HUL has target of Rs 450: Rajat Rajgharia

Hindustan Unilever (HUL) has target of Rs 450, says Rajat Rajgharia, Head of Research at Motilal Oswal Securities.

Rajgharia told CNBC-TV18, "ITC has always been a preferred stock for us over HUL for a long period of time and since yesterday our estimate for HUL for both FY14 and 15 have been cut down by 7-8 percent of course part of this factors in the new royalty also and after 7-8 percent downgrade in the estimates now the target price for HUL is Rs 450, which is almost 6-7 percent lower from what the stock closed yesterday."
The share touched its 52-week high Rs 579.60 and 52-week low Rs 383 on 16 October, 2012 and 31 January, 2012, respectively. Currently, it is trading 21.25% below its 52-week high and 19.18% above its 52-week low. Market capitalisation stands at Rs 101,107.34 crore.
The company's trailing 12-month (TTM) EPS was at Rs 10.68 per share. (Dec, 2012). The stock's price-to-earnings (P/E) ratio was 42.78. The latest book value of the company is Rs 15.88 per share. At current value, the price-to-book value of the company was 28.77. The dividend yield of the company was 1.64%.