Why Brokerages think Marico is the Best Play in FMCG

  • Investing.com
Why Brokerages think Marico is the Best Play in FMCG
Credit: © Reuters.

By Aditya Raghunath

Investing.com -- The general consensus in the market is that pandemic or no, FMCG is here to grow. There is a lot of growth left in India in terms of consumption.

Brokerages are bullish on Marico Ltd (NS: MRCO ), the makers of Parachute. Motilal Oswal Financial Services Ltd (NS: MOFS ) has given it a price target of Rs 470. That’s an upside of 11% from current levels.

Religare Broking has given Marico a price target of Rs 450 while Sharekhan has given it a target of Rs 477.

Yield Maximisers Founder Yogesh Mehta, told Economic Times in an interview that he believes Marico is a strong bet for the future. The company is seeing double-digit domestic growth after a long time and it has a long way to go. Mehta added that there is a lot of headroom for growth for Marico.

According to Motilal Oswal, Parachute has performed better than expected while Saffola edible oil has continued to deliver double-digit growth as did Value Added Hair Oils. Its international business also saw rapid growth with Bangladesh also growing in double digits.

Marico reported sales of Rs 1,989 crore for the quarter ended September 30, 2020. This was 8.75% from the corresponding quarter in 2019 when it recorded sales of Rs 1,829 crore. Marico reported a profit of Rs 273 crore for the September quarter.

Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

Error: File type not supported

Drop an image here or

100
  • Bullish Dude @Bullish Dude
    Dabur is a better buy than marico.
    Like 1
    • Raghav Malhotra @Raghav Malhotra
      @Bullish Dude @Bullish Dude no chance..dabur not even knows to make its flagship products: honey, they add Chinese syrup, what else can you expect from them
      Like 1
    • Venkatesh Iyer @Venkatesh Iyer
      You are 100% right
      Like 0
    • Venkatesh Iyer @Venkatesh Iyer
      @Raghav Malhotra You are 100% right
      Like 0
    • Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

      Error: File type not supported

      Drop an image here or

      100
  • Devulapally Sridhar @Devulapally Sridhar
    I will keep on holding it.
    Like 1

Related Articles