Buy Godrej Consumer Products, target price Rs 1055: Sharekhan by BNP Paribas

Sharekhan by BNP Paribas has buy call on Godrej Consumer Products with a target price of Rs 1055. The current market price of Godrej Consumer Products is Rs 932.15.

Godrej Consumer Products, incorporated in the year 2000, is a Large Cap company (having a market cap of Rs 95826.55 Crore) operating in FMCG sector.

Godrej Consumer Products key Products/Revenue Segments include Home Care, Personal Care, Hair Care, Other Operating Revenue for the year ending 31-Mar-2022.


Financials
For the quarter ended 31-12-2022, the company has reported a Consolidated Total Income of Rs 3642.07 Crore, up 6.13 % from last quarter Total Income of Rs 3431.79 Crore and up 9.54 % from last year same quarter Total Income of Rs 3324.99 Crore. Company has reported net profit after tax of Rs 546.34 Crore in latest quarter.

The company’s top management includes Ms.Nisaba Godrej, Ms.Pippa Tubman Armerding, Ms.Ndidi Nwuneli, Mr.Omkar Goswami, Mr.Narendra Ambwani, Ms.Ireena Vittal, Ms.Tanya Dubash, Mr.Jamshyd N Godrej, Mr.Nadir Godrej, Mr.Pirojsha Godrej, Mr.Sudhir Sitapati, Mr.Sumeet Narang. Company has BSR & Co. LLP as its auditors. As on 31-12-2022, the company has a total of 102 Crore shares outstanding.

Investment Rationale
The brokerage has fine-tuned its earnings estimates forFY2023/24/25 to factor in better-than-expected operating margins in Q3FY23. Also, Indonesia business continues to witness sequential improvement in the performance which augurs well in the coming years.

Promoter/FII Holdings
Promoters held 63.21 per cent stake in the company as of 31-Dec-2022, while FIIs owned 24.04 per cent, DIIs 6.73 per cent.