www.rupeedesk.in
The counters of fast moving consumer goods companies are likely to continue drawing investors amid an uncertain economic scenario and a depreciating rupee, as these companies are likely to face the least impact of such development. Given the way metal prices tanked and the ever-increasingly volatility in rupee, FMCG stocks are the only safe haven left for equities investors, any fall in stocks prices of marquee FMCG companies should be seen as a buying opportunity. We closely watch whether large investors will tender in their stocks in Hindustan Unilever's open offer that started yesterday. Parent Unilever Plc is offering investors 600 rupees a share to increase its holding in its Indian subsidiary to 75% from the current 55.48%. If most large invests do not tender in their stocks even at this lofty price, it will re-instate the investor’s confidence in the India consumption story. In a way, lower-than-expected tendering will be positive for HUL's stock.
The counters of fast moving consumer goods companies are likely to continue drawing investors amid an uncertain economic scenario and a depreciating rupee, as these companies are likely to face the least impact of such development. Given the way metal prices tanked and the ever-increasingly volatility in rupee, FMCG stocks are the only safe haven left for equities investors, any fall in stocks prices of marquee FMCG companies should be seen as a buying opportunity. We closely watch whether large investors will tender in their stocks in Hindustan Unilever's open offer that started yesterday. Parent Unilever Plc is offering investors 600 rupees a share to increase its holding in its Indian subsidiary to 75% from the current 55.48%. If most large invests do not tender in their stocks even at this lofty price, it will re-instate the investor’s confidence in the India consumption story. In a way, lower-than-expected tendering will be positive for HUL's stock.
