Hindustan Unilever Ltd.
NSE: HINDUNILVRHindustan Unilever Ltd.: A 30-second snapshot
Hindustan Unilever (₹2,121.5) is an FMCG franchise ranked 2nd in quality score among 6 tracked peers, with ROE of 21.6%, profit margin of 23.3%, and FCF positive in 4 of the last 4 available years. The stock trades below both its 50-DMA (₹2,203.76) and 200-DMA (₹2,362.71), is 22.25% off its 52-week high, and has delivered a 1-year price return of -8.15%. Trailing PE of 46.9 sits at the upper end of the FMCG peer range while 5-year revenue growth of 4.3% is modest.
P/E
46.9
Forward P/E
39.6
ROE
+21.6%
Debt / Equity
3.02
Profit Margin
+23.3%
Div. Yield
+2.1%
5Y ROE > 15%
4/5
5Y FCF > 0
4/5
Quality
57/100
News
8 headlines · 2 positive · 2 negative
Hindustan Unilever stock (INE030A01027): Rating upgrade to Hold signals shift in analyst sentiment - AD HOC NEWS
AD HOC NEWS
Hindustan Unilever Ltd stock (INE030A01027): Mumbai fragrance hub lifts India focus - AD HOC NEWS
AD HOC NEWS
Hindustan Unilever Ltd stock (INE030A01027): steady Q4 sales growth and price swings draw investor f - AD HOC NEWS
AD HOC NEWS
Transrail Wins ₹575 Crore Orders; Shares Rise Over 1% - HDFC Sky
HDFC Sky
Hindustan Unilever Ltd stock (INE030A01027): steady trading as investors eye consumer demand and mar - AD HOC NEWS
AD HOC NEWS
Recent context
- ·A news headline dated May 2026 referenced a rating upgrade described as a shift in analyst sentiment; the structured analyst rating field remains null across 37 tracked analysts, so the direction of that shift is not quantified in available data.
- ·A June 2026 headline describes expansion of a Mumbai fragrance hub, indicating continued investment in the India-focused product portfolio.
- ·Overall news sentiment across 8 articles is neutral (2 positive, 4 neutral, 2 negative); the stock is 22.25% below its 52-week high despite the neutral-to-mixed news flow.
Strengths
- +ROE of 21.6% has remained above 15% in 4 of the 4 years available in the persistence window, ranking 4th among 6 tracked FMCG peers (Nestle: 76.3%, Britannia: 53.3%, ITC: 29.3%, HINDUNILVR: 21.6%).
- +Profit margin of 23.3% and FCF positive in 4 of 4 available years indicate consistent cash generation from the consumer goods operations.
- +Quality score of 58 ranks 2nd among 6 FMCG peers (Nestle: 61, HINDUNILVR: 58, Britannia: 50, Tata Consumer: 45, ITC: 41, Godrej CP: 38).
- +Dividend yield of 2.07% and forward PE of 39.6 (vs trailing 46.9) reflect an earnings growth expectation priced into the current multiple; 5-year earnings CAGR of 21.4% supports the direction of that expectation historically.
Weaknesses
- −Price at ₹2,121.5 is below both the 50-DMA (₹2,203.76) and the 200-DMA (₹2,362.71) and is 22.25% below the 52-week high, with a 1-year return of -8.15% and a 3-month return of -5.92%.
- −D/E of 3.02 is elevated relative to the FMCG sector norm and the persistence window shows a rising debt trend across the 4 available years, adding balance-sheet concentration risk.
- −5-year revenue CAGR of 4.3% is low; the wide gap versus the 21.4% 5-year earnings CAGR suggests profit growth has been driven by margin expansion and pricing rather than volume-led top-line compounding.
- −RSI of 39.6 and nearest support levels at ₹2,033 and ₹2,023 indicate price momentum is weakening, with the gap between current price and 200-DMA resistance at ₹2,363 representing a 11.4% distance to recover.
Open questions
- ?Does the rising D/E trend reflect productive leverage (e.g. capacity expansion or acquisitions with measurable return on invested capital) or structural working-capital pressure?
- ?Has the 21.4% 5-year earnings CAGR been driven primarily by gross-margin expansion — and if input cost normalisation occurs, what does the revenue CAGR of 4.3% imply for future earnings trajectory?
- ?The stock trades 10.2% below its 200-DMA with RSI at 39.6 — what has historically been the catalyst for HINDUNILVR to reverse extended drawdowns: volume recovery, pricing action, or sector rotation?
- ?Given that peers Britannia and Nestle carry higher ROE (53.3% and 76.3% respectively) and the PE differential is narrow, what differentiates HINDUNILVR's earnings quality or distribution moat that justifies a comparable valuation?
Peer comparison: FMCG
Ranks 2 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| HINDUNILVR | Hindustan Unilever Ltd.You're viewing | 46.9 | +21.6% | 58 |
| Industry avg | across 5 peers | 53.9 | +36.2% | 47 |
| NESTLEIND | Nestle India Ltd. | 76.5 | +76.3% | 61 |
| BRITANNIA | Britannia Industries Ltd. | 48.8 | +53.3% | 50 |
| TATACONSUM | Tata Consumer Products Ltd. | 72.4 | +6.9% | 45 |
| ITC | ITC Ltd. | 17.0 | +29.3% | 41 |
| GODREJCP | Godrej Consumer Products Ltd. | 55.0 | +15.1% | 38 |
Technical state
Current price
₹2,121.50
SMA 50
₹2,203.76
SMA 200
₹2,362.71
RSI (14)
39.6 (neutral)
From 52w high
-22.3%
1Y return
-8.2%
3M return
-5.9%
50-DMA
Below
200-DMA
Below
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- mediumPrice at ₹2,121.5 is 3.7% below the 50-DMA (₹2,203.76) and 10.2% below the 200-DMA (₹2,362.71); the stock has declined 8.15% over 12 months and 5.92% over 3 months, sitting 22.25% below its 52-week high.
- mediumDebt-to-equity of 3.02 is materially elevated relative to FMCG sector context, where asset-light consumer peers typically carry D/E well below 1.0; the persistence window shows a rising debt trend across the 4 available years.
- low5-year revenue CAGR of 4.3% is low relative to the 21.4% 5-year earnings CAGR; the divergence implies margin expansion rather than volume-led growth has driven profits, concentrating the earnings record on cost and pricing levers.
- lowTrailing PE of 46.9 is the 2nd highest among the 6 tracked FMCG peers (Nestle: 76.5, Tata Consumer: 72.4, Godrej CP: 55.0, Britannia: 48.8, HINDUNILVR: 46.9, ITC: 17.0); forward PE of 39.6 embeds a meaningful earnings-growth assumption.
- lowAnalyst rating field is null despite 37 analysts tracked; 1-year price change is unavailable for all 5 sector peers, limiting peer-relative price-performance comparison. News sample totals only 8 articles.
Cross-section contradictions
- ROE above 15% in 4 of 4 available years and FCF positive in 4 of 4 years point to a consistent quality record, yet the stock is down 8.15% over 12 months and trades 10.2% below its 200-DMA — the fundamental persistence and the price trend are diverging.
- News headlines reference steady Q4 sales growth described as drawing investor focus, yet the stock has declined 5.92% over the past 3 months — reported operational momentum has not been reflected in price direction.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 24 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 6 Jun 2026 · rotates through NIFTY 500 every ~5 days