TCS, Tata Coffee: 5 Tata Group stocks that you can bet on for a good return

With in the Tata Group space, except for Indian Hotels, others like TCS, Tata Motors, Trent and Tata Coffee seem poised for a buoyant rally in the near term.

Tata Group has been in the news recently as it further consolidated its position in the airline space by announcing the merger of Air India with Singapore International Airlines (SIA)-operated Vistara. The latter aims to invest roughly Rs 2,059 crore in the merged entity, and shall hold 25.1 per cent stake in Air India. The merger is expected to be completed by March 2024 after regulatory approvals.


 

This was Tata Group’s second consolidation exercise in the sector after it initiated the merger of AirAsia India with Air India Express earlier this year.

The Air India group -- which comprises Air India, Vistara, Air India Express, and AirAsia India -- is the biggest operator on seven of the top 10 busiest routes in India. But it remains a distant number two, after IndiGo, in the overall domestic market. READ ABOUT IT HERE

Meanwhile, given the buzz that the Group has been created in the airline segment, here's a broader technical outlook on the select group stocks.
  

Tata Consultancy Services Ltd (TCS)

Likely target: Rs 3,800

Upside potential:  10%

TCS has broken out of the “Falling channel”, a bearish pattern, in early November, which so far has led the stock to run up gradually. The momentum appears to hold firm ground on every successful rise. This chart texture exhibits robust underlying strength, which in present scenario points to a rally towards Rs 3,800 mark, its major barrier since April this year. Support for the upward bias exists at Rs 3,250. CLICK HERE FOR THE CHART

Tata Motors Ltd (TATAMOTORS) 

Likely target: Rs 490

Upside potential:  10%

Shares of Tata Motors can easily ride to Rs 490, once they close over the breakout mark of Rs 445. The Ascending triangle breakout shall foster an optimistic rally that bulls usually opt to ride with an aggressive sentiment. Thus far, the supports at Rs 430 and Rs 420 continues to bolster the underlying strength. Additionally, one of the momentum oscillator - Moving Average Convergence Divergence (MACD) is unwaveringly holding the upward bias over the zero line, signalling positive up move to add more longs ahead. CLICK HERE FOR THE CHART

Tata Coffee Limited (TATACOFFEE)

Likely target: Rs 255

Upside potential: 8.50%

After gaining ground near the 200-day moving average (DMA), shares of Tata Coffee exhibited a positive reversal. However, this move seems to be now struggling to leap over Rs 235 mark. The 200-DMA stands at Rs 213.30 which serves as a medium-term support. A breakout above Rs 235 could spell a bullish rally to a new historic peak of Rs 255 level. CLICK HERE FOR THE CHART

Indian Hotels Co. Ltd (INDHOTEL) 

Outlook: Sideways trend, hurdle at Rs 340

Shares of Indian Hotels seems to be tussling to cross the hurdle of Rs 340 with assertive structure. Until this does not happen, the trend is likely weigh on the weaker side. Nevertheless, at present the downside looks to be limited, close to Rs 300-mark. First glance of bullishness would emerge when as and when the stock trades above Rs 330 level. CLICK HERE FOR THE CHART

Trent Ltd (TRENT)

Outlook: Underlying trend remains positive over Rs 1,350

As long as shares of Trent protect the cushion at Rs 1,350 mark, the trend is anticipated to rally upward, shows the weekly chart. Furthermore, a convincing close above Rs 1,535 should trigger fresh upside, that can potentially take-out its all-time high at Rs 1,566.  CLICK HERE FOR THE CHART