Sharekhan has given Buy recommendation for Hindustan Unilever with a target price of Rs. 2456 in its research report issued on Apr 01, 2022

Sharekhan’s research report on Hindustan Unilever

The stock has corrected by 27% from recent highs, owing to multiple headwinds. A sustained rural slowdown and high inflation led to downtrading in highly penetrated categories and cut in consumption of premium category products has hit sales volumes. Inflated input prices (including those of palm oil, packaging material, and caustic soda) will put pressure on margins; price hike undertaken is insufficient to fully mitigate input cost pressure. Leadership position in 80% of portfolio, strong set of brands (from mass to premium) and a wide distribution reach will help HUL to quickly recover in a stable demand environment.

Outlook

We reiterate a Buy recommendation on Hindustan Unilever Limited (HUL) with a revised price target of Rs. 2,456.

More Info

At 11:07 hrs Hindustan Unilever was quoting at Rs 2,110.10, up Rs 29.70, or 1.43 percent.

It has touched an intraday high of Rs 2,111.10 and an intraday low of Rs 2,070.00.

It was trading with volumes of 75,921 shares, compared to its thirty day average of 114,624 shares, a decrease of -33.77 percent.

In the previous trading session, the share closed up 1.54 percent or Rs 31.55 at Rs 2,080.40.

The share touched its 52-week high Rs 2,859.10 and 52-week low Rs 1,901.80 on 21 September, 2021 and 08 March, 2022, respectively.

Currently, it is trading 26.2 percent below its 52-week high and 10.95 percent above its 52-week low.

Market capitalisation stands at Rs 495,787.25 crore.

Leave a Reply

Your email address will not be published.