DINESH

Dabur India

Industry: Personal Care
Latest CMP 405
Today's Change ▼ -1.16%
52-Week High / Low 543 | 405
Price Date: 14-Aug-2026
Recommendation Buy
Target Price 498
Expected Upside 10.8%
Forecast Horizon 2 Years
Historical CAGR 13.7%
1,000 Invested 17-Aug-2006
Today's Value 12,991
Investment Period 20 Years

Stock Snapshot

Post Results Return
-3.7%
Mild Negative Re-rating
1-Year Target Price
476
2-Year Target Price
498
52-Week High / Low
543 / 405
20-Day Return
-5.0%
Market Cap (Cr.)
71,891
Current PE
39.6
P/BV Ratio
6.3
Dividend Yield
1.2%
Industry PE
39.0

Price Performance

Basis of our Recommendation

Dabur India Limited is strategically enhancing its growth trajectory through manufacturing expansion, digital innovation, and sustainability initiatives, which are expected to bolster revenue and margins. Management's focus on premiumization and market share gains, particularly in the Hair Care and Foods segments, aligns with Vista's forecast of stable revenue growth and margins. The company's commitment to achieving 80% reusable packaging by FY 2025-26 and its recent acquisition of a minority stake in RAS Beauty are pivotal for long-term growth. However, challenges such as geopolitical tensions affecting international operations and inflationary pressures on input costs could impact profitability. The personal care industry is witnessing improving pricing power, which supports Dabur's margin outlook. Over the next 12-24 months, key opportunities include expanding e-commerce channels and premium product offerings, while watchpoints include managing input cost inflation and geopolitical risks. Overall, Vista's expected upside of approximately 14.7% reflects confidence in Dabur's strategic initiatives and market positioning

👍 Why We Like This Stock

  • Dabur's strategic focus on premiumization and innovation is expected to drive revenue growth and enhance market share
  • The company's commitment to sustainability and digital transformation positions it favorably for long-term growth
  • Strong rural demand and effective capital allocation strategies are likely to support margin stability

Things To Watch Out For

  • Geopolitical tensions, particularly in the Middle East, pose risks to international revenue streams
  • Inflationary pressures on raw materials could impact profit margins despite pricing power
  • Unseasonal weather patterns may disrupt sales in seasonal product categories

Key Parameters

Balance Sheet Strength
Conservatively Financed
Market Share
Losing
Industry Outlook
Improving
Analyst View
Hold
Dividend History
Consistent
FII Holdings
Stable

Financial Snapshot

Actuals Forecast
FY24 FY25 FY26 FY27 FY28
Revenue (Cr.) 12,404 12,563 13,193 13,915 15,132
Profit Before Tax (Cr.) 2,358 2,249 2,435 2,685 2,948
PBT Margin 19.0% 17.9% 1845.7% 19.3% 19.5%
Net Profit (Cr.) 1,818 1,751 1,881 2,067 2,239
Earnings Per Share 10.4 10.0 10.7 11.5 12.6

Analyst Recommendations

Broker Recommendation Target Price Date
Anand Rathi ▲ Buy 550 30-Jul-2026
Axis Securities ▲ Buy 550 08-May-2026
BPWealth ▲ Buy nan 08-May-2026
Citigroup ▼ Sell 425 06-Jul-2026
Elara Capital ► Accumulate 530 30-Jul-2026
Emkay Global ► Add 470 30-Jul-2026
Goldman Sachs ► Neutral 485 30-Jul-2026
HDFC Securities ► Add 465 30-Jul-2026
HSBC ► Hold 470 30-Jul-2026
ICICI Securities ► Add 500 30-Jul-2026
Investec ► Hold 514 08-May-2026
JPMorgan ► Neutral 485 30-Jul-2026
Jeffries ▲ Buy 610 30-Jul-2026
Macguire ► Neutral 470 30-Jul-2026
Moneycontrol ▲ Overweight nan 30-Jul-2026
Morgan Stanley ▼ Underweight 425 30-Jul-2026
Motilal Oswal ► Neutral 745 08-May-2026
Nomura ▲ Buy 625 30-Jul-2026
Prabhudas Liladhar ► Hold 492 30-Jul-2026
UBS ► Hold 520 08-Apr-2026
Consensus Recommendation ► Hold
Consensus Target 491
Coverage 20 Analysts
Analysts' Viewpoint
Dabur India's growth is supported by robust rural consumption and premiumization in segments like Home & Personal Care and Food & Beverage. Analysts highlight the company's strategic focus on rural penetration and premium product launches as key drivers. Despite challenges such as geopolitical instability in the Middle East and inflationary pressures on raw materials, Dabur's pricing power and operational efficiencies help mitigate margin risks. Future growth catalysts include capacity expansion in Tamil Nadu and scaling of the 'Science' D2C healthcare platform. However, geopolitical tensions and potential climate disruptions pose risks to sustained growth.

Company Overview

Show Company Profile

Dabur India Limited operates as a fast moving consumer goods company worldwide. It operates through Consumer Care Business, Foods Business, Retail Business, and Other segments. The company provides health supplements under the Dabur Chyawanprash, Dabur Honey, and Dabur Glucose brand name; digestive products under the Hajmola and Pudin Hara; cough and cold products under the Honitus brands name; rejuvenators under the Shilajit brand name; health juices; nutraceuticals under the Siens brand name; and baby care products under the Dabur Lal Tail, Janma Ghunti, Gripe Water, and Dabur Baby brand names, as well as Ayurvedic Ethicals. It also offers hair care products under the Dabur Amla Hair Oil, Vatika, and Cool King brands; oral care products under the Dabur Red Toothpaste, Dabur Meswak, and Dabur Herb'l Toothpaste brand names; skin care products, including rose water, moisturising creams and lotions, soaps, body wash, toners, facial bleaches, and depilatory creams under the Dabur Gulabari and Fem & OxyLife brand names; and home care products, such as air fresheners under Odonil name, mosquito repellents under the Odomos brand, and surface cleaners under the Sanifresh brand name. In addition, the company provides beverages under the Réal and Réal Activ brand names; foods under the Dabur and Hommade brands; and spices under the Badshah brand, as well as edible oils and ghee which includes Dabur Cold Pressed Mustard Oil, Dabur Cold Pressed Sesame Oil, Dabur Cold Pressed Groundnut Oil, Dabur Virgin Coconut Oil and Dabur 100% Cow Ghee. It also operates specialized beauty retail stores that offer a range of cosmetics, fragrances, skin care, and personal care products, as well as beauty and fashion accessories under the NewU brand name. Dabur India Limited was founded in 1884 and is based in Ghaziabad, India.