BUY Colgate with Target price of 1620: Nomura
Research house Nomura has maintained 'buy' rating on FMCG major Colgate with a target price at Rs 1,620. The research note added that Colgate is set to gain in terms of sales due to elevated oral hygiene habits among consumers after COVID-19 pandemic. Colgate will also benefit from adding new products in different categories the company operates in, Nomura added.
Colgate is one of the most stable companies in this category, Nomura research note informed. Colgate stock was up by nearly 2 percent in today’s trade after BUY rating was maintained by Nomura. It is report Nomura said that it expects Colgate to register 8 percent earnings growth for FY21 and 15 percent for FY22 and FY23.
Colgate touched 52-week high Rs 1,641.00 on 8 November 2019 and 52-week low of Rs 1,065 on 19 March 2020 as COVID-19 panic selling led many companies to their yearly lows. Colgate has recovered nearly 40 percent from its low in March 2020. FMCG stocks have witnessed sustained buying during the last two months.