FMCG Stocks Outlook for the week – 16 to 20.06.2014
(www.rupeedesk.in)
(www.rupeedesk.in)
Stocks of fast moving consumer goods
companies are seen range bound in the week
ahead on the back of a delayed
monsoon. As the monsoon is delayed, rural demand is
likely to slow down. In such
circumstances, it is urban-focussed companies like Nestle
India, Agro Tech Foods and ITC that
are seen doing well. While analysts predict a
slowdown in demand in the next few
months, industry players are upbeat as they see
demand growing with economic growth
gathering pace, and on the new government's
inflation control focus.
A check on inflation will mean that
people have more money in their hands, and this
could be the biggest demand driver
for premium products in the FMCG sector. Stocks of
most FMCG companies will remain
range-bound next week. We are relatively bullish on
the prospect of FMCG-behemoth
Hindustan Unilever.
