Hindustan Unilever share price rallied more than 2 per cent to hit its 52-week high on Tuesday after the company posted robust earnings for the quarter ended March. HUL reported 14.2 per cent increase in its standalone net profit to Rs 1,351 crore for the fourth quarter ended March 31, driven by a strong double digit volume growth.
Reacting to the numbers, the stock of the company jumped as much as 2.54 per cent to touch a high of Rs 1,543.25 on the BSE. Similar movement was seen on the NSE as well, where the stock soared to its 52-week high of Rs 1,542.40, up 2.58 per cent over its previous closing price.
Global brokerage Jefferies maintained buy target on the stock with a target price of Rs 1680. “11 per cent YoY volume growth on a base of 4 per cent YoY was highest in the last 7 years. Recovery in consumption is being witnessed across the board,” the brokerage said.
Credit Suisse also maintained ‘buy’ on HUL with a target of Rs 1,670. “We upgrade estimates For FY19/20 On improving volume growth prospects as the company is best Placed To harness growth from informal sector becoming formal see significant upside from current levels.
HSBC also believes HUL enjoys an attractive long-term structural growth potential. It revised higher target price on HUL to Rs 1750 from Rs 1,520 earlier.