ICICI Securities has suggested BUY Call for medium and long term investors for Godrej Consumer Products Limited. The research note has suggested Rs 700 as price target for Godrej Consumer Products. The stock has been trading in a narrow range over the last few weeks.

The stock would outperform in medium term and brokerages have raised their price target for the company in recent weeks. For the quarter ended March 31, 2020, the company reported consolidated sales of Rs 2132.69 crore, down -22.59 per cent from last quarter sales of Rs 2755.08 crore and down -12.22 per cent from last year's same quarter sales of Rs 2429.68 crore. The company reported net profit after tax of Rs 230.11 crore in the latest quarter.

As per ICICI Securities research note, the research team expects overall market expansion from higher usage by consumers being wary of contracting mosquito borne diseases (malaria, dengue). Competitive intensity could also remain low given Reckitt Benckiser (second largest player in India Household Insecticides with Mortein brand) rolling back the split of its businesses in 2019. The brokerage expects a host of new product launches by GCPL in Household Insecticides to gain market share.

The stock has touched 52-week high of Rs 772 and touched 52-week low of Rs 425 during COVID-19 led panic selling in stock markets.