Shares of Tata Consumer Products Ltd . can rise 17.5% as per brokerage firm HSBC's latest note on Thursday, December 4.

The brokerage has initiated coverage on the Tata Group stock with a "buy" rating and a price target of ₹1,340 per share.

HSBC sees a strong distribution expansion opportunity for the stock.

The brokerage said the company's growth portfolio can grow at a Compounded Annual Growth Rate (CAGR) of 26% over financial year 2025-2028. Its contribution to the topline is likely to rise to 37%.

Based on the company's aggressive expansion and acquisition plans, HSBC is valuing the company at 55 times its one-year forward estimated price-to-earnings.

Last month , the company told CNBC-TV18 that it expects its tea margin to reach 15% by year-end, supported by easing commodity

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