I-Sec maintains Add on Godrej Consumer Products, raises target price to Rs 1,380

ICICI Securities has maintained an Add call on Godrej Consumer Products with a revised target price of Rs 1,380 (earlier Rs 1,160). The current market price of Godrej Consumer Products is Rs 1240.2. Godrej Consumer Products, incorporated in 2000, is a Large Cap company with a market cap of Rs 126914.37 crore, operating in the FMCG sector.

Godrej Consumer Products' key products/revenue segments include Personal Care and Other Operating Revenue for the year ending 31-Mar-2024.


Financials
For the quarter ended 31-03-2025, the company has reported a Consolidated Total Income of Rs 3671.61 crore, down -4.67 % from last quarter Total Income of Rs 3851.53 crore and up 6.44% from last year same quarter Total Income of Rs 3449.45 crore. The company has reported net profit after tax of Rs 411.90 crore in the latest quarter.

The company?s top management includes Ms.Nisaba Godrej, Ms.Ireena Vittal, Ms.Pippa Tubman Armerding, Mr.Sumeet Narang, Mr.Omkar Goswami, Mr.Nadir Godrej, Mr.Pirojsha Godrej, Ms.Tanya Dubash, Mr.Sudhir Sitapati, Ms.Shalini Puchalapalli. Company has BSR & Co. LLP as its auditors. As on 31-03-2025, the company has a total of 102 crore shares outstanding.


Investment Rationale
ICICI Securities has increased earnings estimates by ~1%/5% for FY26E/27E; modelling revenue / EBITDA / PAT CAGR of 11% / 16% / 24% over FY25-27E. It maintains an ADD rating with an SoTP-based revised target price of Rs 1,380 (was Rs 1,160 earlier). At the target price, the stock will trade at 48x P/E multiple Mar?27. Key downside risk is structural deceleration in India household insecticides and rise in competitive intensity from smaller/unorganized players.

Promoter/FII Holdings
Promoters held 53.07 per cent stake in the company as of 31-Mar-2025, while FIIs owned 19.54 per cent, DIIs 12.13 per cent.