ITC has been one of the best performing large-cap stock at the bourses thus far in calendar year 2022 (CY22), rallying nearly 52 per cent during this period and outperforming the sector benchmark - the S&P BSE FMCG index - by a wide margin that moved up around 17 per cent during this period. However, the counter has lost over 5 per cent from its recent high of Rs 346.25 hit on September 23, 2022 and has underperformed the S&P BSE Sensex, which has lost nearly 2 per cent since then. So, is the rally in the stock coming to an end, and is this a good time to book profit?
Mistry is not the first Tata bigwig to be ousted and Tata is not the only big name which saw a doyen or two leave
Going forward, Vinita Bali, outgoing MD, Britannia wants to do other things in life which she was unable to pursue.
Global trends, the last batch of Q2 earnings and domestic macroeconomic data will dictate terms in the equity market, which had an extended weekend last week, analysts said. "FIIs' behaviour along with inflation numbers from US and China will remain key factors for this week. After an extended weekend, Indian markets are likely to start a fresh week with a positive note on the global backdrop. "However, there is a risk of selling pressure at higher levels as we are underperforming the global peers where the near-term texture has changed to 'sell on rise' from 'buy on dip'," Santosh Meena, head (research) at Swastika Investmart Ltd, said.
However, rural demand continued to remain a concern for FMCG companies during the quarter.
Top players, ITC, Britannia and Parle Products, are taking three different routes to compete at the premium end. But soon all three would get on the same path.
The new season of The Crown is a bit of a dreary watch, observes Deepa Gehlot.
Ajit Mishra, vice president, Research, Religare Broking, answers your queries.
FMCG CEOs indicate that the market should stabilise post the general elections and that some growth should make its way back especially in rural areas
While companies have not launched too many products in rural areas of late, easy financing has helped push up demand.
Ajit Mishra, vice president, research, Religare Broking, answers your queries.
Many argue that the airline could achieve its full potential if Nusli Wadia were to run it the way he does Britannia.
Ajit Mishra, vice president, research, Religare Broking, answers your queries.
The US Fed interest rate decision, domestic macroeconomic data announcements and ongoing quarterly earnings are some of the major factors that will drive the stock markets in a holiday-shortened week, analysts said. Besides, monthly auto sales numbers and the LIC IPO will also remain in focus, they added. Equity markets will remain closed on Tuesday for Id-Ul-Fitr (Ramzan Id). "The market is likely to kick off this week on a sombre note after a sharp fall in the US market then the focus will shift to the outcome of the US FOMC meeting, which is crucial amid record inflation and growth worries.
Ajit Mishra, vice president, research, Religare Broking, answers your queries.
Companies whose products have not been picked up for distribution in Gujarat under a "non-cooperation movement" include Marico, Dabur, Emami, Britannia, Reckitt Benckiser, and Godrej Consumer Products.
Britannia's foreign presence is low; share of global operations to total revenues is just 5-8%.
Consumer stocks remain the biggest laggard on the bourses. The Nify50 weighting of FMCG stocks declined to a decade low of 9.9 per cent at the end of March this year, down 150 basis points from 11.4 per cent a year ago. At their peak in March 2013, major FMCG stocks, such as Hindustan Unilever, ITC, and Asian Paints, together accounted for 15 per cent of the Nifty50. But now together with automobile stocks, the consumer goods sector accounts for only 14.7 per cent of the index, down 200 basis points in the past 12 months and 37 per cent from the record high weighting of 23.4 per cent at the end of March 2014.
'The correction could take two to three months and traders need to be careful.' 'For investors, this could be a good time to nibble in.'
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Gujarat's Amul bagged the top slot with 7.2 per cent share, followed by Mother Dairy and Britannia Industries.
Foreign portfolio investors (FPIs) who invest from Mauritius into Indian companies that dole out bonus debentures will get impacted by the tax avoidance provisions on bonus stripping. The FY23 Budget has extended these provisions - applicable only to MFs, so far - to shares and units of REITs, InvITs and AIFs. The move will especially affect large institutional investors who sell original units within nine months after the record date because the loss arising from sale of original units would have to be ignored for the purposes of computing taxable income and cannot be set off against any other capital gain.
The Nutribic biscuit, first launched in August, found itself in the eye of a storm, owing to copyright and trademark infringement issues.
Sharad Pawar reckons that the NCP has value as a united, going concern, not as a gaggle of leaders in search of followers, notes Shreekant Sambrani.
Get your lowdown on what's going on in the world of Hollywood, right here!
Ajit Mishra, vice president, Research, Religare Broking, answers your queries.
Manchester United manager Louis van Gaal says he has been overwhelmed by the support he has received from fans even after defeats but, if he does not act to strengthen his defense, he might soon find their patience running out.
'Kindly advise about the following stocks. Can I hold or exit?'
'They say 'a picture paints a thousand words', so seeing Rishi Sunak PM at the door of Number 10 can never be taken from us.'' 'It is a symbol that will go down in the history books.' 'It is the very embodiment of me saying to my boys, "You can be who you want to be",' notes James Salins in this must-read feature.
Ajit Mishra, vice president, research, Religare Broking, answers your stock market queries.
Bangalore-based software engineers of LogicaCMG will manage and support information applications for European airline Britannia Airways.
Some analysts see more upside in FMCG stocks given the performance gap between the sector and the market.
Ajit Mishra, vice president, Research, Religare Broking, answers your queries.
Journalist Chandan Mitra, who passed into the ages on Wednesday night, will be missed for his courage to go against the grain, mourns Dr Sudhir Bisht.
Ajit Mishra, vice president, Research, Religare Broking, answers your queries.
Softening rural consumption and the likelihood of weak corporate earnings in the March quarter saw investors dump stocks.
The Rs 1-trillion organised dairy market is dominated by co-operatives in almost every state.
Companies from Nestle and ITC to Hindustan Unilever and Patanjali have pledged to reduce use of unhealthy ingredients by five to 50 per cent
Reliance Industries accounted for Rs 6.3 trillion in wealth created since 1995; closest rival was Hindustan Unilever which was at Rs 4.9 trillion.
HUL, ITC, Nestle, Colgate, Dabur, Britannia, Asian Paints, P&G are trading at nearly 48 times. The previous record high was 53 times at the end of March 1994.
The so-called high networth individual portion saw 620x more demand than shares on offer.
