Superior Growth Trajectory to Sustain Rich Multiples; Upgrade to BUY Hindustan Unilever (HUL) has reported a strong set of numbers in 1QFY18 as its net sales grew by 5.2% YoY to Rs84bn, while EBITDA and PAT (before exceptional item) surged by 14.1% YoY and 14.6% YoY, respectively. Despite flat volume growth due to overhang on account of GST rollout, revenue growth was higher due to effect of pricing action in the previous quarters. Continued focus on premiumization, strong new product funnel, consistent focus on cost rationalisation and higher share of organised players post GST would drive accelerated growth for HUL in coming years. We expect HUL to post revenue and earnings CAGR of 12.2% and...