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Nomura Keeps Buy On Marico With Rs1,000 Target On Strong Q2 Growth
M
Moneycontrol•06-10-2026, 12:12
Nomura Keeps Buy On Marico With Rs1,000 Target On Strong Q2 Growth
- •Nomura retained its Buy rating on Marico with a target price of Rs1,000 following a strong 2QFY27E business update.
- •Consolidated revenue is expected to grow in double-digits year-on-year, driven by robust India volume growth of 11%.
- •Parachute Coconut Oil and value-added hair oil are expected to post strong volume performance and momentum.
- •International business delivered teens constant-currency sales growth, with strong performances in the Middle East, South Africa, and Vietnam.
- •Nomura expects Marico to surpass its near-term guidance given the ongoing strong demand environment.
Key Questions Answered
Nomura retained its 'Buy' rating on Marico with a target price of Rs1,000 following a 2QFY27E update that indicated better-than-expected sales and volume growth.
Nomura estimates consolidated revenue growth at 13%, with double-digit year-on-year growth expected overall. India volumes are projected to grow by 11%, outperforming earlier estimates due to stronger-than-expected growth in Parachute Coconut Oil.
Copra prices remain approximately 35% below their peak, which, alongside product mix improvement, is expected to support a strong year-on-year expansion in gross margins.
