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Amid global tariff war tensions, most sectors are performing in the red, while the FMCG sector has witnessed an increase of over 1.5 per cent on both the BSE and NSE. On Wednesday, April 9, BSE FMCG ended at 19,947.90, rising 297.22 points or 1.51 per cent. On the other hand, the Nifty FMCG index surged 1.78 per cent to 55,264.75.
Thinking about investing in the sector after seeing this? A domestic brokerage has recommended two leading FMCG stocks for a short-term horizon of up to three months. Analysts at Anand Rathi have handpicked two large-cap stocks: HUL and ITC. According to them, these two industry leaders have the potential to deliver returns of over 10 per cent.
"The entire FMCG pocket has shown strong resilience amid ongoing market uncertainty," the brokerage said.
The brokerage is bullish two major FMCG sector players like Hindustan Unilever Ltd and ITC Ltd shares.
Analysts recommend buying the Hindustan Unilever Ltd (HUL) stock, citing that the company has rebounded from its long-term rising trendline support.
Analysts are observing multiple bottom formations near Rs 2,100, accompanied by a breakout in the daily RSI, indicating strength.
The brokerage has a 'buy' stance on HUL shares for a target of Rs 2,550 and Rs 2,600 with a stop loss at Rs 2,100. The given targets imply up to 10.68 per cent returns.
The brokerage has suggested another stock from the industry, i.e. ITC stock. ITC shares has been consolidating in the 390–415 range, with recent sessions showing volume-backed buying interest," the brokerage said.
On April 7, 2025, the stock formed a Marubozu-like bullish candle, supported by the highest volume seen in recent weeks. IT indicates a decisive move by the bulls, according to the brokerage.
They suggest buying ITC shares for targets of Rs 460 and Rs 465, implying an upside of 11.73 per cent from Wednesday's closing, with a stop loss at Rs 380.
(Disclaimer: The views/suggestions/recommendations expressed here in this article are solely by investment experts. Zee Business suggests its readers consult their investment advisers before making any financial decision.)