HUL Q2 Review: Dolat Capital Maintains ‘Add’ Rating — Check New Target Price
Hindustan Unilever Ltd.’s Q2 FY26 revenue was in line; however, profitability was a beat. Domestic revenue grew by a mere 0.5% due to the temporary impact of GST changes and extended monsoon conditions in parts of the country.
Domestic Revenue Growth
We expect consumption trends to improve in the near term, led by rate cuts, tax relief, and good monsoons. The Indian economy is expected to grow at a steady pace, driven by consumer spending and investments.
Dolat Capital’s View
Dolat Capital has maintained its ‘Add’ rating on HUL, citing the company’s strong brand portfolio and dividend yield. The brokerage firm has set a new target price for the stock, taking into account the company’s Q2 results and the overall market trends.
Key Takeaways
- HUL’s domestic revenue grew by 0.5% in Q2 FY26
- Profitability was a beat, driven by cost cutting and operational efficiencies
- Dolat Capital maintains ‘Add’ rating with a new target price
- Consumption trends expected to improve in the near term
Investment Strategy
Investors looking to invest in HUL should consider the company’s strong brand portfolio, dividend yield, and growth prospects. However, they should also be aware of the risk factors associated with the stock, including competition and regulatory changes.
Conclusion
In conclusion, HUL’s Q2 results were in line with expectations, but profitability was a beat. Dolat Capital’s ‘Add’ rating and new target price suggest that the stock has upside potential. Investors should consider the company’s strong brand portfolio, dividend yield, and growth prospects when making their investment decisions.