Citi puts a ‘buy’ on Marico

Target: Rs 260, Current price: 203.75


Over the years, the stock has re-rated as its dependency on a single product (Parachute coconut oil) has declined, and the company positions itself as a branded health and wellness play. We expect the company to deliver superior earnings driven by healthy volumes and margin uptick. Profitability is supported by a relatively benign input cost environment & improving global margins.