FMCG Stocks Outlook for the Week – 06 to 10.04.2015
( www.rupeedesk.in )
Stocks of fast moving consumer goods companies are likely to trade
range bound next week with broader indices focusing on the Reserve Bank of
India's monetary policy and developments in the global markets.
There is talk in the market that the central bank will announce
another rate cut next week, which is seen lifting overall market sentiment, but
with FMCG being a defensive sector, the trend is seen largely range bound. Last
week's positive bias may continue next week too but the upside is seen capped.
Now the next major trigger for the FMCG sector will be the Jan-Mar
earnings that will be released later this month and in May. The Q4 earnings
will provide fresh cues to the sector and the volume growth remains the key
concern for the sector. Among the FMCG companies, Colgate Palmolive India,
Godrej Consumer Products, and Marico are top picks.
Colgate Palmolive announced earlier Last week that it has started
toothbrush production at its new facility in Sricity area Chittoor district,
Andhra Pradesh, having capacity to produce 220 mln pieces per year.
