Dabur India Ltd. share price target

Dabur India’s (Dabur’s) Q4FY2024 numbers were ahead of our expectation mainly on account of higher-thanexpected OPM at 16.6%; Revenues grew by 5% y-o-y (domestic volume growth of 4.2%) and PAT grew by 16.6%
y-o-y (like-for-like by 22.7%).

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

Consistent performance across segments and markets with 7% YoY revenue growth despite delayed winter and macro headwinds

Strong growth across categories except beverages which declined 10% YoY in Q2 due to uneven rainfall in North India

With an upside potential of 20% from the CMP, we maintain our BUY rating on the stock.

Dabur reported decent volume-led (6% YoY incl. Badshah, 3% India organic volume growth) revenue growth of 7% YoY, driven by stable performance in Healthcare business led by Digestive, Ethicals & OTC (+5% YoY) and 6% YoY revenue growth in HPC led by 15% YoY growth in Home care.

The theme for Dabur's analyst meet was ‘portfolio enhancement’. It provided a strategy to redefine core for younger India (stronger scientific claims, new-age formats, aspirational packaging) while boosting the total addressable market (TAM) by expanding into adjacencies through power platforms.