Target: ₹ 1,430

CMP: ₹ 1,162.70

With the GST Cut Boosting Soaps and Men’s Groming Range (About 35 per cent of its domestic range) and innovations (Godrej fab, Godrej ninja) scaling up well, godrej consumer products is an attractive Consumption Recovery.

We expect its interactive business to deliver high Single-Digit Growth (Indonesia Recovery, Strong Africa, Ftas Aiding Europe/UK), While Its India Volume Growth Showld Cuts. Margin tailwinds from price incurses (in soaps), Premiumsation and cost efficiency measureses should drive prot Profit Growth Ahead of Revenue, Making it a Compeling Medium-TERM-TERM-TERM ComPONDER.

Management Expects High Single-Digit India Volume and Double-Digit Revenue Growth, with Profit Growth Out-Stripting Revenue, Backed by Price Increases (Soaps), PREMIMIMISATION and COPCICIESATION and COPSTECIESATION. Palm Oil Pries Have Been Volapal, but management hopes prises ahead would be moderate.

For the year we Factor in Persistent Higher Inflation in Palm Oil, GST RATE CUTS and A Slightly Weaker Indonesian Performance, and Lower Our FY26/FY27 EPS 8/4 PER CENT and FY27 EPS 8/4 PER CENT and INTOROCE FY28. At the CMP, The Stock Trades at 55X/45X/39x fy26e/27e/28e EPS of ₹ 21.4/26.4/30.7.

Key risks: Failed launches, pricey/unwarranted bolt-on acquisitions, geopolitical turbulence shrinking the interactive business.

Published on September 26, 2025