Brokerages have shared mixed views on Marico, reflecting varying perspectives on its growth trajectory and profitability. Below is a summary of their ratings, target prices, and expected percentage upside/downside based on the current market price (CMP) of ₹660.00:
| Brokerage | Rating | Target Price (₹) | Expected % Upside/Downside |
|---|---|---|---|
| Macquarie | Outperform | 570 | -13.6% |
| Morgan Stanley | Equal Weight | 625 | -5.3% |
| CLSA | Underperform | 482 | -27.0% |
Key Insights from Brokerages
- Macquarie: Maintains an ‘Outperform’ rating with a target price of ₹570. The brokerage cites sequential improvement in domestic volume growth and mid-teens consolidated sales growth. EBITDA growth is in line at ~5%.
- Morgan Stanley: Retains an ‘Equal Weight’ rating with a target price of ₹625, citing sequential improvement in domestic volume growth. However, gross margins declined more than expected due to copra inflation.
- CLSA: Maintains an ‘Underperform’ rating with a target price of ₹482, reflecting concerns over modest operating profit growth (4.8%) and YoY margin contraction. The brokerage acknowledges mid-teens revenue growth, exceeding the 9% expectation, while retaining a cautious outlook.
Summary
While some brokerages highlight positive growth trends, others remain cautious due to margin pressures and cost inflation. Expected returns range from -5.3% (Morgan Stanley) to -27% (CLSA), with no brokerage projecting upside from the current market price.
Disclaimer: The above analysis is based on inputs provided and is for informational purposes only. It does not constitute financial advice. Readers are advised to consult their financial advisors before making any investment decisions.
