Fast Moving Consumer Goods (FMCG) sector is the fourth largest sector in the Indian economy with Household and Personal Care accounting for 50% of FMCG sales in India.

For this sector, growing consumer awareness, easier access, and changing lifestyles have been the key growth drivers.

The FMCG sector has grown at a CAGR of 11% over the last decade and is expected to grow at a CAGR of around 14-16% over the next 5 years.

Stock Comparison Table
Stock Name 52 week high 52 week low Market Cap (Cr) PE Ratio 1 yr Return Current Price
Dabur India Ltd. 490.65 357.55 75,656 52.4 -6.0% 428.35
Marico Ltd. 396.60 282.95 50,650 45.3 5.8% 392.35
Colgate-Palmolive (India) Ltd. 1354.80 1018.30 32,577 37.5 4.8% 1197.00
Procter & Gamble Hygiene & Health Care Ltd. 11245.00 8801.75 33,453 89.3 -2.3% 10285.00
Zydus Wellness Ltd. 1980.00 1087.95 8,635 51.0 6.1% 1500.00
Gillette India Ltd. 7919.85 6169.00 22,996 100.4 7.7% 7066.90

Top FMCG Stocks That You Could Buy

1. Dabur India Ltd.

Incorporated in the year 1975, Dabur India Pvt. Ltd. is a Large Cap company having a market cap of ₹78,873.73 Crore.

It operates through Consumer Care Business, Food Business, and Others segments in India.

The company manufactures and sells

  • Health supplements under the brand: Dabur Chyawanprash, Dabur Honey, and Dabur Glucose,
  • Digestive products under the brand: Dabur Hajmola, Pudin Hara, and Nature Care; and
  • Shampoos under the brand: Dabur Almond and Vatika.

Performance

Performance of the Stock
Parameters BSE NSE
Current Price (₹) 444.85 446.25
6 Month Profit / Loss (%) 1.26 1.14
1 Year Profit / Loss (%) 29.51 29.44
3 Year Profit / Loss (%) 80.64 80.08
5 Year Profit / Loss (%) 151.05 150.83
Beta (1 year) 0.99 0.98
Avg. Daily Volatility (% on year basis) 1.69 1.72

Note: Values as on 12/02/2019

On the stock market, the performance of Dabur India is outstanding giving an average return of more than 29% in the last 1 year, when the Indian stock could not able to perform that well.

Key market indicators

Key Indicators
Market Cap (₹ Cr) 78,573.46
Book Value (₹) 32.46
P/E 65.53
P/B 13.73
Dividend Yield (%) 1.68

Latest Quarterly Results

Latest Quarter Results (Q3 2018)
Sales (₹ Cr) 2,199.21
Operating Profit (₹ Cr) 445.39
Net Income (₹ Cr) 366.05
EPS (₹) 2.06

For quarter 3, 2018, the company has reported a consolidated sales revenue of ₹2,199.21 Crore, up 3.49 % from last quarter sales revenue of ₹2,124.97 Crore and up 11.84 % from last year same quarter sales revenue of ₹1,966.44

Also, the company has reported a net profit of ₹366.69 Crore in the latest quarter results.

2. Marico Ltd.

Incorporated in the year 1988, Marico Ltd. is a Large Cap company having a market cap of ₹46,193.58 Crore.

The company provides consumer products and services in the areas of health and beauty.

Marico Ltd. holds a number of brands including Parachute, Kaya Limited, Saffola, Hair and Care, Nihar, Mediker, Revive, Manjal, Livon, Set Wet, Zatak, Hercules, Fiancee, HairCode, Eclipse, X-Men, Caivil and Black Chic.

Performance

Performance of the Stock
Parameters BSE NSE
Current Price (₹) 356.55 358.15
6 Month Profit / Loss (%) -0.57 -0.39
1 Year Profit / Loss (%) 15.32 15.51
3 Year Profit / Loss (%) 56.75 56.91
5 Year Profit / Loss (%) 231.16 231.67
Beta (1 year) 0.84 0.83
Avg. Daily Volatility (% on year basis) 1.56 1.58

Note: Values as on 12/02/2019

The performance of Marico is below par in recent times but you cannot ignore the kind of returns it gave over the long term.

It gave an average return of more than 55% in the last 3 year and more than 230% over the past 5 years.

