Trident was listed on the NSE on February 21, 2001. In the last five years, its stock has given a massive return of more than 450%. Will Trident continue to provide such great returns in the future as well? Let’s explore Trident’s growth potential and Trident share price target from 2025 to 2050 in this article.
About Trident
Trident Limited is an Indian company that was established in 1990. It is a leading manufacturer of textiles, paper, and chemicals. Trident is well known for producing high-quality bed and bath linen, including towels and bedsheets, which are exported to many countries. The company also makes writing and printing paper, along with other products. Over the years, Trident has expanded its business and built a strong presence in both the Indian and global markets.
Trident Business Model
- Textile Manufacturing: Trident makes money by producing and selling textiles like bed sheets, towels, and fabrics. It supplies these products to retailers, hotels, and export markets.
- Paper Production: Trident manufactures paper products, including writing and printing paper. It sells them to businesses, schools, and publishers.
- Yarn Sales: Trident produces yarn, which is used in textile manufacturing. It earns revenue by selling yarn to other textile companies.
- Export Business: Trident exports its textile and paper products to different countries, generating income from international markets.
- Retail and E-commerce: Trident sells its products directly to customers through its own retail stores and online platforms, increasing its earnings.
- Contract Manufacturing: Trident manufactures textiles for other brands and businesses under contract, earning money from these partnerships.
Trident Fundamental Analysis
| Stock Name | Trident Ltd. |
|---|---|
| NSE Symbol | TRIDENT |
| Market Cap | ₹ 12679 Cr. |
| 52W High | ₹ 42.0 |
| 52W Low | ₹ 24.5 |
| Stock P/E | 43.2 |
| Book Value | ₹ 8.41 |
| Dividend Yield | 1.43 % |
| ROCE | 10.4 % |
| ROE | 8.16 |
| Face Value | ₹ 1.00 |
| Shareholders | March 2023 | March 2024 | Dec 2024 |
|---|---|---|---|
| Promoters | 73.19% | 73.19% | 73.19% |
| FIIs | 2.43% | 2.65% | 2.83% |
| DIIs | 0.04% | 0.05% | 0.09% |
| Government | 0.00% | 0.00% | 0.00% |
| Public | 23.09% | 22.85% | 22.82% |
| Others | 1.25% | 1.25% | 1.06% |
| No. of Shareholders | 19,15,809 | 21,18,064 | 21,41,410 |
Key Factors Driving Trident Future Growth
- Strong Textile Business: Trident earns a major part of its revenue from textiles, including towels, bedsheets, and yarn. As demand for home textiles grows, Trident has a big opportunity to expand.
- Growing Paper Segment: Trident makes eco-friendly paper using wheat straw. With rising demand for sustainable products, this business can contribute to future growth.
- Export Market Expansion: Trident exports its products to many countries. Expanding into new international markets can increase sales and revenue.
- Brand Recognition: Trident is a well-known brand in the home textile market. Strong branding helps attract more customers and increase sales.
- New Product Innovations: Trident is focusing on developing new products in textiles and paper, which can help it stay ahead of competitors.
- Strong Distribution Network: Trident has a vast distribution network in India and abroad. Expanding this network can lead to higher sales.
- Government Support: The Indian government promotes the textile industry through various schemes. Trident can benefit from these policies and subsidies.
- Sustainability Focus: Trident focuses on eco-friendly production methods, which attract environmentally conscious customers and investors.
- Retail and E-Commerce Growth: Trident is increasing its presence in retail stores and online platforms. As more people shop online, this strategy can boost growth.
- Cost Management: Trident works on reducing costs through better efficiency and automation. Lower costs mean higher profits in the long run.
- Increasing Domestic Demand: India’s growing middle class is spending more on home textiles, which can drive Trident’s sales in the coming years.
- Strategic Partnerships: Trident collaborates with global brands and retailers, helping it expand its reach and boost revenue.
- Capacity Expansion: Trident is investing in increasing its production capacity, allowing it to meet higher demand in the future.
- Technology Adoption: Trident is using advanced machinery and automation to improve efficiency and product quality, which helps in staying competitive.
- Strong Financial Performance: Trident has shown consistent financial growth, which builds investor confidence and provides capital for expansion.
Pros of Trident
- Low Debt Levels: With a low debt-to-equity ratio of 0.38, Trident has a minimum dependency on debt, reducing financial risk and interest expenses.
- High Promoter Holding: Trident has a strong promoter holding of 73.2%, indicating the promoters’ high confidence in the company’s future growth and stability.
- Increase in Institutional Confidence: DIIs have increased their holding to 0.09% in December 2024 from 0.07% in September 2024 while FIIs have increased their holding to 2.83% in December 2024 from 2.73% in September 2024, indicating a strong institutional confidence in the company’s future growth prospects.
Cons of Trident
- Decreasing Profits – Trident profits are decreasing at a CAGR of 1%. over the last five Years.
- Overvaluation Concern: Trident is trading at a PE ratio of 43.5, which is relatively higher than the industry average of 20.4 , which indicates that the stock may be overvalued compared to its peers.
| Years | Target Price |
|---|---|
| Trident Share Price Target 2025 | ₹32 to ₹40 |
| Trident Share Price Target 2026 | ₹40 to ₹50 |
| Trident Share Price Target 2027 | ₹50 to ₹70 |
| Trident Share Price Target 2028 | ₹70 to ₹90 |
| Trident Share Price Target 2029 | ₹80 to ₹110 |
| Trident Share Price Target 2030 | ₹100 to ₹150 |
| Trident Share Price Target 2035 | ₹190 to ₹440 |
| Trident Share Price Target 2040 | ₹390 to ₹1300 |
| Trident Share Price Target 2050 | ₹160 to ₹7800 |
Conclusion
Trident has grown significantly over the years, delivering strong returns to investors. Trident’s balanced business in textiles, paper, and exports provides numerous growth opportunities, including expanding its global presence, expanding its retail and e-commerce reach, and benefiting from government support for the textile sector. However, concerns such as declining profits and high valuations must be considered. If Trident continues to arrange innovation, cost efficiency, and capacity expansion, it has the potential to sustain long-term growth and generate value for investors in the future. For the latest updates, you can visit TRIDENT official website.
Disclaimer
This article is for educational purposes only. It is not a stock recommendation and should not be treated as such. Please ask your financial advisor before making any investment decision.
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