Nestle India share price: Kotak Institutional Maintain REDUCE rating to Rs 17150 (from Rs 17500 earlier)
Kotak Institutional Equities says Nestle ended CY2020 with 9.2% revenue growth in Q4 largely led by volume and mix. EBITDA margin (21.7%) missed estimates (expected 22.6%) despite the significant beat on gross margin. Covid-led lockdowns and confined living have triggered a rise in penetration and product trials and it can potentially drive higher consumption/adoption of packaged foods.
Kotak Institutional Equities trim Nestles CY21-22E EPS by 1-2% and revise FV to Rs 17150 (from Rs 17500): Reuters