Motilal Oswal stays Neutral on Nestle India, Rs 1,400 target on rich valuations
Brokerage flags expensive valuations at 68x FY27E and 60x FY28E EPS despite GST 2.0 tailwinds benefiting 85% of Nestle India's portfolio. Forecasts 12%/15%/18% revenue/Ebitda/APAT CAGR over FY26-28E with improving cash flows, but sees limited upside from here.
Motilal Oswal maintains Neutral on Nestle India with Rs 1,400 target, citing expensive valuations despite GST 2.0-driven FMCG consumption gains benefiting 85% of its portfolio and improving cash flows.
Why this matters
Adds to cautious brokerage stance on Nestle India, echoing Systematix's Hold at Rs 1,460 on rural reach and BofA's bearish view, even as the board weighed a special dividend.
Retail-brand signals steady with 2,108 signals over the last 90 days.