Radico Khaitan Ltd
NSE: RADICORadico Khaitan Ltd: A 30-second snapshot
Radico Khaitan trades at Rs 3,461, up 41.5% over the past year and within 3.6% of its 52-week high, with both the 50-DMA (Rs 2,977) and 200-DMA (Rs 2,989) comfortably below current price. Trailing PE stands at 77.8 on an 8.84% profit margin, backed by a 5-year earnings CAGR of 62.1% and revenue growth of 19.5%; the stock carries a debt-to-equity of 20.94 — high by FMCG norms — and a quality score of 45, ranking 4th of 6 FMCG peers.
P/E
77.8
Forward P/E
48.3
ROE
—
Debt / Equity
20.94
Profit Margin
+8.8%
Div. Yield
+0.1%
5Y ROE > 15%
1/5
5Y FCF > 0
2/5
Quality
56/100
News
8 headlines · 4 positive · 0 negative
Buy Radico Khaitan; target of Rs 3850: Motilal Oswal - Moneycontrol.com
Moneycontrol.com
Radico Khaitan sees tier-2 cities, white spirits driving next phase of alcohol demand - The Times of India
The Times of India
United Breweries, Radico Khaitan shares rise up to 3% as Karnataka govt releases draft plan for new liquor... - Moneycontrol.com
Moneycontrol.com
Radico Khaitan Ltd soars 3.02%, rises for third straight session - Business Standard
Business Standard
Radico Khaitan: How Its Premium Brands Like Rampur and Jaisalmer Are Driving Growth - Trade Brains
Trade Brains
Recent context
- ·Tier-2 city expansion and white spirits categories (Rampur, Jaisalmer brands) have been cited in May 2026 coverage as the primary demand drivers for the next phase of growth, per Times of India reporting.
- ·A Karnataka government draft plan for liquor policy reform was noted in late April 2026 as a positive regulatory development for listed alcohol companies including Radico Khaitan.
- ·Motilal Oswal published a note in April 2026 citing a price objective of Rs 3,850; this is a named broker's stated figure, reported here as a data point, not as a recommendation by VivaTrades.
Strengths
- +5-year earnings CAGR of 62.1% is the sharpest growth rate in the peer comparison set, and 5-year revenue CAGR of 19.5% indicates the top-line has supported the earnings expansion.
- +Forward PE of 48.3 represents a 38% discount to the trailing PE of 77.8, implying consensus estimates project substantial earnings growth in coming periods.
- +Price momentum is broad-based: +41.5% over 12 months and +25.2% over 3 months, with the stock holding well above both key moving averages (50-DMA Rs 2,977; 200-DMA Rs 2,989).
- +Mean analyst rating of 1.32 across 19 analysts (1-5 scale, lower = more constructive), reflecting concentrated coverage from FMCG-focused brokers.
Weaknesses
- −Debt-to-equity of 20.94 is substantially elevated relative to FMCG sector norms; this level of leverage amplifies sensitivity to interest-rate movements and credit conditions.
- −ROE is unavailable in the current data; the persistence block records only 1 year with ROE above 15% and FCF positive in just 2 of the tracked years, raising questions about capital efficiency and the quality of reported earnings growth.
- −Quality score of 45 ranks 4th of 6 FMCG peers, below NESTLEIND (61), HINDUNILVR (58), and BRITANNIA (50), suggesting composite fundamentals lag higher-quality names in the sector.
- −Trailing PE of 77.8 on an 8.84% profit margin embeds a high growth assumption; a deceleration in the 62.1% earnings CAGR would compress valuation multiples significantly.
Open questions
- ?Does the 62.1% five-year earnings CAGR reflect a structural improvement in Radico's brand mix and pricing power, or is it partly driven by a low base from a period of operational stress?
- ?How does the debt-to-equity of 20.94 reconcile with the FMCG sector's typical capital-light model, and what is the current interest-coverage ratio relative to operating cash flow?
- ?Given that FCF was positive in only 2 of the tracked years despite strong reported earnings growth, what explains the divergence between accounting profits and cash generation?
- ?If premium spirits (Rampur, Jaisalmer) are the key growth thesis, what share of revenue and margin do they represent today, and how sensitive is that thesis to changes in discretionary consumer spending?
Peer comparison: FMCG
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| RADICO | Radico Khaitan LtdYou're viewing | 77.8 | — | 45 |
| Industry avg | across 5 peers | 55.8 | +39.5% | 52 |
| NESTLEIND | Nestle India Ltd. | 79.0 | +76.3% | 61 |
| HINDUNILVR | Hindustan Unilever Ltd. | 50.3 | +21.6% | 58 |
| BRITANNIA | Britannia Industries Ltd. | 51.3 | +53.3% | 50 |
| TATACONSUM | Tata Consumer Products Ltd. | 79.1 | +6.9% | 45 |
| ITC | ITC Ltd. | 19.0 | — | 44 |
Technical state
Current price
₹3,461.00
SMA 50
₹2,977.16
SMA 200
₹2,988.83
RSI (14)
66.3 (neutral)
From 52w high
-3.6%
1Y return
+41.5%
3M return
+25.2%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Risk flags
- highDebt-to-equity of 20.94 is substantially elevated for a non-financial FMCG company; at this leverage level, interest-coverage and debt-servicing capacity are material considerations.
- highROE is unavailable in the current dataset; the persistence block shows only 1 year with ROE above 15% and FCF positive in just 2 of the tracked years, leaving capital efficiency and cash-generation consistency unverified.
- mediumTrailing PE of 77.8 against a profit margin of 8.84% prices in sustained growth acceleration; the 5-year earnings CAGR of 62.1% may be a high base that is difficult to maintain.
- mediumRSI of 66.3 is elevated; the stock has risen 25.2% over 3 months and trades 15.9% above its 200-DMA of Rs 2,988.83, a gap that has historically preceded consolidation in high-PE consumer names.
- lowQuality score of 45 ranks 4th of 6 FMCG peers; NESTLEIND (61), HINDUNILVR (58), and BRITANNIA (50) all score higher on the composite quality metric.
Cross-section contradictions
- 5-year earnings CAGR of 62.1% is among the strongest in the FMCG peer set, yet FCF was positive in only 2 of the tracked years — sustained earnings growth has not translated consistently into free cash flow.
- News sentiment is uniformly positive (4 positive, 0 negative of 8 articles) and the stock is within 3.6% of its 52-week high, yet the quality score of 45 sits below the FMCG peer median, indicating a gap between near-term price momentum and underlying business quality.
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 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 15 May 2026 · rotates through NIFTY 500 every ~5 days