Politics
Weakened Congress wondering if early elections will help
The Congress party is debating holding a general election in November, six months ahead of schedule, senior party leaders said, reflecting an internal discussion over whether to pull the plug on the shaky ruling coalition or have it serve a full term. Full Article
REUTERS SHOWCASE
Buy, Sell or Hold?
Confused while buying stocks? Get buy, sell or hold recommendations from VantageTrade. Full Coverage
Reuters India Mobile
Get the latest news on the go. Visit Reuters India on your mobile device. Full Coverage
Starbucks' impact on Tata Global overstated: MStanley
Track Markets: BSE Sectoral Indices
Track and analyse performance of all BSE sectoral indices and other global indices on a single page. Full Coverage
A pedestrian walks past the new Starbucks logo on a store in Times Square in New York March 8, 2011.
Credit: Reuters/Lucas Jackson/Files
Reuters Market Eye - Shares in Tata Global Beverages (TAGL.NS) fall 2.9 percent after Morgan Stanley downgrades the stock to "underweight" from "equal weight".
Tata Global shares have nearly doubled this year, partly on hopes about its outlook as the joint venture partner of Starbucks(SBUX.O), which has opened three coffee shops in India this year.
However, Morgan Stanley says the contribution from the Starbucks JV will be limited and recommends booking profits on Tata Global.
"The business suffers from poor earnings visibility, weak brand/market positioning, a lack of pricing power, sluggish revenue growth and mediocre return ratios," Morgan Stanley says about Tata Global in a note dated on Monday.
Morgan Stanley also adds: "Structurally this is one of the weakest businesses in our coverage universe."
- Tweet this
- Link this
- Share this
- Digg this
- Reprints
Follow Reuters