Dabur to Britannia — experts recommend these FMCG shares to buy1 min read . Updated: 20 Apr 2021, 09:20 AM IST
- Experts say that after the positive monsoon forecast FMCG sector is expected to attract attention of stock investors
After witnessing black Monday for consecutive two weeks, stock market experts have recommended investors and traders to shift focus towards pharma, IT and FMCG stocks. They said that after the positive monsoon forecast FMCG sector is expected to attract attention of stock investors. However, due to the uncertainty in the markets due to the record rise in Covid 19 cases in India, they advised to maintain 'stock specific trade' where quality stocks with strong fundamentals has to be preferred. They said that Dabur and Britannia are the FMCG stocks that investors can bet upon.
Batting in favour of Dabur shares Saurabh Jain, AVP-Research at SMC said, "After the positive monsoon forecast, FMCG sector is expected to attract investors' attention as FMCG companies won't have to face the raw material supply constraint for their products. But, I would recommend Dabur as the company has enough products in its godown to meet the demand even when the lockdown imposed in various parts of India gets extended. Apart from this, due to the rise in Covid cases, Dabur's ayurvedic and herbal products like honey, chyavanprash, etc. are expected to pick up demand among the Indian millennial. So, business model of Dabur is much better placed and it may reflect in Dabur share price rally in coming trade sessions."
Sharing important levels of Dabur shares Mudit Goel, Senior Research Analyst at SMC said, "One can buy Dabur shares at current market price for the target of ₹610 maintaining the stop loss at ₹558." Goel said that Dabur shares have moderate resistance at ₹582 and one can book profit at this level too if the time-horizon is immediate short-term.
Recommending Britannia shares for investors Ravi Singhal, Vice-Chairman at GCL Securities said, "Britannia share price had a closing at ₹3730 on Monday. One can buy Britannia shares in the range of ₹3,600 to ₹3,700 for short-term to long-term to medium-term targets of ₹3800, ₹3900 and ₹4000. However, one must maintain the strict stop loss at ₹3497 while taking buy position in the FMCG counter."
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