Emami Ltd
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
Emami Limited is navigating a complex landscape characterized by strong domestic growth and strategic acquisitions, while facing significant margin pressures due to rising input costs and geopolitical challenges. Management's focus on enhancing core brands and expanding into high-growth sectors like personalized beauty and wellness is expected to drive revenue recovery, with a reported 15% growth in consolidated revenues, primarily from a robust domestic market. However, the company is contending with temporary headwinds in rural demand and execution risks associated with its supply chain transformation. Vista's financial outlook reflects cautious optimism, anticipating continued revenue growth supported by strategic investments and a focus on digital capabilities, despite expected margin pressures. The personal care industry is stabilizing, with improving pricing power, which could benefit Emami's margin recovery in the long term. Over the next 12-24 months, key opportunities include leveraging digital channels and expanding high-margin product offerings, while watchpoints include persistent input cost inflation and geopolitical instability affecting international operations
Why We Like This Stock
- Strong domestic revenue growth of 20% indicates robust demand for core products
- Strategic acquisitions in personalized beauty and wellness sectors enhance market positioning
- Management's focus on digital transformation and AI-driven marketing is expected to drive future growth
Things To Watch Out For
- Margin pressures from elevated input costs and geopolitical instability in West Asia pose significant risks
- Temporary headwinds in rural demand may impact overall revenue recovery
- Execution challenges related to supply chain transformation could hinder operational efficiency
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 3,578 | 3,809 | 3,780 | 4,143 | 4,433 |
| Profit Before Tax (Cr.) | 776 | 856 | 856 | 917 | 1,005 |
| PBT Margin | 21.7% | 22.5% | 2264.6% | 22.1% | 22.7% |
| Net Profit (Cr.) | 711 | 768 | 682 | 733 | 804 |
| Earnings Per Share | 16.3 | 17.7 | 15.6 | 16.8 | 18.4 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Anand Rathi | ▲ Buy | 640 | 27-May-2026 |
| Elara Capital | ▲ Buy | 530 | 22-May-2026 |
| ICICI Securities | ► Add | 420 | 05-Aug-2026 |
| Jeffries | ▲ Buy | 620 | 22-May-2026 |
| Moneycontrol | ▲ Overweight | nan | 11-Jun-2026 |
| Prabhudas Liladhar | ► Hold | 443 | 05-Aug-2026 |
Company Overview
Show Company Profile
Emami Limited manufactures and markets personal and healthcare products in India and internationally. The company offers antiseptic cream, body lotion, prickly heat powder, petroleum jelly, soaps, aloe vera gel, and all-season cream under the BoroPlus brand; oil and cool talc products under the Navratna brand; and ayurvedic products for pain management, immunity, digestive health, and bone and joint health, as well as healthcare products comprising hair growth vitalizers, skin elixirs, organic apple cider vinegar, cough syrup, herbal tea, health juices, honey, and herb tablets under the Zandu brand. It also provides oils, conditioners, shampoos, and ayurvedic capsules under the Kesh King brand; brightening creams, and brightening and oil clear face washes for men under the Smart And Handsome brand; balms under the Mentho Plus brand; hair oils under the Emami 7 Oils in One brand; prickly heat powders under the Dermicool brand; moisturising creams and body lotions under the Creme 21 brand; deodorants, eau de toilettes, shampoos, face washes, and shower gels under the HE brand; and body sprays and perfumes, beard and shaving products, body and hair care products, face washes, gift sets, and tools and accessories under The Man Company brand. In addition, the company offers face serums, oil shots, powder face washes, and hair and pure oils under the Brillare brand; hair colors under the Emami Diamond Shine brand; talc under the Emami Golden Beauty brand; herbal fairness cream under the Emami Naturally Fair brand; cold cream under the Emami Malai Kesar Cold Cream brand; and deep moisturizing cream under the Emami Pure Glow brand. Emami Limited was founded in 1974 and is headquartered in Kolkata, India.