Buy Hindustan Unilever Ltd, target Rs 1,285: Motilal Oswal Securities

Motilal Oswal Securities has a buy call on Hindustan Unilever with a target price of Rs 1,285.

The current market price of Hindustan Unilever is Rs 1158.2.

Time period given by analyst is a quarter when Hindustan Unilever price can reach defined target.

Hindustan Unilever, incorporated in the year 1933, is a Large Cap company (having a market cap of Rs 250688.00 crore) operating in Personal Care sector.

A report from Motilal Oswal says, "HUL has all the levers in place to drive earnings revival, including good monsoon, benefits of low base of preceding years, return of price part of sales growth, lower promotion spends, continuing premiumization and various government schemes (DBT implementation, 24% incroreease in rural outlay in the budget, farm loan waiver in Uttar Pradesh, etc.). Consequently, we expect EPS CAGR of 18% over FY17-19, well above 3-year/5-year/10-year EPS CAGR of 6.1%/10.6%/10.1%. Return ratios and dividend yield are best-ofbreed. We maintain our target multiple of 45x FY19E June-19 EPS (5% premium to 3-year average), resulting in a target price of INR1,285. Maintain Buy. "

The company’s top management includes Dr.Sanjiv Misra, Mr.Aditya Narayan, Mr.Dev Bajpai, Mr.Harish Manwani, Mr.O P Bhatt, Mr.P B Balaji, Mr.Pradeep Banerjee, Mr.S Ramadorai, Mr.Sanjiv Mehta, Ms.Kalpana Morparia. Company has BSR & Co. LLP as its auditors. As on 31-03-2017, the company has a total of 2,164,349,639 shares outstanding.