JPMorgan has maintained an 'overweight' rating on Marico with a target price of ₹915, implying nearly 16% upside to the stock's last closing price. As per JPMorgan, the brokerage believes Marico is amongst the best-placed sample names to own on the back of high single-digit domestic volume growth, successful portfolio diversification and focused intervention towards the core portfolio improving the margin trajectory. The brokerage expects upward revisions to FY27 EPS estimates as Marico expects to surpass its near-term guidance, with growth aided by core franchises and scale-up of new growth businesses. Following a strong Q2 performance, JPMorgan expects upward revisions to FY27 EPS estimates as the company outperformed Bloomberg consensus estimates across key parameters.
Marico shares were marginally lower on Tuesday, trading at ₹789.00, down ₹1.00 or 0.13% from the previous close of ₹790.00, as reported by The Hindu BusinessLine. The stock opened at ₹796.95, touching its intraday high at the open, before slipping to a low of ₹784.50. Traded volume stood at 5.95 lakh shares worth ₹46.87 crore by midday, with buy orders accounting for 55.39% of the total order flow. The stock's total market capitalisation stood at ₹1,02,345.56 crore, with deliverable quantity at 64.08% of traded volume, indicating relatively firm underlying conviction. The FMCG major delivered robust quarterly results with double-digit underlying volume growth in its India business, as reported by The Economic Times.
The company's Parachute Coconut Oil sustained strong performance with volume growth in the early teens, while Saffola Oil achieved mid-single digit price-led growth during the quarter, according to the latest regulatory filing. However, Saffola Oil volumes declined as the company focused on maintaining threshold profitability and rationalized supply of select variants. The Value Added Hair Oils achieved their sixth straight quarter of strong growth, touching the twenties level for another quarter, reflecting structural shift in growth trajectory aided by investments in mid and premium segments, enhanced direct reach through project SETU, and aggressive growth in the Almond category. Foods and Premium Personal Care, including digital-first brands and shampoos, sustained their growth momentum, supporting the company's diversification strategy. Marico is among the Indian consumer companies that have benefited from premiumisation as many shoppers increasingly reach for higher-end products across categories from food to personal care.
The international business delivered a robust quarter with constant-currency growth in the teens, led by strong performance in Vietnam, West Asia, and South Africa, as reported by The Economic Times. Bangladesh showed small sequential improvement despite high base and persistently high inflation keeping a lid on strong growth. Foods and premium personal care segments, along with digital-first brands and shampoo business, sustained their growth momentum, aligning with the company's aspirations. The company recorded a turnover of ₹136.1 billion during FY 2025-26, positioning it as one of India's leading consumer products companies. JPMorgan noted that the FMCG major's CNO portfolio will likely benefit from volume improvement and strengthening of competitive positioning, with VAHO and Saffola edible oils also seeing improving revenue growth trends.
Marico has increased its stake in Satiya Nutraceuticals Private Ltd, which owns the 'The Plant Fix – Plix' brand, to 84.09% on a fully diluted basis after acquiring an additional 24.09% stake for ₹1,012.03 crore. As per The Economic Times, the acquisition was completed on October 5, 2026, with the remaining 14.09% stake to be acquired in July 2027 for up to ₹592 crore. Satiya Nutraceuticals is a subsidiary incorporated in 2020 and headquartered in Mumbai, owning the plant-based nutrition and personal care brand with presence in health and wellness segments. The strategic investment expands Marico's total addressable market in value-added foods and nutrition segments while strengthening presence in rapidly growing personal care and wellness categories. The company's aggregate consideration for the 84.09% stake will be ₹1,392.07 crore, with the remaining 14.09% stake subject to milestone-based payments. Satiya's consolidated turnover has expanded sharply, rising to ₹864.31 crore in FY26 from ₹432.84 crore in FY25 and ₹155.32 crore in FY24.
Marico reported a stronger-than-expected performance for the June quarter, with net profit rising 25% year-on-year to ₹630 crore, driven by healthy volume growth across its India business, resilient international demand and improved operating margins. The FMCG major's consolidated revenue rose 22.9% to ₹3,957 crore during the quarter, nearing the ₹4,000-crore mark, while EBITDA increased 25% to ₹819 crore. EBITDA margin expanded to 20.7% from 20.3% a year earlier, with the company outperforming Bloomberg consensus estimates across key parameters. Analysts had expected net profit of ₹581 crore, revenue of ₹3,940 crore, EBITDA of ₹762 crore and an EBITDA margin of 19.4%. Operating profit was seen growing in mid-20s during the quarter, with the company expecting to surpass near-term guidance across key financial parameters.
