Lackluster show; expensive valuations

Company
11 Mar 2024
5 Min read 
  • P&G Hygiene and Healthcare (PGHH) recorded stagnant growth in 2QFY24.
  •  Despite flat revenue growth, ad spending rose 14% YoY.
  •  The company remains focused on product innovation-led customer acquisition.
  •  The stock trades at expensive valuations of 63x and 55x P/E of FY25E and FY26E.
  •  There are no medium-term triggers for the stock.
  •  Reiterate a neutral rating with a target price of INR16,000.
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