 "HUL extends rally; surges over 10% in one-week")
Shares of fast moving consumer goods (FMCG) company Hindustan Unilever (HUL) were trading higher by nearly 3% at Rs 837, extending its past four day’s gain on BSE, after Deutsche Bank upgraded the stock to buy with a target price of Rs 900 per share.
The S&P BSE Sensex has declined 1.6%, while S&P BSE FMCG index up 1.6% so far in the week.
The stock is currently trading at its historical high price and surging 11% in past one week from Rs 756 on January 2, 2015 on BSE. It recorded a sharpest weekly gain since July 13, when the stock rallied 14% in single week.
HUL is witnessing early signs of uptick in consumer demand across rural and urban India in the past 2/3 months,
Meanwhile, analyst at Motilal Oswal Securities expects HUL to post 6% volume growth and 12.3% revenue growth for the quarter ended December 2014. EBITDA and PAT to grow at 15.1% and 10.9% YoY, respectively, it added.
Benefits of lower raw material prices would reflect in the margins with a lag due to inventory and price covers. Operating margins are expected to expand 40bp to 17.4% led by operating leverage, analyst said in December 2014 results preview.
The S&P BSE Sensex has declined 1.6%, while S&P BSE FMCG index up 1.6% so far in the week.
The stock is currently trading at its historical high price and surging 11% in past one week from Rs 756 on January 2, 2015 on BSE. It recorded a sharpest weekly gain since July 13, when the stock rallied 14% in single week.
HUL is witnessing early signs of uptick in consumer demand across rural and urban India in the past 2/3 months,
Meanwhile, analyst at Motilal Oswal Securities expects HUL to post 6% volume growth and 12.3% revenue growth for the quarter ended December 2014. EBITDA and PAT to grow at 15.1% and 10.9% YoY, respectively, it added.
Benefits of lower raw material prices would reflect in the margins with a lag due to inventory and price covers. Operating margins are expected to expand 40bp to 17.4% led by operating leverage, analyst said in December 2014 results preview.