At 11:15 AM, the stock traded with a gain of 7.2 per cent at Rs 529. The counter had seen trades of around 2.62 lakh shares as against the two-week average volume of around 54,000 shares on the BSE. Meanwhile, the Sensex was up nearly a per cent at 61,624.
For the quarter ended March 2023, Marico reported an 18.7 per cent growth in net profit at Rs 305 crore. In comparison, net profit for Q4FY22 stood at Rs 257 crore. Total income was up 5.6 per cent YoY at Rs 2,308 crore.
Post earnings, Sharekhan in its earnings update has given a ‘Buy’ rating on the stock with target price of Rs 645 per share. The brokerage firm said, that the Q4FY23 performance was largely in line with expectation and management has maintained its medium-term guidance.
Another domestic brokerage firm, Prabhudas Lilladher have upgraded its rating on the stock from ‘Hold’ to ‘Accumulate’ with target price of Rs 550 per share.
“We believe Marico is well placed given 1) benign prices of copra and stability in product pricing environment 2) sustained traction in new launches in Foods with entry in high growth categories of Peanut Butter & Munchies with target of achieving Rs 800 crore sales by FY24 and 3) increased focus on digital brands in HPC with aspiration of Rs 400 crore topline by FY24. We expect Sales/PAT CAGR of 11.4 per cent and 13 per cent over FY23-25 with payout ratio of ~90 per cent, ROE and ROCE of 48 per cent and 57 per cent.”, the report added.