Godrej Consumer Products shares jump 6% after Q4 update—check out share price target

Godrej Consumer Products share price, Godrej Consumer Products share price target: Godrej Consumer Products Ltd (GCPL) shares rose on Monday, April 8, after the consumer goods company released its Q4 update on Friday post market hours. The GPCL stock rose nearly six per cent to the day's high of Rs 1,279.4 on the NSE in morning deals. The stock closed 2.97 per cent higher at Rs 1,246, extending the gains for the second day.

GCPL Q4 update

GCPL, in its quarterly update for Q4 FY24, said operating conditions in India continued to remain subdued in the fourth quarter of FY24, but its business continued to deliver strong underlying volume growth at a high single-digit rate with broad-based growth.

The company stated that at a consolidated level (organic), it expects to deliver underlying volume growth of "high single digits and sales growth of mid-single digits, driven largely by currency volatility."

"Operating conditions in India continue to remain subdued. Our India organic business continued to deliver strong underlying volume growth at high single-digits, with growth being broad-based across both home care and personal care," Godrej Consumer Products Ltd. (GCPL) said.

While demand for household insecticides has been subdued due to an extended winter in the North and East, the GoodKnight Agarbatti launch was well received by consumers, it said, adding that "Park Avenue and KamaSutra brands delivered in line with category seasonality. Reported underlying volume growth continues to be in double digits."

In its Indonesia business, the company said it continues to consistently deliver strong performance with double-digit volume growth and sales growth. Read more

Godrej Consumer Products share price target

Goldman Sachs has maintained a buy call on Godrej Consumer Products. The brokerage has raised the target to Rs 1,425 from Rs 1,375.

Morgan Stanley has retained an equal-weight rating on Godrej Consumer Products with a target of Rs 1,089.

According to Morgan Stanley, the Q4 performance was ahead of the estimate in the top line. The Goodknight Agarbatti launch has been well received by consumers, which is a key positive, as per the brokerage.

GCPL showed better performance in Indian and Indonesian businesses. Devaluation in Nigeria continues to affect overall growth, the brokerage note added.

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(with agency inputs)