Godrej Consumer - 3QFY17 Result Update - Commendable performance; but priced in - Reliance Securities

We expect gradual recovery in GCPL's domestic business led by HI and Hair Colour segments. We estimate GCPL to report consolidated revenues of Rs98.8bn and Rs110.8bn and net profit of Rs13.1bn and Rs15.1bn in FY17E and FY18E respectively. Based on expected EPS of Rs44.5, stock currently trades at 36.1x FY18E earnings. We maintain our HOLD rating on the stock with revised target price of Rs1632, based on 33x Dec'18 earnings.

Shares of GODREJ CONSUMER PRODUCTS LTD. was last trading in BSE at Rs.1583 as compared to the previous close of Rs. 1595.65. The total number of shares traded during the day was 5078 in over 731 trades.

The stock hit an intraday high of Rs. 1590 and intraday low of 1565. The net turnover during the day was Rs. 8001257.

Source : Equity Bulls

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