Key Market Indicators

Key Indicators
Market Cap (₹ Cr) 46,193.58
Book Value (₹) 19.80
P/E 56.22
P/B 18.08
Dividend Yield (%) 1.19

Latest Quarterly Results

Latest Quarter Results (Q3 2018)
Sales (₹ Cr) 1,860.97
Operating Profit (₹ Cr) 348.94
Net Income (₹ Cr) 247.25
EPS (₹) 1.92

For quarter 3, 2018, the company has reported a consolidated sales revenue of ₹1,860.97 Crore, up 1.31 % from last quarter sales revenue of ₹1,836.82 Crore and up 14.57 % from last year same quarter sales revenue of ₹1,624.33 Crore.

Also, the company has reported a net profit of ₹247.25 Crore in the latest quarter results.

3. Colgate Palmolive (India) Ltd.

Incorporated in the year 1937, Colgate Palmolive (India) Ltd. is a Large Cap company having a market cap of ₹34,668.65 Crore.

It is the leading provider of scientifically proven oral care products in India. The range includes toothpaste, toothpowder, toothbrushes and mouthwashes under the Colgate brand along with a specialized range of dental therapies under the banner of Colgate Oral Pharmaceuticals.

And under the brand name “Palmolive”, the company provides a range of personal care products.

Colgate Palmolive (India) Ltd. products are trusted by millions in India to care for their families and homes.

Performance

Performance of the Stock
Parameters BSE NSE
Current Price (₹) 1263.75 1262.45
6 Month Profit / Loss (%) 11.71 11.68
1 Year Profit / Loss (%) 15.61 15.36
3 Year Profit / Loss (%) 50.83 51.01
5 Year Profit / Loss (%) 92.38 93.45
Beta (1 year) 0.47 0.48
Avg. Daily Volatility (% on year basis) 1.27 1.30

Note: Values as on 12/02/2019

Performance of Colgate Palmolive (India) Ltd. is mediocre in short term but you cannot ignore the oldest FMCG company in India.

In the long term, it gave an average return of more than 50% in the last 3 year and more than 90% over the past 5 years.

Key Market Indicators

Key Indicators
Market Cap (₹ Cr) 34,668.65
Book Value (₹) 56.05
P/E 45.21
P/B 52.14
Dividend Yield (%) 1.90

This stock is for the investors who have less risk appetite and need stable dividend on their investment.

Latest Quarterly Results

Latest Quarter Results (Q3 2018)
Sales (₹ Cr) 1,091.63
Operating Profit (₹ Cr) 314.46
Net Income (₹ Cr) 192.10
EPS (₹) 7.06

For quarter 3, 2018, the company has reported a consolidated sales revenue of ₹1,091.63 Crore, down -5.95 % from last quarter sales revenue of ₹1,160.63 Crore and up 6.30 % from last year same quarter sales revenue of ₹1,026.97 Crore.

Also, the company has reported a net profit of ₹192.10 Crore in the latest quarter results.

4. Procter and Gamble Hygiene and Health Care Ltd.

Incorporated in the year 1964, Procter and Gamble Hygiene and Health Care Ltd. is a Large Cap company having a market cap of ₹34,874.12 Crore.

It is an India-based company, which is engaged in the manufacturing, trading, and marketing of branded packaged FMCGs in the femcare and healthcare businesses.

The Company also offers ayurvedic products and sanitary napkins.

Some of the notable brands of this company’s brands include Oral-B, Pampers, Pantene, Tide, Ambi Pur, Ariel, Duracell, Gillette, Head & Shoulders, Olay, Vicks, Wella, and Whisper.

Performance

Performance of the Stock
Parameters BSE NSE
Current Price (₹) 9994.55 10026.00
6 Month Profit / Loss (%) -7.19 -7.15
1 Year Profit / Loss (%) 6.9 7.3
3 Year Profit / Loss (%) 70.56 71.52
5 Year Profit / Loss (%) 218.52 219.65
Beta (1 year) 0.21 0.15
Avg. Daily Volatility (% on year basis) 1.20 1.17

Note: Values as on 12/02/2019

In long term, it gave an average return of more than 70% in the last 3 year and more than 218% over the past 5 years.

