CLSA has maintained a hold rating on Dabur with a target price of ₹582, suggesting a potential upside of 6.6% from the current price of ₹546. The brokerage notes that Dabur missed expectations on both sales and profitability in Q2, mainly due to a decline in its India business led by the beverages segment. Despite strong gross margins, operating margins were impacted by operating deleverage. The company has announced the acquisition of SESA to expand its Ayurvedic hair oil portfolio. CLSA has revised its FY25-27 earnings estimates down by 7-8%, while guiding for mid-high single-digit volume growth in the second half.
Disclaimer: This information is for informational purposes only and should not be considered financial advice. Please consult with a financial advisor for any investment decisions.
