FMCG
JPMORGAN ON CONSUMER STAPLES : 22.02.2022
• Volume weakness and inflation challenges have reset the earnings
• Market share shifts remain favorable for larger players
• Cost inflation and rural demand remain key monitorables over next 3-6 months
• Preferred picks include Marico, Nestle, Godrej Consumer and United Breweries
• Britannia: Downgrade to Neutral from Overweight; Cut target price to Rs 3800 from Rs 4000
CS ON CONSUMER STAPLES - 13.01.2022
* High divergence in performance within the cons staples sector makes stock-picking critical, Credit Suisse says
* High Divergence In Performance Within Sector Makes Stock Picking Critical
* Continue With Godrej Cons, Dabur & Marico As Top Picks
• HUL's Growth & Margin May Improve As COVID Impact On Personal Care Categories Fades
CLSA ON CONSUMER STAPLES : 02.07.2021
* CLSA seeing sharp gross margin pressure on consumer staples in Q1 as cos have passed on 30-50% of inflation but adds that the easing of supply-strained commodity prices in H1 will be an apt setting to further drive market share & gross margin
* See Sharp Gross Margin Pressure In Q1 As Cos Have Passed On 30-50% Of Inflation
* Easing In Prices Of Supply-strained Commodities In H2 Is An Apt Setting To Drive Share
* HUL, In Our View, Is Well Placed To Capitalise From This Setting
* Marico Likely To Report Healthy Growth In Edible Oil, On A High Base
* On A High Volume Base, Britannia Effected Limited Price Action To Sustain Market Share
