CMP: 87

Tata Global Beverages Ltd. cultivates tea and coffee on its plantations. The Company manufactures, sells domestically and exports instant, blended and packet teas, and instant and ground coffee.

Tata Global Beverages is a decent bet in mid-cap space. Its currently trading at a P/E of little over 17 with good dividend yields of over 2% in the last 12 months. Minimal liabilities. Revenues have grown steadily from 1,070 Crores to 1,811 Crores in the last 5 years. Profits have fluctuated and dipped on dipping NPM over 5 years from 306 Crores to 180 Crores. NPM has dipped from 28% to 10% over 5 years. Q1 FY12 has come back strongly with NPM of over 30% and profits of 165 Crores. Considering recession lows of 45, current levels look good for both short term and long term gains.