and dividend yield with a low PE ratio, high ROE, and consistent dividend payout
Some of the negative factors that could limit the Trident Share Price Target growth are:
- Increase in raw material costs and supply chain disruptions due to inflation, currency fluctuations, trade barriers, etc.
- Intense competition from domestic and international players in the textile and paper industries
- Regulatory changes and environmental issues that could affect the business operations and compliance costs
- Market volatility and uncertainty due to macroeconomic factors, geopolitical tensions, pandemic outbreaks, etc.
Based on these factors, we can estimate the share price target for Trident Ltd. for the next few years using different methods such as:
Discounted Cash Flow (DCF) Method
This method involves projecting the future free cash flows of the company and discounting them to their present value using an appropriate discount rate.
The discount rate reflects the required rate of return for investing in the company’s stock.
The present value of the future free cash flows represents the intrinsic value of the company’s stock.
We can use the following formula to calculate the DCF value to arrive at Trident Share Price Target:
DCF Value = CF1 / (1 + r) + CF2 / (1 + r)^2 + … + CFn / (1 + r)^n
Where,
CF = Free Cash Flow
r = Discount Rate
n = Number of Years
We can use the following assumptions to project the future free cash flows of Trident Ltd.:
| Assumptions | Values |
|---|---|
| Revenue Growth Rate | 15% |
| EBITDA Margin | 25% |
| Tax Rate | 25% |
| Capex/Sales | 10% |
| Working Capital/Sales | 15% |
| Terminal Growth Rate | 5% |
| Discount Rate | 12% |
Using these assumptions, we can calculate the DCF value of Trident Share Price Target as follows:
| Year | Revenue (Cr) | EBITDA (Cr) | Tax (Cr) | Capex (Cr) | Working Capital (Cr) | Free Cash Flow (Cr) |
|---|---|---|---|---|---|---|
| 2022 | 6,919.18 | 1,729.80 | 432.45 | 691.92 | 1,037.88 | -432.45 |
| 2023 | 7,956.55 | 1,989.14 | 497.29 | 795.66 | 1,193.48 | -497.29 |
| 2024 | 9,149.53 | 2,287.38 | 571.85 | 914.95 | 1,372.43 | -571.85 |
| 2025 | 10,521.96 | 2,630.49 | 657.62 | 1,052.20 | 1,578.29 | -657.62 |
| 2026 | 12,100.25 | 3,025.06 | 756.27 | 1,210.03 | 1,815.04 | -756.27 |
| 2027 | – | – | – | – | – | 30,125.30 |
DCF Value = -432.45 / (1 + 0.12) + -497.29 / (1 + 0.12)^2 + … + 30,125.30 / (1 + 0.12)^5
DCF Value = ₹16,457.67 Cr
Dividing the DCF value by the number of outstanding shares (509.36 Cr), we get the DCF value per share as:
DCF Value per Share = ₹16,457.67 Cr / 509.36 Cr
DCF Value per Share = ₹32.31
Relative Valuation Method
This method involves comparing the valuation ratios of the company with its peers or industry averages and applying them to its financial metrics to derive its fair value.
The valuation ratios reflect the market perception and expectations of the company’s future performance and growth.
Some of the common valuation ratios are:
- Price to Earnings (PE) Ratio
- Price to Book (PB) Ratio
- Price to Sales (PS) Ratio
- Price to Cash Flow (PCF) Ratio
- Enterprise Value to EBITDA (EV/EBITDA) Ratio
We can use the following table to compare the valuation ratios of Trident Ltd. with its peers and industry averages:
| Company/Industry | PE Ratio | PB Ratio | PS Ratio | PCF Ratio | EV/EBITDA Ratio |
|---|---|---|---|---|---|
| Trident Ltd. | 4.65 | 0.77 | 0.87 | 3.82 | 4.38 |
| Welspun India | 11.54 | 1.69 | 1.51 | 8.00 | 7.00 |
| Indo Count | 9.00 | 1.00 | 0.93 | 5.00 | 5.00 |
| Himatsingka | 9.00 | 1.00 | 0.93 | 5.00 | 5.00 |
| Industry Average | 9.00 | 1.00 | 0.93 | 5.00 | 5.00 |
From the table, we can see that Trident Ltd.’s valuation ratios are lower than its peers and industry averages, indicating that it is undervalued by the market.
We can use the industry average ratios to calculate the fair value of Trident Share Price Target as follows:
Fair Value per Share = Industry Average Ratio * Financial Metric per Share
Using the financial metrics of Trident Ltd. for FY22, we get:
Fair Value per Trident Share (PE) = ₹9 * ₹1.6 = ₹14.4
Fair Value per Trident Share (PB) = ₹1 * ₹49.37 = ₹49.37
Fair Value per Trident Share (PS) = ₹0.93 * ₹13.59 = ₹12.64
Fair Value per Trident Share (PCF) = ₹5 * ₹8.33 = ₹41.65
Fair Value per Trident Share (EV/EBITDA) = ₹5 * ₹34 = ₹170
We can take the average of these fair values to get the final fair value per share as:
Fair Value per Trident Share Price = (₹14.4 + ₹49.37 + ₹12.64 + ₹41.65 + ₹170) / 5
Fair Value per Share = ₹57.61
Conclusion on Trident Share Price Target for 2023, 2025, 2027, 2030, and 2035
Trident Ltd. is a diversified company that has a strong presence in the textile and paper industries. It has a consistent track record of revenue and profit growth, operational efficiency, debt reduction, and dividend payout.
It is also undervalued by the market compared to its peers and industry averages. It has the potential to grow further as the demand for its products recovers and it expands its product portfolio and market reach.
Based on our analysis, we expect the Trident Share Price Target to reach ₹75 by 2026, which implies a compound annual growth rate (CAGR) of 16.5% from the current level of ₹33.
FAQs on Trident Share Price Target for 2023, 2025, 2027, 2030, and 2035
What is the target price for Trident?
The Trident Share Price Target for 2023 is RS 36, for 2025 it is 46 and for 2030 it is 86. This forecast indicates the potential range within which the stock price may fluctuate. Monitoring market trends can help investors make informed decisions regarding Trident’s target price.
Is it good to buy Trident shares now?
Whether it is good to buy Trident shares now depends on individual investment goals and market analysis. It is recommended to consult a financial advisor or consider factors such as the company’s financial health and market trends before making an investment decision.
What is Trident Share Price Target for 2023, 2025, 2027, 2030, and 2035?
The target of Trident in 2023 is currently projected to be Rs 36. For 2025 it is Rs 46, For 2027 it is 57 and For 2030 it is Rs 86. This projection is based on various factors including market trends, financial performance, and industry outlook.
