Buy

Despite GST-led disruption, Bajaj Consumer delivered one of its best-in-class performances in Q2FY26, driven by disciplined execution in ADHO (double-digit value growth) and strong traction in emerging categories/ brands (coconut hair oil and Banjara’s portfolio).

Emami’s consolidated revenue declined 10% in 2QFY26 (inline), impacted by GST 2.0-led temporary trade disruptions in Sep’25 and extended monsoon affecting the summer portfolio.

HUL's performance during the quarter was stable due to strong execution abilities, *over or under performance to benchmark index GST adjustments and a moderate seasonal environment. GST cuts are expected to support consumption recovery and improve channel momentum during the festive period. HUL's strategic focus on premiumisation, science-led innovation and digital acceleration continues to reinforce brand leadership across key categories. By expanding its e-commerce presence and by using data-led marketing and supply chain digitisation, the company has enhanced execution agility and consumer reach....

Colgate's revenue fell during the quarter due to temporary distribution disruptions following the revision in GST rates on oral care portfolio. However, its business fundamentals remained strong with continued brand investments and steady demand in premium segments. The company's strategic focus on innovation, product diversification and rural penetration is expected to aid recovery in the second half of FY26. Ongoing cost optimization under the funding the growth' program, coupled with innovation-led launches in oral and personal care should...

Godrej Consumer’s (GCPL) consolidated revenue rose 4% YoY to INR38.3b (est. INR39.3b), while volume growth stood at 3%. EBITDA declined 4% YoY (est. -5%) due to soft margins for the Indian and Indonesian operations.

With an upside potential of 18% from the CMP, we maintain our BUY rating on the stock

Broadly as estimated amid the GST rate-cut transition and a prolonged monsoon, HUL’s Q2FY26 performance was weak. Revenue inched up ~1% y/y to Rs155bn (vs. the Street’s Rs158bn estimate) with flat volumes and a 22.9% EBITDA margin (vs. 22.2%).

With an upside of 12% from the CMP, we maintain our BUY rating on the stock

Colgate’s (CLGT) 2QFY26 performance remained weak as its revenue fell 6% YoY to INR15.2b (in line) on a high base of 10% growth and due to the impact of GST-led transition (trade disruptions).

With the GST cut boosting soaps and men’s grooming range (~35% of its domestic range) and innovations (Godrej Fab, Godrej Ninja) scaling up well, Godrej Consumer Products is an attractive play on consumption recovery.

In our first meeting with Naveen, we didn't discuss his views on hair oil category. In our opinion, Naveen is a result-oriented professional with a track record of building institutional businesses by turning around and accelerating P&L (growth) and launching categories aided by his techno-commercial experience coupled with on-ground execution.

Maintain BUY ratings on with a revised TP at Rs 2,780.

Upgrade Dabur from HOLD to BUY with a revised TP at Rs. 630/share.

Emami's performance in 1Q FY26 was impacted by external factors like
unseasonal weather which particularly affected its summer-focused portfolio.
Despite these challenges, the company's core domestic business, excluding
talc, demonstrated resilience with a 6% y-o-y revenue growth.

Godrej Consumer (GCPL)’s FY25 strategy focused on expanding the existing categories by innovating products across various sizes and price points while broadening distribution to enhance consumer reach, streamlining operations through radical simplification by reducing SKUs, personnel, and processes.

*over or under performance to benchmark index cant market share gains across portfolio. Growth of the personal care segment was flat, with 1.0% YoY increase, mainly due...

JLL delivered a modest Q1FY26 performance amid a challenging demand environ- Gross margin contracted 280bps YoY to 48.5%, due to input cost pressures and heightened competition in the Dish wash segment. EBITDA margin stood at 16.5%,...

Dabur’s consolidated revenues grew 1.7% y-o-y to Rs. 3,405 crore hit by unseasonal rains during peak summer months which impacted the performance of summer-centric portfolio.

We hosted Vishal Kedia, who heads Global Strategy at GCPL, at our recent conference Emkay Confluence 2025 with a group of investors, to gauge the company’s strategy ahead and assess its recent performance.