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Hold Jyothy Laboratories; target of Rs 205: ICICI Direct

ICICI Direct recommended hold rating on Jyothy Laboratories with a target price of Rs 205 in its research report dated November 15, 2022.

November 24, 2022 / 15:54 IST
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ICICI Direct's research report on Jyothy Laboratories

Jyothy labs (JLL) is an FMCG company with a presence in fabric whiteners, detergents, dishwashing products, household insecticides (HI) & personal care products. It has leading brand Ujala in fabric whitener with 83.7% market share and a sizeable dish washing & HI business with mid-teens market share. The company has 23 manufacturing facilities in India. Its pan-India distribution reach is close to 3.0 million outlets with direct reach of 1.0 million. Its major brands include Ujala & Henko in fabric care, Exo & Pril, in dishwashing, Margo in soaps and Maxo in HI categories.

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Outlook

We maintain our HOLD rating on the stock. We value the stock at Rs 205, valuing the business at 26x FY24 earnings.