Marico Ltd. share price target

Backed by 8% volume growth, Marico has posted consolidated sales of Rs17.5bn in 1QFY17. While revenue growth remained flat due to price cut in flagship brand Parachute, consolidated net profit grew 17.2% yoy to Rs2.7bn on the back of good volume growth and lower input cost. Envisaging Marico's volume growth momentum to sustain, we expect 16% CAGR in earnings through FY16-18E, at which the valuations look extremely stretched at 39.1x FY18E earnings. Hence, we revise our...

Improving macros, initiatives such as project ONE (Outlet Network Expansion) and better monsoon will benefit Marico. Nevertheless, CMP does not leave scope for an upside hereon. Maintain NEUTRAL with a TP of Rs 233 (33x 1-year forward EPS)

Volume growth was above our estimates led by Value Added Hair Oils and Saffola; value growth was lower than our/street estimates due to price cuts in Parachute Domestic business grew 4% yoy with growth led by VAHO/Saffola/Youth portfolio...

EBITDA in line, Sales/PAT below estimates; sales in line: MRCO's consolidated sales were up 6.5% YoY to INR13.0b (est. of INR13.3b), EBITDA grew by 26.4% to INR2.1b (est. of INR2.1b) and adjusted PAT grew by 19% to INR1.31b (est. of...

Marico's 4QFY16 results were largely in line with our estimates. Its consolidated revenues and EBITDA grew 6.5% yoy and 26.4% yoy to Rs13bn and Rs2.1bn, respectively in line with our expectations. Consolidated net profit grew 25.9% to Rs1.4bn, which was 3% ahead of our estimate. The Company's overall volume growth stood at 10.5% for the quarter. We expect Marico to report consolidated revenue and earnings CAGR of 11.8% and 13.6% through FY16-18E. We continue to maintain our HOLD recommendation on...

Marico Q3FY16 performance was impressive on all counts. Consolidated revenues comes in at Rs 15.6bn, up 7.2% yoy led by domestic volume growth in double digits at 10.5% yoy and...

Marico has improved its capability and foundation in the business and now looking at inorganic opportunities. The firm is expected to explore avenues in this regard over the next 18 months.

Revenue growth was above our/consensus estimates as growth in Saffola and valueadded hair oils surprised positively while Parachute rigids struggled Domestic volume growth of 10.5% was above estimates; however, price deflation of 3.5% in domestic business will affect value growth....