Moneycontrol PRO
Upcoming Event:\Option Writing Masterclass by Shubham Agarwal: a session power packed with lots of intelligence and tactics required to sell write options, on 13th July at 5pm. Register Now

Hold Nestle India: target of Rs 16,500: ICICI Securities

ICICI Securities recommended hold rating on Nestle India with a target price of Rs 16,500 in its research report dated September 27, 2020.

September 28, 2020 / 11:19 PM IST
  • bselive
  • nselive
Todays L/H

ICICI Securities research report on Nestle India

Our assertion / hypothesis: Nestlé’s infant nutrition business (~30% of revenues and ~40% of profits) will likely face growth headwinds in CY2021 due to consumers (now) delaying plans of having infants / babies due to fear of visiting hospitals. Given the premium pricing of infant nutrition products, the consuming households are mostly the upper-middle class / middle class, in our view. We have drawn conclusions from (1) our primary research with pharmaceutical companies and (2) secondary sales data (market research) from AIOCD-AWACS (MUST see charts 1-3).


Though we are believers in Nestlé’s long-term story, our current neutral stance is intact (given that only a part of its portfolio (Maggi and (somewhat) Coffee) would benefit from increased in-home consumption). HOLD rating retained.

For all recommendations report, click here


Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on are their own, and not that of the website or its management. advises users to check with certified experts before taking any investment decisions.

Broker Research
first published: Sep 28, 2020 11:19 pm
ISO 27001 - BSI Assurance Mark