Stock To Buy: FMCG Stock To Declare Dividend Soon, Share Corrects 10% In 1-Month

Mid cap FMCG sector company, Emami Ltd on Friday informed exchanges on October 13 that its board of directors will hold a meeting on November 6, 2023 to consider and approve unaudited standalone and consolidated financial results for Q2. Emami will also consider proposal for declaration of interim dividend for FY 2023-24. Last trading price of Emami share on BSE is Rs 509.85 per share with intraday fall of 1.22%. In last 1-month, Emami shares witnessed a correction of nearly 10%. Emami's June 2023 quarter net profit climbed 86.6%.
Check details below:

Emami To Declare Q2 Results, Interim Dividend Next Month: According to the BSE filing of the company, Emami Ltd dated October 13, "This is to inform you that, pursuant to Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a meeting of the Board of Directors of the Company is scheduled to be held on Monday, 6" November, 2023; inter-alia, to:

1. Consider and approve Unaudited Standalone and Consolidated Financial Results of the Company for the Second Quarter and Half year ended 30" September, 2023.

2. Consider the proposal for declaration of Interim Dividend for the Financial Year 2023-24."

Emami Stock Outlook & Return: Last trading price of Emami share on BSE is Rs 509.85 apiece with intraday dip of 1.22%. Emami shares witnessed decline of 3.25% in last 1-week, fell 5.21% in last 2-weeks, gained 23% in last 1-month, soared 41% in last 6-months, and rallied 7.52% in last 1-year. In last 2-years, Emami shares declined 5.84%, offered a rally of 46% in last 3-years, and soared 14.74% in last 5-years.

Why Emami shares have been falling? Earlier this year in May Emami said FMCG industry saw a mixed demand atmosphere in the March quarter, as discretionary categories such as personal care continued to remain muted on account of reduction of non-essential expenditure by rural consumers.

Emami Financials: The company for the quarter ended June 30, 2023 announced its net profit at Rs 137.7 crore, up 86.6% as against 73.8 crore declared in the corresponding quarter of last fiscal. Meanwhile, total revenue of Emami announced at Rs 825.66 crore, up 6.8% as against Rs 773.31 crore declared in the year ago quarter, according to its BSE filing. Its EBITDA was announced at Rs 190 crore, up 10%.

Emami Valuation: Brokerage firm Emkay Global, in its recent report, assigned buy call to Emami shares with target price of Rs 625 per share. According to the analyst, recently management has taken key steps to boost its business prospects. The company has created a good bandwidth for boosting its core and launching new initiatives. The company has been building its portfolio of small D2C and regional brands.

Emami recently declared acquisition of 26% stake in general trade-heavy North-based Axiom Ayurveda Pvt, which produced majority of its revenue from health juices.

About: Emami Limited is one of the leading and fastest growing personal and healthcare businesses in India, with an enviable portfolio of household brand names such as BoroPlus, Navratna, Fair and Handsome, Zandu Balm, Mentho Plus Balm, Fast Relief and Kesh King, according to its official website.

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