FMCG Stocks Outlook for the week – 01 to 05.02.2016
Range-bound
due to lack of fresh triggers
( www.rupeedesk.in )
Stocks
of fast-moving consumer goods companies are seen trading in a range next
week
due to lack of fresh triggers as most consumer companies have already
announced
their results. Most consumer goods stocks have already reacted to their
Oct-Dec
results in the week and, hence, are likely to trade in a range. Marico Ltd will
announce
its results on Saturday and is expected to post an 18% on-year rise in the
consolidated
net profit to 1.9 bln rupees, while net sales are seen rising 10% on year
to
16.0 bln rupees.
The
volume growth of consumer companies in Oct-Dec was subdued and rural
demand
has not contributed to their performance. During the week, Dabur India Ltd
announced
its Oct-Dec earnings and reported a 12.6% on-year rise in its consolidated
net
profit to 3.18 bln rupees, however, the company reported a 2.5% on-year decline
in
volumes.
Colgate
Palmolive India Ltd also reported a 22% on-year rise in the standalone net
profit
to 1.6 bln rupees in Oct-Dec. The toothpaste maker reported a 1% volume
growth
in the Oct-Dec quarter which is the lowest in 10 years. Godrej Consumer
Products
Ltd announced its earnings on Wednesday and reported a 22.5% rise in its
net profit in the Oct-Dec quarter to 3.2 bln rupees