Home >Companies >News >HUL shares slip to one-month low ahead of Q4 results
According to 17 Bloomberg analyst estimates, the company may post a net profit of  ₹1796.30 crore while net revenue will be at  ₹10116.50 crore. (Photo: Mint)
According to 17 Bloomberg analyst estimates, the company may post a net profit of 1796.30 crore while net revenue will be at 10116.50 crore. (Photo: Mint)

HUL shares slip to one-month low ahead of Q4 results

On Wednesday, the stock fell 2.5% to close at near one month low of 2232.10 on BSE. This level was last seen on 2 April ahead of its March quarter earnings due on Thursday

Shares of Hindustan Unilever Ltd has fallen nearly 10% in last three weeks on profit booking. The stock had hit record high at 2488.55 on 15 April. The stock has fallen in 10 out of 13 sessions and lost 9.3% in this period. In contrast, the Sensex has gained over 18% in the same period. So far this year HUL has risen 16%.

On Wednesday, the stock fell 2.5% to close at near one month low of 2232.10 on BSE. This level was last seen on 2 April ahead of its March quarter earnings due on Thursday.

According to 17 Bloomberg analyst estimates, the company may post a net profit of 1796.30 crore while net revenue will be at 10116.50 crore.

According to Jefferies India forecast HUL may report 5%/4%/3% declines in revenue, EBITDA, and pre-ex earnings, respectively.

Analysts at Edelweiss Securities expect HUL to be a key beneficiary of rural demand recovery and herbal push and expect its decent volume growth to sustain riding its market leadership, strong distribution network and intense use of data & analytics. “With the push-for-premium sustaining, we expect better earnings growth for years to come," it said in a report.

Centrum Broking Ltd expects HUL to be resilient in the current economic scenario and deliver mid-to-high single digit volume growth over next two years. “Moreover, we note that our current estimates for FY21 & FY22 are ex- Glaxo Smithkline (GSK)," it said.

Earlier, its parent Unilever PLC has withdrawn its 2020 guidance, citing the unknown severity and duration of the pandemic. Management thinks the Apr-Jun quarter will be tough for EMs but Jul-Dec should see a strong recovery. Unilever PLC has also changed its monthly operational forecasting cycle to a weekly basis in order to respond to rapid changes in consumer demand.

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