Trent Q2 Revenue Growth Accelerates, Morgan Stanley Bullish

reported standalone revenue of Rs 5,788 crore in Q2 FY27, up 23% YoY, marking an acceleration from the 16–20% growth range seen over the previous five quarters. The stronger-than-expected growth, despite the festive-calendar shift, led Morgan Stanley to retain its Overweight rating and Rs 3,406 target price on the stock. Revenue from merchandise sales, excluding other operating income, also increased 23% YoY during the quarter. Trent’s performance was supported by continued expansion across its retail formats, with the company crossing the 1,000-store milestone for Zudio during Q2. As of September 30, Trent’s overall portfolio stood at 1,342 stores across Westside, Zudio and other lifestyle brands. During the quarter, Trent added 10 Westside stores and 17 Zudio stores on a net basis, while Zudio’s store count crossed 1,000. Morgan Stanley viewed the acceleration in revenue growth positively, although it continues to monitor margins as an important factor for the company’s earnings outlook. The brokerage’s retained Overweight stance reflects its positive view on Trent’s stronger growth momentum and ongoing retail expansion.