Low-debt stock: Trent shares in recovery mode, analysts on key levels to watch 

Shares of Tata Group firm Trent Ltd are in in a short term recovery mode. The retail sector stock  has gained 7.61% in two weeks. However, the Tata Group multibagger, which was the top Nifty gainer in 2024, is down 23.22% this year. The stock has lost 35% from its 52 week high of Rs 8345.85 reached on October 14, 2024. The low debt stock has remained highly volatile in a year with a beta of 1.4. 

Trent stock gained 1.03% to Rs 5420 on BSE. Market cap of the firm rose to Rs 1.92 lakh crore in the current session.

Kunal Kamble, Sr. Technical Research Analyst at Bonanza Portfolio said, "Trent is currently trading at Rs 5,443.50, marking a 2.38% gain for the day. Price action remains below a long-term descending trendline resistance, which has capped rallies since September 2024. The stock has recently rebounded from the Rs 5,050–Rs 5,100 support zone and is now trading above the 20- day EMA (Rs 5,426) but still below the 200-day EMA (Rs 5,577). Sustained trade above the latter will be crucial for further bullish momentum. The stock is in a short-term recovery phase within a broader downtrend channel. A decisive breakout above Rs 5,600 with strong volumes could trigger a move towards Rs 6,000–Rs 6,150. However, failure to surpass Rs 5,600 may invite renewed selling pressure."

Jigar S Patel from Anand Rathi says, "Support will be at Rs 5200 and resistance at Rs 5600. A decisive move above the Rs 5600 level may trigger a further upside of Rs 5700. The expected trading range will be between Rs 5200 and Rs 5700 for the short-term."

The company reported a net profit of Rs 424.7 crorein Q1, marking an 8.5% increase from Rs 391.2 crore in the same period last year. Revenue rose by 19% to Rs 4,883 crore, compared to Rs 4,104 crore a year ago. 

Operating performance was notably strong, with EBITDA increasing 38% year-on-year to Rs 848 crore, defying projections. Margins expanded to 17.3% from 15%, surpassing the expected decline to 14.2%