Brokerages split on consumer plays: ITC neutral, Nykaa & Honasa buy, LG India overweight
Goldman flags cigarette tax drag on ITC (TP Rs 330) even as FMCG grows 15% YoY. Jefferies backs Nykaa (TP Rs 350) on >25% beauty growth; CLSA outperform on Honasa (TP Rs 434) as Mamaearth turnaround builds with revenue +23% YoY. Morgan Stanley overweight LG India (TP Rs 1,726) on premiumization.
What happened
Brokerage roundup: Goldman neutral on ITC (cigarette tax drag, FMCG accelerating); Jefferies buy on Nykaa with TP Rs 350 on beauty/fashion strength; CLSA
Key facts
- ITC TP Rs 330
- cigarette volume -8% FY27
- FMCG growth 15% YoY
- Nykaa TP Rs 350
- Nykaa beauty >25%
- Honasa TP Rs 434
- Honasa revenue +23% YoY
- LG India TP Rs 1,726
- LG revenue +8% YoY
Why this matters
Honasa's Mamaearth turnaround and Nykaa's >25% beauty growth validate beauty/D2C as M&A hunting grounds, while LG India's premiumization thesis hints at appliance consolidation opportunities.