Key Market Indicators

Key Indicators
Market Cap (₹ Cr) 32,874.12
Book Value (₹) 248.15
P/E 90.76
P/B 40.28
Dividend Yield (%) 0.4

Latest Quarterly Results

Latest Quarter Results (Q3 2018)
Sales (₹ Cr) 818.67
Operating Profit (₹ Cr) 191.23
Net Income (₹ Cr) 124.12
EPS (₹) 38.24

For quarter 3, 2018, the company has reported a consolidated sales revenue of ₹818.07 Crore, up 3.32% from last quarter sales revenue of ₹791.80 Crore and up 16.18% from last year same quarter sales revenue of ₹704.16 Crore.

Also, the company has reported a net profit of ₹124.12 Crore in the latest quarter results.

5. Zydus Wellness Ltd.

Incorporated in the year 1994, Zydus Wellness Ltd. is a mid-cap company having a market cap of ₹7,306.05 Crore.

Zydus Wellness Ltd. is an emerging and strong and player in the Indian FMCG sector with a specialty in the health and wellness space in India.

Some of their notable brands include

  • Nutralite – is table margarine;
  • Sugar Free – is a low-calorie sweetener and
  • EverYuth – is a skincare product line.

Performance

Performance of the Stock
Parameters BSE NSE
Current Price (₹) 1278.05 1275.00
6 Month Profit / Loss (%) -11.07 -11.1
1 Year Profit / Loss (%) 12.46 12.44
3 Year Profit / Loss (%) 93.51 92.08
5 Year Profit / Loss (%) 164.91 164.23
Beta (1 year) 0.90 0.92
Avg. Daily Volatility (% on year basis) 2.14 2.17

Note: Values as on 12/02/2019

Key Market Indicators

Key Indicators
Market Cap (₹ Cr) 7,306.05
Book Value (₹) 125.37
P/E 51.53
P/B 7.09
Dividend Yield (%) 0.63

Latest Quarterly Results

Latest Quarter Results (Q3 2018)
Sales (₹ Cr) 145.41
Operating Profit (₹ Cr) 37.72
Net Income (₹ Cr) 39.69
EPS (₹) 10.16

For quarter 3, 2018, the company has reported a consolidated sales revenue of ₹145.41 Crore, up 5.21 % from last quarter sales revenue of ₹138.21 Crore and up 9.83 % from last year same quarter sales revenue of ₹132.40 Crore.

Also, the company has reported a net profit of ₹39.69 Crore in the latest quarter results.

6. Gillette India Ltd.

Incorporated in the year 1984, Gillette India Ltd. is a large-cap company having a market cap of ₹21,179.25 Crore.

Gillette India Ltd. is in the manufacturing, trading, and marketing of branded packaged fast-moving consumer goods in the grooming, portable power, and oral care businesses.

The Grooming segment is its most important product portfolio which includes shaving system and cartridges, blades, toiletries, and components.

Performance

Performance of the Stock
Parameters BSE NSE
Current Price (₹) 6455.80 6477.85
6 Month Profit / Loss (%) -1.41 -0.85
1 Year Profit / Loss (%) 1.10 0.9
3 Year Profit / Loss (%) 60.75 59.15
5 Year Profit / Loss (%) 222.24 221.45
Beta (1 year) 0.23 0.26
Avg. Daily Volatility (% on year basis) 0.78 0.71

Note: Values as on 12/02/2019

Key Market Indicators

Key Indicators
Market Cap (₹ Cr) 21,179.25
Book Value (₹) 213.03
P/E 93.69
P/B 30.30
Dividend Yield (%) 0.36

Latest Quarterly Results

Latest Quarter Results (Q3 2018)
Sales (₹ Cr) 475.66
Operating Profit (₹ Cr) 98.00
Net Income (₹ Cr) 53.99
EPS (₹) 16.56

For quarter 3, 2018, the company has reported a consolidated sales revenue of ₹475.66 Crore, up 4.19 % from last quarter sales revenue of ₹456.51 Crore and up 16.72 % from last year same quarter sales revenue of ₹407.52 Crore.

Also, the company has reported a net profit of ₹53.99 Crore in the latest quarter results.

The Bottom Line

In India, as the focus is shifting towards agriculture, MSMEs, education, healthcare, infrastructure and employment under the Union Budget FY 2019, is expected to directly impact the FMCG sector.

These initiatives are expected to increase the disposable income in the hands of the common people, especially in the rural area and middle class, which will be beneficial for the FMCG sector.

Disclaimer: the views expressed here are of the author and do not reflect those of Groww. 

 

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