Trent May Go to ₹20,000 If It Stays Above ₹3,000A Trader’s Perspective — English Part 3Fundamental Thinking Behind the ₹20,000 ScenarioA long-term price target should ideally be connected to the underlying business rather than being based entirely on a chart.If Trent were ever to move toward ₹20,000, investors would likely need to see continued expansion in the company's business and earnings over a long period.This does not mean that strong fundamentals automatically produce a higher share price. Valuation, expectations, interest rates, market liquidity, competition and investor sentiment can all influence the result.The important point is that a very large long-term price movement generally requires a combination of business growth and market confidence.
Trent May Go to ₹20,000 If It Stays Above ₹3,000 A Trader’s Perspective — English Part 3 Fundamental Thinking Behind the ₹20,000 Scenario A long-term price target should ideally be connected to the underlying business rather than being based entirely on a chart. If Trent were ever to move toward ₹20,000, investors would likely need to see continued expansion in the company's business and earnings over a long period. This does not mean that strong fundamentals automatically produce a higher share price. Valuation, expectations, interest rates, market liquidity, competition and investor sentiment can all influence the result. The important point is that a very large long-term price movement generally requires a combination of business growth and market confidence. The Power of Compounding One reason investors become interested in high-growth businesses is the potential effect of compounding. If a company reinvests part of its earnings successfully into expanding its busin...